Risk Aversion, Insurance Costs and Optimal Property-Liability Coverages
将均值-方差投资组合模型扩展至保险选择，研究个人如何选择免赔额和保额，并利用其他风险资产的行为衡量保险交易的风险容忍度。
The standard mean-variance portfolio model can be modified to show how individuals select deductibles and face amounts of coverage. Optimal insurance decisions balance the portfolio holder's desire for insurance protection against the cost of insurance. This same conclusion has been derived by insurance economists who considered insurance and insurable risks in isolation from other assets. However, the broader portfolio setting allows the portfolio holder's behavior towards other risky assets to provide an objective measure of risk tolerance for tile insurance transaction. This setting extends many conclusions from traditional insurance economics into modern portfolio theory. The mean-variance approach also leads to specific predictions about behavior by individuals towards deductibles and amounts of coverage.