Exchange Currency

adverse selection

When an individual who is a higher-than-average risk tries to buy insurance at the standard rate.

Related information about adverse selection:
  1. Adverse selection - Wikipedia, the free encyclopedia
    Adverse selection, anti-selection, or negative selection is a term used in economics, insurance, risk management, and statistics. It refers to a market process in ...
     
  2. Adverse Selection Definition | Investopedia
    1. The tendency of those in dangerous jobs or high risk lifestyles to get life insurance. 2. A situation where sellers have information that buyers don't (or vice ...
     
  3. Adverse selection versus moral hazard - Market
    Mar 18, 2009 ... Adverse selection and moral hazard are both examples of market failure situations, caused due to asymmetric information between buyers and ...
     
  4. Experiment 2 Adverse Selection - UCSB Economics
    Experiment 2. Adverse Selection. A “Lemons” Market. If you have ever purchased a used car from a stranger, you probably have worried about whether she was ...
     
  5. Adverse Selection
    Adverse selection is a term used primarily in insurance although it is useful for other industries, as well. It refers to a situation in which the buyer or seller of a ...
     
  6. Adverse Selection in Health Insurance
    Such adverse selection induces three types of losses: efficiency losses from individuals being allocated to the wrong plans; risk sharing losses since premium ...
     
  7. Adverse Selection - Wolfram Demonstrations Project
    Adverse selection is the proclivity of those with higher risk to purchase insurance in greater amounts than those with lower risk. Much of insurance law and ...
     
  8. Economics A-Z terms beginning with A | The Economist
    Adverse selection can be a problem when there is asymmetric information ... When there is adverse selection, people who know they have a higher risk of ...