2000 Annual Meeting
Meeting Location: Baltimore, MD
SUNDAY, AUGUST 6
8:00 AM - 5:00 PM Board Meeting
MONDAY, AUGUST 7
7:30 - 8:30 AM Breakfast
8:45 - 10:15 AM PLENARY SESSION I
Moderator: Robert P. Hartwig, Vice President & Chief Economist, Insurance Information Institute, New York, NY
Panelists: J. Paul Newsome, Vice President for Equity Research, Lehman Bros., New York, NY
10:15 - 10:30 AM Break
10:30 - 12:00 Noon CONCURRENT SESSIONS I
Session M.1-A: New Risks and New Roles
Moderator: Richard MacMinn, University of Nottingham, U.K.
1. "Risk-E-Business: Examination of Risks, Theories and Potential Research"
2. "A Study of the Management of Satellite Launch Risks"
3. "Switching Cost, Competition and Pricing in the Property-Liability Insurance Market for Large Commercial Accounts"
4. "How Liquidity, Risk Pooling and Project Monitoring May Increase Effective Capital and Boost Productivity: An Empirical Investigation of the Roles that Banking and Insurance have in Economic Growth"
Session M.1 -B: Cycles and Growth: International Perspective
Moderator: Mary Weiss, Temple University
1. "Underwriting Cycles in Israel: Regulation Aspects and the Case for Separating Property and Liability Insurance from Life and Health Insurance"
2. "Rational Expectations Underwriting Cycles: Is the Data Consistent with ‘Rationally Priced’ Cycles?"
3. “Determinants of Capital Structure in the Insurance Industry”
4. "Firm Size and Growth in the United Kingdom Life Insurance Industry"
Session M.1 -C: Medical Risks and Selection Effects
Moderator: Patricia Born, University of Connecticut
2. "Critical Illness Coverage"
3. "Risk Aversion and Medical Savings Accounts"
4. "Policyholder Evidence on Selection Effects in the U.K. Individual Annuity Market"
Session M.1 -D: Regulation and Deregulation
Moderator: Robert Klein, Georgia State University
1. "The Impact of Enforcement and Penalty Severity on Regulatory Compliance: Evidence from Compulsory Automobile Insurance Laws"
2. "The Impact of Commercial Lines Deregulation on the Surplus Lines Insurance Market"
3. "The Impact of Deregulation on an Oligopoly Insurance Market"
4. "The Effect of Regulated versus Market Risk on the Capital Structure of Life Insurers: A Structural Equation Modeling Approach"
12:00 - 1:30 PM President's Luncheon, hosted by ARIA President Jack Nelson on the topic "Asset Risk for Insurers".
1:45 - 3:15 PM PLENARY SESSION II: Data Mining: King's Ransom or Fool's Gold
Moderator: Richard Derrig, Senior Vice President, Automobile Insurers Bureau, Boston, MA
Panelists: Andrew W. Lo, Harris & Harris Group Professor & Director for Financial Engineering, MIT Sloan School of Management, Cambridge, MA
3:15 - 3:30 PM Break
3:30 - 5:00 PM CONCURRENT SESSION II
Session M.2-A: Assessing Financial Performance of Insurers
Moderator: James Carson, Illinois State University
1. "’Economic Value Added’ and Life Insurer Stock Performance"
2. "Rating Effects on Insurance Company Stock Returns"
3. "Information Reliability and Divergence of Opinion Among Rating Agencies"
4. "The Financial Effects of Rating Changes on Property-Liability Insurers"
Session M.2 -B: Emerging International Markets
Moderator: Jerry Todd, St Mary University
1. "Chinese Insurance Market: Opportunities and Challenges"
2. "Transformation of the Insurance Industry in Croatia"
3. "The Taxonomy of Transition from Communism to Market-based Insurance Transactions: A Case Study of Poland, the Czech Republic and Hungary"
4. "Is NAFTA the Trojan Horse for the US Insurance Industry?"
Session M.2 -C: Managing Risk for the Elderly
Moderator: Sandra Gustavson, The University of Georgia
1. "Is Raising Medicare Coinsurance Pareto Improving under Perfect Information and Markets?
2. "Consumer Medical Care Preferences as a Predictor of Prescription Drug Insurance Coverage in the Elderly"
3 "Implications of Alternative Medicare Prescription Drug Proposals for Beneficiary Catastrophic Burden"
4. "In Sickness and In Health: An Annuity Approach to Financing Long-term Care and Retirement Income"
Session M.2 -D: Managing Catastrophic Risks
Moderator: Richard Corbett, Florida State University
1. “Does Zero-beta Accurately Measure Catastrophic Bond Risk?”
2. “The Supply and Demand for Homeowners Insurance With Bundled Catastrophe Coverages”
3. “Managing Catastrophic Risk with Insurance Contracts Subject to Default Risk”
4. “Cataclysmic Risk”
5:00 - 5:45 PM Annual Business Meeting
6:00 - 7:00 PM Reception
TUESDAY, AUGUST 8
7:30 - 8:30 AM Breakfast: Les Strickler Innovation in Instruction Award
8:00 - 12:00 NOON Registration
8:45 - 10:15 AM CONCURRENT SESSIONS III
Session T.3 -A: Contracting: Moral Hazard and Other Issues
Moderator: Jan Ambrose, LaSalle University
1. "Contracting Under Ex Post Moral Hazard and Non-Commitment"
2. "Insurance with Indemnity and Basis Risk (Moral Hazard Basis Risk and Gap Insurance)"
3. "Conversions to Cash Balance Plans: An Implicit Contract Perspective"
4. "Insurance Contract Language and Non-OEM Parts"
Session T.3 -B: The Asian Insurance Market
Moderator: Gene Lai, University of Rhode Island
1. "The Impact of Asian Financial Crisis on Asian Insurance Companies"
2. "Insurance Regulations and Investment Returns in Asia"
3. "The Effects of Demographic Similarity on the Performance and Turnover of the Sales Branches and Solicitors in the Korean Life Insurance Industry"
4. "Forecasting the Commercial Pension Market in Shanghai"
Session T.3 -C: Organizational Forms and Performance
Moderator: Etti Baranoff, Virginia Commonwealth University
1. "An Economic Analysis of Demutualization in the Insurance Industry"
2. "Mutual Cooperative as a Game"
3. "Financial Economics of Life Insurer Mergers"
4. "The Impact of Diversification and Focus on Property-Liability Insurers"
Session T.3 -D: Fraud and Claim Characteristics
Moderator: Vickie Bajtelsmit, Colorado State University
1. "Fighting Insurance Fraud: Insurers, Regulators and Consumers"
2. "Replacement Cost Endorsement and Opportunistic Fraud in Automobile Insurance"
3. "Fraud Classification Using Principal Component Analysis RIDIT"
4. "Insurance Claims and Legal Findings: Trends from 1977-1997"
10:15 - 10:30 AM Break
10:30 - 12:00 NOON CONCURRENT SESSIONS IV
Session T.4 -A : Efficiency Analysis in the Insurance Industry
Moderator: Patrick Brockett, University of Texas at Austin
1. "The Impact of Deregulation of Liberalization on Efficiency: An Analysis of Life Insurance Industry in Taiwan"
2. "Technical, Scale and Allocative Efficiencies of the Property and Liability Insurance Industry"
3. "Efficiency of the German and of the Austrian Insurance Industry - A Comparison"
4. "Effects of Organizational Forms on Firm Efficiency: Keiretsu and Independent Firms in the Japanese Non-Life Insurance Industry"
Session T.4 -B: The Impact of the Internet on Insurance
Moderator: Lorilee Schneider, Georgia State University
1. "On the Implications of the Internet for Insurance Markets and Institutions"
2. "Independent Agency Internet Use Survey"
3. "The Impact of the Internet on Pricing in the Life Insurance Industry"
4. "An Examination of Internet Impact on Insurance Consumers in Korea: A Web-based Survey Approach"
Session T.4 -C: Risk Hedging and Transfers: An Economic Analysis
Moderator: Steven Pottier, University of Georgia
1. “Hedging, Compensation and Earnings Surprises”
2. “A Monopolist’s Demand for Risk Control and Financial Risk Transfer”
3. “Preserving Insurance-Demand Preferences Under Background Risks”
4. “Increases in Risk with Multiple Decisions”
Session T.4 -D: Workers’ Compensations Issues and Valuation of Life
Moderator: Jack Worrall, Rutgers University
1. “International Comparison of Benefit Delivery Systems for Workers’ Compensation”
2. “Choice of Medical Care Provider and Workplace Injuries”
3. “Psychological and Economic Correlates of Work Injuries”
4. “Risk, the Willingness-to-Pay, and the Value of a Human Life”
12:15 - 2:00 PM Past Presidents' Luncheon
2:15 - 3:45 PM PLENARY SESSION III : “Risk Management in the New Economy”
Moderator: James Garven, Baylor University
Panelists: Steve Haase, Chief Executive Officer, INSUREtrust.com, Atlanta, GA
3:45 - 4:00 PM Break
4:00 - 5:15 CONCURRENT SESSIONS V
Session T.5 -A: Reinsurance and Catastrophes
Moderator: Jeffrey Brown, Harvard University
1. "Catastrophe Index-Linked Securities and Reinsurance as Substitutes"
2. "On the Valuation of Double Trigger Reinsurance Products"
3. "The Global Market for Reinsurance: Consolidation, Capacity, and Efficiency"
4. “The Basis Risk of Catastrophic-Loss Index Securities”
Session T.5 -B: Analysis of the Impact of Consolidation in the Financial Services Industry
Moderator: Steven Weisbart, TIAA-CREF, New York
1. "Organizing Financial Service Providers: Does Focus Matter?"
2. "The Profitability and Risk Effects of the US Insurance Companies Diversification Into Banking Business: An Empirical Analysis"
3. "Distribution of Financial Services: Personal Insurance and Banking"
4. "Wealth Effects of Banks’ Rights to Market and Originate Annuities"
Session T.5 -C: Statistical and Quantitative Methods Applied to Insurance Problems
Moderator: Martin Grace, Georgia State University
1. "Soft Computing Applications in Insurance"
2. "Ruin Theory in a Financial Corporation Model with Credit Risk"
3. "The Underwriting Cycle: Stationarity and Stability"
4. "Do Underwriting Margins Have Unit Roots?"
Session T.5 -D: Financial Analysis of Assets and Liabilities
Moderator: James Garven, Baylor University
1. “A Unified Valuation Model for Insurance Assets and Liabilities”
2. “The Effective Duration for P-L Liabilities with Stochastic Interest Rates”
3. “Financial Engineering of Property/Casualty Insurance Cash Flows”
4. “Multifactor Interest Rate Models and Dynamic Financial Analysis”
WEDNESDAY, AUGUST 9
7:30 - 8:30 AM Breakfast
8:45 - 10:15 AM CONCURRENT SESSIONS VI
Session W.6 -A: Pension and Retirement Issues
Moderator: Bruce Palmer, Georgia State University
1. “Market Share Modeling in a Mandatory Privatized Pension Market”
2. “Professional Financial Advisors and the Role of Social Security in Retirement Planning”
3. “Differential Mortality and the Value of Individual Account Retirement Annuities”
4. “The Role of Government Guarantees for Private Pensions: Canada’s Natural Experiment”
Session W.6 -B: Value at Risk and Risk Exposure
Moderator: David Cummins, University of Pennsylvania
1. “Life Insurance Company Risk Exposure with Risk-Based Capital Requirements: Accounting and Market Based Analysis”
2. “An Empirical Study on the Solvency Prediction of Value at Risk and Risk Based Capital”
3. “Value at Risk for the Reserves of Multi-Product Life Insurers”
4. “Comparing Different Methods of Calculating Value at Risk”
Session W.6 -C: Comparative Analysis of Risk Management Practices and Performances
Moderator: Gilles Bernier, Laval University, Canada
1. “Risk Management Practices: An Empirical Analysis of the UAE Commercial Banks
2. “Risk Management Practices: A Comparison of U.S. and Canada
3. “A Comparative Study of the Strategic Group and Performance Relationship in the Insurance Industry: U.S. Versus Non-U.S. Insurers”
4. “Implementation, Mitigation and Limited Liability: An Agency Model of Public Disaster Insurance”
Session W.6 -D: Behavioral Research and Insurance
Moderator: Robert Harshbarger, Mississippi State University
1. "Construction of an Index of Economic Insecurity"
2. "Economic, Demographic, and Psychological Factors Effecting the Decision to Voluntarily Insure"
3. "A Survey on the Impact of Consolidation in the Insurance Broking Sector in Singapore"
4. "The Influence of Reputation on Strategic Dynamics"
10:15 - 10:30 AM Break
10:30 - 12:00 Noon CONCURRENT SESSIONS VII
Session W.7 -A: Innovations in Risk Management and Insurance Education
Moderator: Lisa Gardner, Bradley University
1. "Estimating Relative Demand for Business Courses at a Major State University"
2. "A Converging Risk Management Curriculum"
3. "Web-Based Instruction: Successful Preparation for Course Transformation"
4. "Innovations in Education in Insurance and Risk Management: A High School Summer Honors Seminar"
Session W.7 -B: Automobile Risk and Insurance
Moderator: Sharon Tennyson, Cornell University
1. "The Effect of Seat Belt Usage Rates on the Number of Motor Vehicle-Related Fatalities"
2. "Adjusting Statewide Automobile Physical Damage Loss Trend Indications for Regional Influences: A Pooled Modeling Approach"
3. "The AAA Michigan Road Improvement Demonstration Program: An Analysis of the Effectiveness of Using Safety Enhancements to Help Reduce Societal and Insurance Costs"
4. “Wireless Technology and Automobile Accidents”
Session W.7 -C: Ethical and Public Policy Issues
Moderator: Phil Stichter, Griffith Foundation for Insurance Education
1. "The Ethical Environment of the U.S. Insurance Industry"
2. "Public Policy Issues Concerning State-Specific Insurance Companies"
3. “Economically Feasible and Politically Motivated Outcomes in a Two-tiered Market”
4. "Gender and Earnings in the Insurance Industry"
Session W.7 -D: Current Insurance Issues
Moderator: Lee Colquitt, Auburn University
1. “Toward Optimal Corporate Cost-of-Risk Allocation”
2. “Tax Arbitrage in the Austrian Insurance Market: An Empirical Analysis”
3. "Tracking Personal Lines Market Share Shifts After Hurricane Andrew"