Optimal form & deadline for paying insurance agents their commission

Research output: Chapter in Book/Report/Conference proceedingConference contributionpeer-review

Abstract

In view of this question, whether lengthening the deadline of commission payment can effectively restrict the occurrence of myopia action of the insurance agent, a long-term principal-agent model and a model of the best deadline of commission payment are established. It's proved that the optimal insurance contract must have the part of fixed wages. A formula for the best deadline of commission payment is given. Meanwhile the models of the reference [1], [2], and [3] are improved, and also some conclusions of those references are strengthened.

Original languageEnglish
Title of host publication2010 International Conference on Future Information Technology and Management Engineering, FITME 2010
Pages115-118
Number of pages4
DOIs
StatePublished - 2010
Event2010 International Conference on Future Information Technology and Management Engineering, FITME 2010 - Changzhou, China
Duration: 9 Oct 201010 Oct 2010

Publication series

Name2010 International Conference on Future Information Technology and Management Engineering, FITME 2010
Volume2

Conference

Conference2010 International Conference on Future Information Technology and Management Engineering, FITME 2010
Country/TerritoryChina
CityChangzhou
Period9/10/1010/10/10

Keywords

  • Insurance agent
  • Insurance commission
  • Insurance contract
  • Principal-agent

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