Abstract
AbstractNetwork mutual aid platforms is one of the popular risk-sharing models in recent years, and they have almost 200 million members in China. However, current mutual aid platforms does not satisfy the actuarial rules in either the apportionment method or the pricing principle. Hence, a variety of mutual aid models which enable mutual aid members with different risks to exchange their risks in a transparent and actuarial fair way have been proposed in this paper. Besides, the decision-making frameworks for participants choosing between the mutual aid platform and similar insurance products, or choosing no risk sharing are constructed, respectively. Decisions are made based on the principle of maximizing expected utility. Moreover, the optimization problems of maximizing profit and minimizing risk are constructed, respectively. Through the principle of individual fairness and relative fairness, the problem of adverse selection of the platform can also be reduced. Finally, the actual mutual aid plan is compared with similar insurance products to discuss the advantages of the optimized plan.
Funder
National Key R&D Program of China
Publisher
Cambridge University Press (CUP)
Subject
Industrial and Manufacturing Engineering,Management Science and Operations Research,Statistics, Probability and Uncertainty,Statistics and Probability
Reference30 articles.
1. Asset preference, skewness, and the measurement of expected utility
2. [8] Chen, Z. , Feng, R. , Wei, L. , Zhao, J. (2021). From ex ante to ex post risk sharing: Cost-effectiveness, unfairness and adverse selection in mutual aid. Available at SSRN: https://ssrn.com/abstract=3925904.
3. [16] Eeckhoudt, L.R. & Laeven, R.J. (2015). Risk Aversion in the Small and in the Large under Rank-Dependent Utility. Preprint arXiv:1512.08037.
4. Optimal investment and reinsurance strategies for insurers with generalized mean–variance premium principle and no-short selling;Zhang;Insurance: Mathematics and Economics,2016
5. Risk sharing with multiple indemnity environments
Cited by
2 articles.
订阅此论文施引文献
订阅此论文施引文献，注册后可以免费订阅5篇论文的施引文献，订阅后可以查看论文全部施引文献