Assignment Desсrіption: Essential questions What is the main benefit of choosing to purchase insurance? How do the insurance company and the policyholder share risk and costs? Students need to read about how the insurance process works in the framework of different life insurance policies and elaborate the roles the insurance company and the policyholder’s play. They should also review information about specific types of insurance policy coverage and costs using the problems of adverse selection and moral hazard. Finally evaluate a case study to see how one policyholder’s insurance choices affected financially. Case study outline should include the following points: Introduction – write an introduction where you identify the key problem and make a summary of the problem Background information – include some relevant facts and issues related to different life insurance policies in the backdrop of problems of adverse selection and moral hazard and also describe several alternatives. Describe also existing constraints with each of the policies Solution – provide one realistic solution to the problem; explain the reasons behind the proposed solution; support this solution with justification and include relevant theoretical concepts as well as the results of your research. Recommendations – identify specific strategies to accomplish the proposed solution; recommend further actions; outline an implementation plan. Submission Guidelines: 1) Individual Assignment with necessary data support and explanation (softcopy). 2) The first page of the report should have the title of the assignment, name of the student with register number, department name and CHRIST (Deemed to be University) logo.
