{"product_id":"insurance-and-behavioral-economics-improving-decisions-in-the-most-misunderstood-industry-9780521608268","title":"Insurance and Behavioral Economics: Improving Decisions in the Most Misunderstood Industry","description":"\u003cp\u003eInsurance is an extraordinarily useful tool to manage risk. When it works as intended  it provides financial protection to individuals and a profitable business model for insurance firms and their investors. But it is broadly misunderstood by consumers  regulators  and insurance executives. This book looks at the behavior of individuals at risk  insurance industry decision makers  and policy makers at the local  state  and federal level involved in the selling  buying  and regulating of insurance. It compares their actions to those predicted by benchmark models of choice derived from classical economic theory. When actual choices stray from predictions  the behavior is considered to be anomalous. With considerable sums of money at stake  both in consumer premiums and insurance company payouts  it is important to understand the reasons for anomalous behavior. Howard Kunreuther  Mark Pauly  and Stacey McMorrow examine these anomalies through the lens of behavioral economics  which takes into account emotions  biases  and simplified decision rules. The authors then consider if and how such behavioral anomalies could be modified to improve individual and social welfare. This book is neither a defense of the insurance industry nor an attack on it. Neither is it a consumer guide to purchasing insurance  although the authors believe that consumers will benefit from the insights it contains. Rather  this book describes situations in which both public policy and the insurance industrys collective posture need to change. This may require incentives  rules  and institutions to help reduce both inefficient and anomalous behavior  thereby encouraging behavior that will improve individual and social welfare.\u003c\/p\u003e","brand":"My Store","offers":[{"title":"Default Title","offer_id":45646930804789,"sku":"ByrdShop_0521608260","price":32.48,"currency_code":"USD","in_stock":true}],"thumbnail_url":"\/\/cdn.shopify.com\/s\/files\/1\/0627\/8139\/0901\/files\/9780521608268.jpg?v=1781681938","url":"https:\/\/atxbooks.com\/products\/insurance-and-behavioral-economics-improving-decisions-in-the-most-misunderstood-industry-9780521608268","provider":"ATX Books","version":"1.0","type":"link"}