Exclusive Contracts in Health Insurance

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Exclusive contracts in health insurance

Competition between insurance companies for employees of a firm often increases the prices and reduces the availability of high-quality health plans offered to employees. An insurance company can reduce competition by signing an exclusive contract, which guarantees that the company is the only insurance provider. The study assesses whether exclusive contracts can alleviate the negative conseque...

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Are Exclusive Contracts Anticompetitive?

While antitrust law is often hostile to exclusive contracts that say ”you agree not to purchase this product from anyone besides me”, economic theory so far has provided only partial support for such a hostility.1 This paper shows that this hostility can be justified under more general circumstances than has been established so far in the literature: a firm may introduce exclusivity clauses in ...

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We consider lifetime health insurance contracts in which ageing provisions are used to smooth the premium profile. The capital stock accumulated for each individual can be decomposed into two parts: a premium insurance and an annuitised life insurance, only the latter being transferable between insurers without triggering premium changes through risk segmentation. In a simulation based on Germa...

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ژورنال

عنوان ژورنال: Business and Management Research

سال: 2015

ISSN: 1927-601X,1927-6001

DOI: 10.5430/bmr.v4n2p37