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Insurance Theory And Challenges Facing The Development Of Microinsurance Markets

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Author Info

  • JAMES C. BRAU

    ()
    (Marriott School of Management, Brigham Young University, 610 TRNB, Provo, UT 84602, USA)

  • CRAIG MERRILL

    (Marriott School of Management, Brigham Young University, 610 TRNB, Provo, UT 84602, USA)

  • KIM B. STAKING

    (Staking Financial Consulting, 961 Antiquity Drive, Fairfield, CA 94534, USA)

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    Abstract

    Microinsurance institutions and instruments have developed rapidly over the last decade, with policies covering tens of millions at the base of the economic pyramid. Ranging from simple policies providing life or health insurance to complex policies covering catastrophic risks for small landholders, it is a market with proven potential that demands closer attention. This paper provides a review of the nascent academic literature and then suggests some critical elements of insurance theory that may help us understand the challenges facing microinsurance markets and how these markets can better serve the needs of their customers. Although the basic theory is well known, application to microinsurance markets reveals interesting variations on known results.

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    Bibliographic Info

    Article provided by World Scientific Publishing Co. Pte. Ltd. in its journal Journal of Developmental Entrepreneurship.

    Volume (Year): 16 (2011)
    Issue (Month): 04 ()
    Pages: 411-440

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    Handle: RePEc:wsi:jdexxx:v:16:y:2011:i:04:p:411-440

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    Related research

    Keywords: Microinsurance; modeling;

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