ACCI Conference 2018

Mohammadali Zolfagharian, Fuad Hasan, Gregory D. Squires - Prior research has documented redlining: certain practices in the home insurance industry that render underprivileged minorities vulnerable to higher policy premiums and/or lower claim payments. In spite of the emergence and enforcement of relevant policy frameworks to monitor and control insurance providers, scholars report that disparate conditions prevail across home insurance markets. The present research examines how culturally informed consumer perceptions of insurance play a role in creating disparate outcomes in the home insurance market. The results suggest that disparities are attributable, in part, to cultural differences on the demand side. New directions for policy are proposed to address the situation by informing and empowering the vulnerable consumer._x000D_
Mohammadali Zolfagharian, Fuad Hasan, Gregory D. Squires