Environmental Pollution Risk and Insurance
Date
01.01.2002
01.01.2002
Authors
Vito Fragnelli, Maria E. Marina
Keywords:
Environmental risk,Cooperative game
Environmental risk,Cooperative game
Publisher
Climate Change and Sustainable Development
Climate Change and Sustainable Development
Editor
Carlo Carraro
Carlo Carraro
JOURNAL
Edward Elgar
Edward Elgar
We consider environmental risks that are evaluated too much heavy for a single insurance company, but they can be insured by n companies which a premium is assigned to.This is precisely the Italian scenario where a pool of companies co-insures these risks.Under a game theoretic approach we start by analyzing how they should split the risk and the premium in order to be better off. Under suitable hypotheses, there exists an optimal decomposition of the risk, that allow us to define a cooperative game whose properties and some particular solutions are analysed.