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Factors influencing the willingness to pay for insurance in Norway : An empirical study of the willingness to pay for small insurance contracts

Markgren, Marcus; Ribe, Ole Christoffer
Master thesis
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URI
https://hdl.handle.net/11250/3098113
Date
2023
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  • Master Thesis [4657]
Abstract
The purpose of this study is to investigate how the choice of deductible, degree of risk

aversion and the level of income influence the willingness to pay for small insurance

contracts in Norway.

We use data from a survey where individuals were asked to answer on a lifetime income

lottery, as well as to answer on how much they were willing to pay for an insurance

contract on a mobile phone. An interval regression for panel data is used to handle the

survey data.

Our results suggest that the willingness to pay for small insurance contracts decreases

with both a higher income and a higher deductible. However, we can not draw a reliable

conclusion about risk aversion based on our results.

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