Corporate Demand for Insurance: New Evidence From the U.S. Terrorism and Property Markets

• Date: 01 December 2015
• Published date: 01 December 2015
• DOI: http://doi.org/10.1111/jori.12133

Corrigendum

CORPORATE DEMAND FOR INSURANCE:

NEW EVIDENCE FROM THE U.S.TERRORISM AND

PROPERTY MARKETS

In Michel-Kerjan (2015), the following error was published on page 515.

The coefficient b

2

, exhibits the price elasticity of demand. We expect b

2

to be negative

and significant for both property and terrorism. We also expect b

2

to be higher for

property than for terrorism and to find the demand for terrorism insurance to be more

price inelastic for reasons we explained in the Introduction that reviews the literature

and our hypotheses.

The text was incorrect and should have read:

The coefficient b

2

, divided by the mean of Cover

ci

, exhibits the price elasticity of

demand. We expect b

2

to be significant for both property and terrorism. We also

expect to find the demand for terrorism insurance to be more price inelastic for

reasons we explained in the Introduction.

The online version of this article has been amended and the revised text is denoted by

a correction statement.

We apologize for this error.

REFERENCE

Michel-Kerjan, E., P. Raschky, and H. Kunreuther, 2015, Corporate Demand for

Insurance: New Evidence From the U.S. Terrorism and Property Markets, Journal of

Risk and Insurance, 82(3):505-530.

© 2015 The Journal of Risk and Insurance. Vol. 82, No. 4, 989 (2015).

DOI: 10.1111/jori.12133

989