A fair procedure in insurance

Vito Fragnelli; Maria Erminia Marina

doi:10.1016/S0167-6687(03)00145-8

A fair procedure in insurance

Vito Fragnelli
, Maria Erminia Marina

Research output: Contribution to journal › Article › peer-review

Abstract

We consider a random variable R, representing a risk that has to be insured by n companies and which a premium φ is assigned to. How should they share the risk and the premium in order to be better off? Under suitable hypotheses, there exists an optimal decomposition of the risk. According to this division, we develop a procedure that results in an allocation of (φ,R) that is efficient, individually rational and envy-free.

Original language	English
Pages (from-to)	75-85
Number of pages	11
Journal	Insurance: Mathematics and Economics
Volume	33
Issue number	1
DOIs	https://doi.org/10.1016/S0167-6687(03)00145-8
Publication status	Published - 8 Aug 2003
Externally published	Yes

Keywords

Co-insurance
Envy-freeness
Fair division
Optimal cooperation
Premium calculation

Access to Document

10.1016/S0167-6687(03)00145-8

Cite this

@article{ef6368c22601441ca4e17bf7a5ec1875,

title = "A fair procedure in insurance",

abstract = "We consider a random variable R, representing a risk that has to be insured by n companies and which a premium φ is assigned to. How should they share the risk and the premium in order to be better off? Under suitable hypotheses, there exists an optimal decomposition of the risk. According to this division, we develop a procedure that results in an allocation of (φ,R) that is efficient, individually rational and envy-free.",

keywords = "Co-insurance, Envy-freeness, Fair division, Optimal cooperation, Premium calculation",

author = "Vito Fragnelli and Marina, \{Maria Erminia\}",

year = "2003",

month = aug,

day = "8",

doi = "10.1016/S0167-6687(03)00145-8",

language = "English",

volume = "33",

pages = "75--85",

journal = "Insurance: Mathematics and Economics",

issn = "0167-6687",

publisher = "Elsevier BV",

number = "1",

}

TY - JOUR

T1 - A fair procedure in insurance

AU - Fragnelli, Vito

AU - Marina, Maria Erminia

PY - 2003/8/8

Y1 - 2003/8/8

N2 - We consider a random variable R, representing a risk that has to be insured by n companies and which a premium φ is assigned to. How should they share the risk and the premium in order to be better off? Under suitable hypotheses, there exists an optimal decomposition of the risk. According to this division, we develop a procedure that results in an allocation of (φ,R) that is efficient, individually rational and envy-free.

AB - We consider a random variable R, representing a risk that has to be insured by n companies and which a premium φ is assigned to. How should they share the risk and the premium in order to be better off? Under suitable hypotheses, there exists an optimal decomposition of the risk. According to this division, we develop a procedure that results in an allocation of (φ,R) that is efficient, individually rational and envy-free.

KW - Co-insurance

KW - Envy-freeness

KW - Fair division

KW - Optimal cooperation

KW - Premium calculation

UR - https://www.scopus.com/pages/publications/0141648427

U2 - 10.1016/S0167-6687(03)00145-8

DO - 10.1016/S0167-6687(03)00145-8

M3 - Article

SN - 0167-6687

VL - 33

SP - 75

EP - 85

JO - Insurance: Mathematics and Economics

JF - Insurance: Mathematics and Economics

IS - 1

ER -

A fair procedure in insurance

Abstract

Keywords

Access to Document

Other files and links

Fingerprint

Cite this