The Car Insurance Design And Pricing Model Research Based On The Risk Of Moral Hazard

Car insurance,full name is the motor vehicle insurance.It is a kind of commercial insurance for motor vehicle that makes the liability to indemnities due to the loss of life or personal injury caused by natural hazards or accident or damage to property.With the improvement of people's living standard,private car ownership in China is gradually increasing,car insurance has become the insurance products that most people need to contact,car insurance has become one of the most important insurance of the modern insurance market.Although the car insurance market got rapid development,but car insurance market also produced some problems because of the existence of moral hazard so that the car insurance has high loss ratio.For example owners who pay for insurance might not prevent the accident carefully as they don't pay for insurance.the owners may exaggerate its losses after accident,even they forge facts and buy insurance after the accident,it's a serious impediment to the development of car insurance market.In order to make the car insurance market development healthily,this paper mainly research on the moral risk of auto insurance market,it make the car insurance pricing use of the theory of expected utility function under the influence of the moral risk,through the analysis of the moral risk owners probability research,we can get the optimal insurance price and deductible.We can further analyze the relationship insurance price,review the probability,prevent,review the cost and the probability of the risk of moral hazard.This paper is divided into five parts for research.First chapter is introduction,it mainly introduces the research background and significance of the moral hazard,this paper expounds the domestic and foreign research situation of the moral hazard of car insurance market.The second chapter mainly introduces the moral hazard and asymmetric information theory and some basic game theory,and we understand the causes of the moral risk and the harm of insurance market,we make assumptions that we need information of the policy-holder and insurer,and on this basis we analysis the wealth of the policy-holder and the insurer use of the game analysis.The third chapter mainly introduces the theory of utility function,and makes a simple analysis of auto insurance,on the basis we analysis the moral hazard of use of utility function,and to price car insurance premium,and analyze the relationship insurance price,review the probability,prevent,review the cost and the probability of the risk of moral hazard.The fourth chapter focuses on the deductible.When the compensation structure is the limit compensation,under the influence of moral hazard,we get the optimal deductible formula.The fifth chapter is summarized to the full text,and points out the follow-up research work should be done in the article.