Assistant Professor, SGH Warsaw School of Economics
The chapter shows the possibility of analyzing the insurance market by using the Rothschild–Stiglitz equilibrium model and its subsequent modifications. As an example the Polish market of compulsory third party liability insurance was used.
The chapter deals with issues related to digital insurance offered on demand and in the usege-based formula. The purpose of this chapter is to describe the essence of these types of insurance, their characteristics and the state of development. The chapter consists of three basic parts. The first part focuses on the description of the essence of on-demand insurance.
The main objective of the book is to assess the potential consequences of the use of insurance telematics to reduce the effects of information asymmetry on the Polish market of compulsory motor insurance. The conducted research consisted in describing the expected behaviour of the models of the mandatory motor insurance market in relation to different systems regarding the use of telematics by insurers
This chapter shows the possibility of introducing the usage-based insurance (UBI) for the sake of the individualisation of compulsory motor Third-Party liability insurance premiums with the aim of achieving the stability in Central and Eastern European markets and bringing them closer to the state of equilibrium. The chapter presents both the historical perspective of UBI development and the summary of the research carried out over the last decade.