An Extension of One-Period Nash Equilibrium Model in Non-Life Insurance Markets

Abstract

This paper deals with an extension of the one-period model in non-life insurance markets (cf. [1]) by using a transition probability matrix depending on some economic factors. We introduce a multi-period model and in each period the solvency constraints will be updated. Moreover, the model has the inactive state including some uninsured population. Similar results on the existence of premium equilibrium and sensitivity analysis for this model are presented and illustrated by numerical results.

On a Markovian Game Model for Competitive Insurance Pricing

“…4), which considers different objective functions to model market shares in health insurance studied in Daily-Amir et al (2019). Moreover, Battulga et al (2018) consider an m-period version of the objective function but still investigates the premium equilibrium in a static framework.…”