Advanced Search
MyIDEAS: Login to save this paper or follow this series

Law and the Demand for Property-Casualty Insurance Consumption

Contents:

Author Info

  • Neil Esho

    (Australian Prudential Regulation Authority, Sydney, Australia)

  • Anatoly Kirievsky

    (School of Banking and Finance, The University of New South Wales, Australia)

  • Damian Ward

    (Bradford University, Bradford West, United Kingdom)

  • Ralf Zurbruegg

    ()
    (School of Commerce, University of Adelaide, Australia)

Abstract

This paper examines the importance of legal rights and enforcement in influencing property-casualty insurance consumption. We extend the existing literature by examining the role of legal factors in determining insurance density across countries. Also, measures of risk aversion, loss probability and price, which overcome limitations of proxies used in the existing literature on insurance demand are analysed. Using a panel data set we apply a Generalized Methods of Moments dynamic system estimator, which relaxes the assumption of strict exogeneity of the regressors and produces unbiased and efficient estimates. The results show a strong positive relationship between the protection of property rights and insurance consumption, which is robust to various model specifications and estimation techniques. Moreover, the results show the purchase of property-casualty insurance is significantly and positively related to loss probability and income, as well as providing weaker evidence of a negative relationship with price.

Download Info

If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
File URL: http://www.adelaide.edu.au/cies/papers/0314.pdf
Download Restriction: no

Bibliographic Info

Paper provided by University of Adelaide, Centre for International Economic Studies in its series Centre for International Economic Studies Working Papers with number 2003-14.

as in new window
Length: 36 pages
Date of creation: May 2003
Date of revision:
Handle: RePEc:adl:cieswp:2003-14

Contact details of provider:
Postal: Adelaide SA 5005
Phone: (+ 61 8) 8303 5672
Fax: (+ 61 8) 8223 1460
Email:
Web page: http://www.adelaide.edu.au/cies/
More information through EDIRC

Related research

Keywords:

References

No references listed on IDEAS
You can help add them by filling out this form.

Citations

Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
as in new window

Cited by:
  1. Mohammed, M.A. & Ortmann, Gerald F., 2005. "Factors influencing adoption of livestock insurance by commercial dairy farmers in three Zobatat of Eritrea," Agrekon, Agricultural Economics Association of South Africa (AEASA), vol. 44(2), June.

Lists

This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

Statistics

Access and download statistics

Corrections

When requesting a correction, please mention this item's handle: RePEc:adl:cieswp:2003-14. See general information about how to correct material in RePEc.

For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Dmitriy Kvasov).

If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

If references are entirely missing, you can add them using this form.

If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

Please note that corrections may take a couple of weeks to filter through the various RePEc services.