How Do Financial Constraints Affect Product Pricing? Evidence from Weather and Life Insurance Premiums
利用同时拥有人寿和财产意外险部门的保险集团数据，研究发现财产意外险部门遭受损失后，人寿险部门会调整保费以快速获取财务资源，且约束更强的集团调整幅度更大。
ABSTRACT I identify the effects of financial constraints on firms' product pricing decisions, using insurance groups containing both life and property & casualty (P&C) divisions. Following P&C divisions' losses, life divisions change prices in a manner that can generate more immediate financial resources: premiums fall (rise) for life policies that immediately increase (decrease) insurers' financial resources. Premiums change more in groups that are more constrained. Life divisions increase transfers to P&C divisions, suggesting P&C divisions' shocks are transmitted to life divisions. Results hold when instrumenting for P&C divisions' losses with exposure to unusual weather damages, implying that the effects are causal.