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Consumer information surplus and adverse selection in competitive health insurance markets: An empirical study

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  • van de Ven, Wynand P. M. M.
  • van Vliet, ReneC. J. A.

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  • van de Ven, Wynand P. M. M. & van Vliet, ReneC. J. A., 1995. "Consumer information surplus and adverse selection in competitive health insurance markets: An empirical study," Journal of Health Economics, Elsevier, vol. 14(2), pages 149-169, June.
    • Handle: RePEc:eee:jhecon:v:14:y:1995:i:2:p:149-169
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    1. Newhouse, Joseph P., 1984. "Cream skimming, asymmetric information, and a competitive insurance market," Journal of Health Economics, Elsevier, vol. 3(1), pages 97-100, April.
    2. Manning, W. G. & Duan, N. & Rogers, W. H., 1987. "Monte Carlo evidence on the choice between sample selection and two-part models," Journal of Econometrics, Elsevier, vol. 35(1), pages 59-82, May.
    3. Ellis, Randall P, 1989. "Employee Choice of Health Insurance," The Review of Economics and Statistics, MIT Press, vol. 71(2), pages 215-223, May.
    4. Herschel I. Grossman, 1979. "Adverse Selection, Dissembling, and Competitive Equilibrium," Bell Journal of Economics, The RAND Corporation, vol. 10(1), pages 336-343, Spring.
    5. van de Ven, Wynand P. M. M., 1991. "Perestrojka in the Dutch health care system : A demonstration project for other European countries," European Economic Review, Elsevier, vol. 35(2-3), pages 430-440, April.
    6. Marquis, M. Susan, 1992. "Adverse selection with a multiple choice among health insurance plans: A simulation analysis," Journal of Health Economics, Elsevier, vol. 11(2), pages 129-151, August.
    7. Marquis, M Susan & Phelps, Charles E, 1987. "Price Elasticity and Adverse Selection in the Demand for Supplementary Health Insurance," Economic Inquiry, Western Economic Association International, vol. 25(2), pages 299-313, April.
    8. Granbois, Donald H & Summers, John O, 1975. "Primary and Secondary Validity of Consumer Purchase Probabilities," Journal of Consumer Research, Journal of Consumer Research Inc., vol. 1(4), pages 31-38, March.
    9. Sheiman, Igor, 1991. "Health care reform in the Russian Federation," Health Policy, Elsevier, vol. 19(1), pages 45-54, September.
    10. Duan, Naihua, et al, 1983. "A Comparison of Alternative Models for the Demand for Medical Care," Journal of Business & Economic Statistics, American Statistical Association, vol. 1(2), pages 115-126, April.
    11. Van De Ven, Wynand P. M. M., 1987. "An econometric model for the simultaneous estimation of the demand for medical care and the demand for health insurance : A first approach," Economics Letters, Elsevier, vol. 24(3), pages 299-303.
    12. Spence, Michael, 1978. "Product differentiation and performance in insurance markets," Journal of Public Economics, Elsevier, vol. 10(3), pages 427-447, December.
    13. Price, James R. & Mays, James W. & Trapnell, Gordon R., 1983. "Stability in the federal employees health benefits program," Journal of Health Economics, Elsevier, vol. 2(3), pages 207-223, December.
    14. Taub, Allan J., 1979. "Prediction in the context of the variance-components model," Journal of Econometrics, Elsevier, vol. 10(1), pages 103-107, April.
    15. Manning, Willard G, et al, 1987. "Health Insurance and the Demand for Medical Care: Evidence from a Randomized Experiment," American Economic Review, American Economic Association, vol. 77(3), pages 251-277, June.
    16. Newhouse, Joseph P., 1982. "Is competition the answer?," Journal of Health Economics, Elsevier, vol. 1(1), pages 109-116, May.
    17. R. C. J. A. Van Vliet & W. P. M. M. van de Ven, 1993. "Capitation payments based on prior hospitalizations," Health Economics, John Wiley & Sons, Ltd., vol. 2(2), pages 177-188, July.
    18. Wolfe, John R. & Goddeeris, John H., 1991. "Adverse selection, moral hazard, and wealth effects in the medigap insurance market," Journal of Health Economics, Elsevier, vol. 10(4), pages 433-459.
    19. Michael Rothschild & Joseph Stiglitz, 1976. "Equilibrium in Competitive Insurance Markets: An Essay on the Economics of Imperfect Information," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 90(4), pages 629-649.
    20. Van de Ven, Wynand P. M. M. & Van Praag, Bernard M. S., 1981. "The demand for deductibles in private health insurance : A probit model with sample selection," Journal of Econometrics, Elsevier, vol. 17(2), pages 229-252, November.
    21. van Vliet, RenéC. J. A. & van de Ven, Wynand P. M. M., 1992. "Towards a capitation formula for competing health insurers. An empirical analysis," Social Science & Medicine, Elsevier, vol. 34(9), pages 1035-1048, May.
    22. Wilson, Charles, 1977. "A model of insurance markets with incomplete information," Journal of Economic Theory, Elsevier, vol. 16(2), pages 167-207, December.
    23. Pauly, Mark V., 1984. "Is cream-skimming a problem for the competitive medical market?," Journal of Health Economics, Elsevier, vol. 3(1), pages 87-95, April.
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    Cited by:

    1. Rutten, Frans & Bleichrodt, Han & Brouwer, Werner & Koopmanschap, Marc & Schut, Erik, 2001. "Handbook of Health Economics," Journal of Health Economics, Elsevier, vol. 20(5), pages 855-879, September.
    2. Sukumar Vellakkal, 2010. "Adverse Selection and Private Health Insurance Coverage in India A Rational Behaviour Model of Insurance Agents under Asymmetric Information," Working Papers id:2690, eSocialSciences.
    3. Bakker, Frank M. & van Vliet, Rene C. J. A. & van de Ven, Wynand P. M. M., 2000. "Deductibles in health insurance: can the actuarially fair premium reduction exceed the deductible?," Health Policy, Elsevier, vol. 53(2), pages 123-141, September.
    4. Daniëlle Duijmelinck & Wynand Ven, 2014. "Choice of insurer for basic health insurance restricted by supplementary insurance," The European Journal of Health Economics, Springer;Deutsche Gesellschaft für Gesundheitsökonomie (DGGÖ), vol. 15(7), pages 737-746, September.
    5. Laurence C. Baker & Kenneth S. Corts, 1995. "The Effects of HMOs on Conventional Insurance Premiums: Theory and Evidence," NBER Working Papers 5356, National Bureau of Economic Research, Inc.
    6. Amir Shmueli, 2001. "The effect of health on acute care supplemental insurance ownership: an empirical analysis," Health Economics, John Wiley & Sons, Ltd., vol. 10(4), pages 341-350, June.
    7. Terza, Joseph V. & Tsai, Wei-Der, 2006. "Censored Probit Estimation with Correlation near the Boundary: A Useful Reparameteriztion," Review of Applied Economics, Lincoln University, Department of Financial and Business Systems, vol. 2(1), pages 1-12.
    8. Cutler, David M. & Zeckhauser, Richard J., 2000. "The anatomy of health insurance," Handbook of Health Economics, in: A. J. Culyer & J. P. Newhouse (ed.), Handbook of Health Economics, edition 1, volume 1, chapter 11, pages 563-643, Elsevier.
    9. Sukumar Vellakkal, 2009. "Adverse Selection and Private Health Insurance Coverage in India - A Rational Behaviour Model of Insurance Agents under Asymmetric Information," Microeconomics Working Papers 22270, East Asian Bureau of Economic Research.
    10. K. P. M. Winssen & R. C. Kleef & W. P. M. M. Ven, 2017. "A voluntary deductible in health insurance: the more years you opt for it, the lower your premium?," The European Journal of Health Economics, Springer;Deutsche Gesellschaft für Gesundheitsökonomie (DGGÖ), vol. 18(2), pages 209-226, March.
    11. Willemse-Duijmelinck, Daniëlle M.I.D. & van de Ven, Wynand P.M.M. & Mosca, Ilaria, 2017. "Supplementary insurance as a switching cost for basic health insurance: Empirical results from the Netherlands," Health Policy, Elsevier, vol. 121(10), pages 1085-1092.
    12. Neudeck, Werner & Podczeck, Konrad, 1996. "Adverse selection and regulation in health insurance markets," Journal of Health Economics, Elsevier, vol. 15(4), pages 387-408, August.
    13. K. P. M. Winssen & R. C. Kleef & W. P. M. M. Ven, 2018. "Can premium differentiation counteract adverse selection in the Dutch supplementary health insurance? A simulation study," The European Journal of Health Economics, Springer;Deutsche Gesellschaft für Gesundheitsökonomie (DGGÖ), vol. 19(5), pages 757-768, June.
    14. Patricia H. Born & E. Tice Sirmans, 2020. "Restrictive Rating and Adverse Selection in Health Insurance," Journal of Risk & Insurance, The American Risk and Insurance Association, vol. 87(4), pages 919-933, December.
    15. Jeonghoon Ahn, 2004. "Panel Data Sample Selection Model: an Application to Employee Choice of Health Plan Type and Medical Cost Estimation," Econometric Society 2004 Far Eastern Meetings 560, Econometric Society.

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