Construct · 1 fields · 1 citations

contract nonperformance risk: a standalone construct

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Insurance economics

risk that the insurer fails to pay claims, which can make full coverage suboptimal even for risk-averse buyers.

In insurance economics, contract nonperformance risk refers to risk that the insurer fails to pay claims, which can make full coverage suboptimal even for risk-averse buyers. This meaning comes from Doherty (1990) in The Quarterly Journal of Economics.[1]

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Nearby constructs

coverage3 fields · 3 citationsjingle · one word, three constructs contract4 fields · 6 citationsjingle · one word, four contracts risk6 fields · 13 citationsjingle · one name, six constructs

References

Doherty, N. A., & Schlesinger, H. (1990). Rational Insurance Purchasing: Consideration of Contract Nonperformance. The Quarterly Journal of Economics, 105(1), 243. https://doi.org/10.2307/2937829

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