we thank amy finkelstein for comments george zanjani data on insurance market participation rates and pak shun ng research assistance the department of economics c mulligan uchicago edu irving b harris graduate school public policy studies law t philipson under symmetric information by casey tomas j university chicago preliminary incomplete november 2003 1 introduction when people are risk averse full can be bought at actuarially fair prices everyone should fully insure against all many markets do indeed have a remarkable share population participating in them despite alternatives that may lower demand private coverage however as seen table lines there is not rate type earthquake 29 dwellings condos california 12 31 1994 homeowners 92 auto liability 77 vehicles ca health non elderly 6 1997 life 78 us households 1992 90 two adult 1993 source
