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Risk shifting in the context of 3D printing: an insurability perspective

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Listed:
  • Michael Faure

    (Maastricht University
    Erasmus University Rotterdam)

  • Shu Li

    (Erasmus University Rotterdam)

Abstract

The adoption of 3D printing poses considerable liability risk to digital designers and fabricators. Traditionally, liability insurance is considered a crucial way for parties to shift their risk. However, in the context of 3D printing, uninsurability may serve as an obstacle for risk shifting. The main interest of this article is twofold. On the one hand, it sketches the extent to which risk can be unforeseeable (and thus uninsurable) in the context of 3D printing when legal uncertainties and the existence of adverse selection and moral hazard are considered. On the other hand, by reviewing various instruments, it offers potential solutions for reducing the uninsurability problem. Specific emphasis is given to applying InsurTechs, especially blockchain technology, to improve insurability and to identify the problems that will constrain the promotion of InsurTech in the context of 3D printing.

Suggested Citation

  • Michael Faure & Shu Li, 2020. "Risk shifting in the context of 3D printing: an insurability perspective," The Geneva Papers on Risk and Insurance - Issues and Practice, Palgrave Macmillan;The Geneva Association, vol. 45(3), pages 482-507, July.
    • Handle: RePEc:pal:gpprii:v:45:y:2020:i:3:d:10.1057_s41288-020-00164-9
    DOI: 10.1057/s41288-020-00164-9
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    Cited by:

    1. Xian Xu & Peter Zweifel, 2020. "A framework for the evaluation of InsurTech," Risk Management and Insurance Review, American Risk and Insurance Association, vol. 23(4), pages 305-329, December.

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