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Skill and Chance in Insurance Policies

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Abstract

In a game theoretical setting it is possible to assign a relative measurement of the skill required to each player for maximizing his payoff in a casino game; according to this approach we analyze the relevance of skill and chance in an insurance contract, both for the insurance company and for the customer.

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Bibliographic Info

Article provided by Charles University Prague, Faculty of Social Sciences, Institute of Economic Studies in its journal AUCO Czech Economic Review.

Volume (Year): 5 (2011)
Issue (Month): 2 (August)
Pages: 191-202

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Handle: RePEc:fau:aucocz:au2011_191

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Related research

Keywords: Skill; casino game; insurance;

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  1. Dreef, M.R.M. & Borm, P.E.M. & Genugten, B.B. van der, 2001. "A New Relative Skill Measure for Games with Chance Elements," Discussion Paper 2001-106, Tilburg University, Center for Economic Research.
  2. Patrick Larkey & Joseph B. Kadane & Robert Austin & Shmuel Zamir, 1997. "Skill in Games," Management Science, INFORMS, vol. 43(5), pages 596-609, May.
  3. Dreef, M.R.M. & Borm, P.E.M. & Genugten, B.B. van der, 2003. "Measuring Skill in Games: Several Approaches Discussed," Discussion Paper 2003-9, Tilburg University, Center for Economic Research.
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