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  3. Study Set
    Managerial Economics Study Set 1
  4. Exam
    Exam 17: The Problem of Adverse Selection
  5. Question
    ​An Indication That Insurance Companies Anticipate Adverse Selection Is
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​An Indication That Insurance Companies Anticipate Adverse Selection Is

Question 2

Question 2

Multiple Choice

​An indication that Insurance companies anticipate adverse selection is


A) ​they do not require a deductible
B) they do not classify clients into different risk types according to their claim history
C) they do not classify clients into different risk types according to pre-existing conditions
D) ​they require a co-payment

Correct Answer:

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