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The demand for health microinsurance services: assessment of the contribution effort using microeconomic data

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  • El Aida, Kawtar
  • El Kadiri, Mounir
  • Mourji, Fouzi

Abstract

This paper analyzes subscription and willingness to pay (WTP) effort decisions among microcredit clients for a health microinsurance service in Morocco. We use data from a survey conducted among 562 microcredit clients belonging to two instututions. To estimate clients WTPs’ efforts, we choose the contingent valuation method. We analyze the different steps of decision by using simple and generalized Tobit. The results highlight the effect of socio-economic and financial variables including clients’ participation in formal and informal insurance mechanisms. We explain that they think in terms of substitution in one case, and complementarity in the other. The effect of savings reveals that clients want to maximize the collective utility of their households.

Suggested Citation

  • El Aida, Kawtar & El Kadiri, Mounir & Mourji, Fouzi, 2015. "The demand for health microinsurance services: assessment of the contribution effort using microeconomic data," MPRA Paper 68470, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:68470
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    References listed on IDEAS

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    5. Lena Giesbert & Susan Steiner & Mirko Bendig, 2011. "Participation in Micro Life Insurance and the Use of Other Financial Services in Ghana," Journal of Risk & Insurance, The American Risk and Insurance Association, vol. 78(1), pages 7-35, March.
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    8. BONAN Jacopo & DAGNELIE Olivier & LEMAY-BOUCHER Philippe & TENIKUE Michel, 2012. "Is it all about Money? A Randomized Evaluations of the Impact of Insurance Literacy and Marketing Treatments on the Demand for Health Microinsurance in Senegal," LISER Working Paper Series 2012-03, Luxembourg Institute of Socio-Economic Research (LISER).
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    More about this item

    Keywords

    health microinsurance; contingent valuation; Tobit; willingness to pay;
    All these keywords.

    JEL classification:

    • C34 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Truncated and Censored Models; Switching Regression Models
    • I11 - Health, Education, and Welfare - - Health - - - Analysis of Health Care Markets
    • I13 - Health, Education, and Welfare - - Health - - - Health Insurance, Public and Private
    • Q51 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Valuation of Environmental Effects

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