Preliminary investigations for better monitoring. Learning in repeated insurance audits
Reda Aboutajdine and
Pierre Picard
Working Papers from HAL
Abstract:
Audit mechanisms frequently take place in the context of repeated relationships between auditor and auditee. This paper focuses attention on the insurance fraud problem in a setting where insurers repeatedly verify claims satisfied by service providers (e.g., affiliated car repairers or members of managed care networks). We highlight a learning bias that leads insurers to over-audit service providers at the beginning of their relationship. The paper builds a bridge between the literature on optimal audit in insurance and the exploitation/exploration trade-off in multi-armed bandit problems.
Keywords: ex-post moral hazard; insurance fraud; optimal auditing; learning (search for similar items in EconPapers)
Date: 2018-02-20
New Economics Papers: this item is included in nep-acc, nep-ias and nep-mic
Note: View the original document on HAL open archive server: https://hal.science/hal-01713420v1
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (2)
Downloads: (external link)
https://hal.science/hal-01713420v1/document (application/pdf)
Related works:
Journal Article: Preliminary Investigations for Better Monitoring: Learning in Repeated Insurance Audits (2018) 
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
HTML/Text
Persistent link: https://EconPapers.repec.org/RePEc:hal:wpaper:hal-01713420
Access Statistics for this paper
More papers in Working Papers from HAL
Bibliographic data for series maintained by CCSD ().