Setting Premiums Ethically

Abstract
Insufficient attention has been paid to the ethics of distributing costs of insurance risk. Seven approaches are articulated: the egalitarian model, the needs/ability model, the loss history model, the statistical model, the causality model, the moral fault model (avoidability interpretation and worldview interpretation), and eclectic models. The ethical dimensions of each model are explored. Although some reasons are given for preferring the eclectic model, the main purpose of the paper is to provide an ethical framework for further discussion of an oft-neglected issue
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