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Une évaluation empirique de la nouvelle tarification de l'assurance automobile (1992) au Québec

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  • Dionne, Georges

    (HEC Montreal, Canada Research Chair in Risk Management)

  • Vanasse, Charles

    (Université de Montréal)

Abstract

The goal of this research was to evaluate the effects of the 1992 change in the automobile insurance pricing by the Société de l'assurance automobile du Québec (SAAQ, the public insurer for bodily injuries) on road safety. Our results indicate that the new pricing system reduced infractions and accidents which means that it increased road safety. Moreover, our results show that the total number of demerit points accumulated over two years is a good predictor for road accidents in the next two-years period which supports the pricing formula of the SAAQ. Finally, we obtain that this pricing policy introduces more fairness in actuarial terms by charging higher premia to higher risks. These results were obtained from the parameters estimation of the Negative Binomial distribution with random effects to take into account of the panel characteristics of the data.

Suggested Citation

  • Dionne, Georges & Vanasse, Charles, 1997. "Une évaluation empirique de la nouvelle tarification de l'assurance automobile (1992) au Québec," Working Papers 96-3, HEC Montreal, Canada Research Chair in Risk Management.
    • Handle: RePEc:ris:crcrmw:1996_003
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    Cited by:

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    2. Xavier d'Haultfoeuille & Philippe Février, 2007. "Identification and Estimation of Incentive Problems : Adverse Selection," Working Papers 2007-21, Center for Research in Economics and Statistics.
    3. Magali Chaudey, 2017. "Why test the theory of incentives in a dynamic framework?," Working Papers 1733, Groupe d'Analyse et de Théorie Economique Lyon St-Étienne (GATE Lyon St-Étienne), Université de Lyon.

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    More about this item

    Keywords

    Sécurité routière; tarification publique de l assurance automobile; Québec; accidents de la route; infraction; points dinaptitude; Poisson; Binomiale négative; panel; effets aléatoires; effets fixes;
    All these keywords.

    JEL classification:

    • G22 - Financial Economics - - Financial Institutions and Services - - - Insurance; Insurance Companies; Actuarial Studies

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