Insurance Companies Try to Avoid Adverse Selection and Moral Hazard

Multiple Choice

Insurance companies try to avoid adverse selection and moral hazard problems through all of the following methods except one.Which is the exception?

A) offering group policies
B) requiring lengthy application forms
C) requiring physical examinations
D) setting uniform premiums (i.e., prices of insurance policies) for all policies
E) requiring policyholders to pay a deductible