Which of the following is not a reason why insurance products are inefficient in a financial...

Which of the following is not a reason why insurance products are inefficient in a financial sense?

		Search Costs
		Incomplete Information
		Overhead Costs
		Underwriting Costs

Expert Solution

Incomplete Information is not a reason why insurance products are inefficient in a financial sense

Therefore correct answer is option: Incomplete Information

Incomplete Information is not a reason why insurance products are inefficient in a financial sense because it is not a financial cost. Other costs like search costs, overhead costs and underwriting cost could be a reason why insurance products are inefficient in a financial sense as these cost are financial costs.

jeff jeffy answered 2 years ago

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