Welcome to the ARIA 2021 Annual Meeting Agenda App. You are seeing this in simple view. Click on any session to see Presenters, Discussants and a Session Description. Click on Presenters to find a single presenter and their sessions. If you find an error, please email gphillips@aria.org. Registrants have been added and will continue to be updated until 7/29/21 when registration closes. Zoom links will be shared directly with all participants two days prior to the conference. Please make notifications@sched.com a "safe sender" in your email system. We will be sending messages throughout the conference through this medium. 
Back To Schedule
Wednesday, August 4 • 9:00am - 10:30am
6A3 Rate Regulation Revisited: Does Stringent Regulation Impact Insurance Prices?

Sign up or log in to save this to your schedule, view media, leave feedback and see who's attending!

Feedback form is now closed.
Junhao Liu, The University of Sydney; Tyler Leverty, University of Wisconsin-Madison

This study reinvestigates the effect of stringent rate regulation on prices in the U.S. property-liability industry. Despite a rich literature on insurance rate regulation, the short-term and long-term effects of stringent rate regulation on insurance prices remain unclear. We extend this literature using data at the firm-line-state level, which allows us to estimate fixed effects regressions that exploit different sources of variation in rate regulation – across states, over time, and across lines – to determine whether and how stringent rate regulation effects prices. We find that, on average, stringent rate regulation lowers the unit price of insurance. The magnitude and duration of the influence of stringent rate regulation on price varies over time, with the biggest impact in the early 2000’s during and after a wave of deregulation. We also find suggestive evidence that differences in how states administer rate regulation impact rates.


Jinjing Wang

University of Akron

avatar for Junhao Liu

Junhao Liu

Postdoctoral Research Associate, The University of Sydney
avatar for Ty Leverty

Ty Leverty

University of Wisconsin-Madison
Tyler Leverty is an Associate Professor in the Department of Risk and Insurance at the University of Wisconsin-Madison. He holds the Gerald D. Stephens CPCU Distinguished Chair in Risk Management and Insurance.  He is a Senior Editor of the Journal of Risk and Insurance, the current... Read More →

Wednesday August 4, 2021 9:00am - 10:30am EDT