volume 8, issue 2, P399-405 2002
DOI: 10.1017/s1357321700003779
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Abstract: The valuation of insurance under uncertainty: does information about probability matter? 195-224. In a laboratory experiment we test the hypothesis that consumers' valuation of insurance is sensitive to the amount of information available on the probability of a potential loss. In order to test this hypothesis we simulate a market in which we elicit individuals' willingness to pay to insure against a loss characterised either by known or else vague probabilities. We use two distinct treatments by providing su…

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