Next Article in Journal
Assessing Judicial Empowerment
Next Article in Special Issue
Concerns about Genetic Discrimination after Regulation: A Qualitative Study of the Situation Regarding BRCA and Huntington’s Disease in Belgium
Previous Article in Journal
Decision-Making Behaviour under the Mental Health Act 1983 and Its Impact on Mental Health Tribunals: An English Perspective
Article Menu

Export Article

Open AccessArticle

Why Insurers Are Wrong about Adverse Selection

School of Mathematics, Statistics and Actuarial Science, University of Kent, Canterbury CT2 7FS, UK
Received: 25 November 2017 / Revised: 22 February 2018 / Accepted: 11 April 2018 / Published: 15 April 2018
(This article belongs to the Special Issue Genetic Discrimination and the Law)
Full-Text   |   PDF [412 KB, uploaded 3 May 2018]   |  


Insurers typically argue that regulatory limits on their ability to use genetic tests will induce ‘adverse selection’; they say that this has disadvantages not just for insurers, but also for society as a whole. I argue that, even on its own terms, this argument is often flawed. From the viewpoint of society as a whole, not all adverse selection is adverse. Limits on genetic discrimination that induce the right amount of adverse selection (but not too much adverse selection) can increase ‘loss coverage’, and so make insurance work better for society as a whole. View Full-Text
Keywords: insurance; adverse selection; loss coverage; genetic testing; genetic discrimination insurance; adverse selection; loss coverage; genetic testing; genetic discrimination

Figure 1

This is an open access article distributed under the Creative Commons Attribution License which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited (CC BY 4.0).

Share & Cite This Article

MDPI and ACS Style

Thomas, R.G. Why Insurers Are Wrong about Adverse Selection. Laws 2018, 7, 13.

Show more citation formats Show less citations formats

Note that from the first issue of 2016, MDPI journals use article numbers instead of page numbers. See further details here.

Related Articles

Article Metrics

Article Access Statistics



[Return to top]
Laws EISSN 2075-471X Published by MDPI AG, Basel, Switzerland RSS E-Mail Table of Contents Alert
Back to Top