Publication:
Annuity Markets in Chile : Competition, Regulation - and Myopia?

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dc.contributor.authorWalker, Eduardo
dc.date.accessioned2012-06-18T22:10:18Z
dc.date.available2012-06-18T22:10:18Z
dc.date.issued2006-08
dc.description.abstractThe author studies annuity rates in Chile and relates them with industry competition. He finds (1) that annuity insurance companies paying higher broker commissions paid lower annuity rates; and (2) a structural break of the long-run elasticity of annuity rates to the risk-free rate in 2001. Moreover, this structural break coincided with the submission of a new draft pension law proposing greater transparency in annuity markets and a generalized drop in broker commissions. The high commissions charged in the 1990s were partly returned to annuitants as informal (and illegal) cash rebates. Myopic pensioners preferred cash rebates over present values. Thus, the legal threat caused the drop in broker commissions, reduced the illegal practice of cash rebates, increased competition by way of annuity rates, and raised the long-run elasticity to one.en
dc.identifierhttp://documents.worldbank.org/curated/en/2006/08/6940919/annuity-markets-chile-competition-regulation-myopia
dc.identifier.doi10.1596/1813-9450-3972
dc.identifier.urihttps://hdl.handle.net/10986/8381
dc.languageEnglish
dc.publisherWorld Bank, Washington, DC
dc.relation.ispartofseriesPolicy Research Working Paper; No. 3972
dc.rightsCC BY 3.0 IGO
dc.rights.holderWorld Bank
dc.rights.urihttp://creativecommons.org/licenses/by/3.0/igo/
dc.subjectAGENCY PROBLEMS
dc.subjectAGENTS
dc.subjectANNUITIES
dc.subjectANNUITIES MARKETS
dc.subjectANNUITY
dc.subjectANNUITY MARKETS
dc.subjectANNUITY PAYMENT
dc.subjectANNUITY RATE
dc.subjectANNUITY RATES
dc.subjectASSETS
dc.subjectAUCTION
dc.subjectAUCTIONS
dc.subjectBANKRUPTCY
dc.subjectBENEFICIARIES
dc.subjectBOLSA
dc.subjectBONDS
dc.subjectBROKERS
dc.subjectCAPITAL MARKETS
dc.subjectCENTRAL BANK
dc.subjectCOMMISSIONS
dc.subjectCONSUMERS
dc.subjectCOST OF CAPITAL
dc.subjectCREDIT RISK
dc.subjectDEBT
dc.subjectDISCOUNT RATES
dc.subjectELASTICITY
dc.subjectEMERGING MARKETS
dc.subjectFINANCIAL INSTRUMENTS
dc.subjectFUTURE PAYMENTS
dc.subjectINDEXED BONDS
dc.subjectINFLATION
dc.subjectINFLATION RATE
dc.subjectINSURANCE
dc.subjectINSURANCE COMPANIES
dc.subjectINSURANCE COMPANY
dc.subjectINSURANCE INDUSTRY
dc.subjectINTEREST RATE
dc.subjectINTEREST RATES
dc.subjectINTERNAL RATE OF RETURN
dc.subjectINVESTMENT POLICIES
dc.subjectINVESTMENT RISK
dc.subjectINVESTMENT STRATEGIES
dc.subjectLIFE EXPECTANCY
dc.subjectLIFE INSURANCE
dc.subjectLIFE INSURANCE COMPANIES
dc.subjectLONGEVITY INSURANCE
dc.subjectLONGEVITY RISK
dc.subjectMANDATORY SAVINGS
dc.subjectMANDATORY SYSTEM
dc.subjectMARGINAL COST
dc.subjectMARKET RISK
dc.subjectMORTALITY TABLES
dc.subjectPAYOUT
dc.subjectPENSION FUND
dc.subjectPENSION FUND ADMINISTRATORS
dc.subjectPENSION FUNDS
dc.subjectPENSION LAW
dc.subjectPENSION SYSTEM
dc.subjectPENSION SYSTEMS
dc.subjectPENSIONERS
dc.subjectPENSIONS
dc.subjectPORTFOLIOS
dc.subjectPREMIUMS
dc.subjectPRIVATIZATION
dc.subjectRATES
dc.subjectRATES OF RETURN
dc.subjectREAL INTEREST RATE
dc.subjectRETIREES
dc.subjectRETIREMENT
dc.subjectRETIREMENT AGE
dc.subjectRISK PREMIUM
dc.subjectRISK-FREE RATE
dc.subjectSAVINGS
dc.subjectSECURITIES
dc.subjectSOCIAL SECURITY
dc.subjectSTATEMENTS
dc.subjectSTRUCTURAL CHANGE
dc.subjectTRANSPARENCY
dc.subjectUNDERESTIMATES
dc.subjectVALUATION
dc.subjectVARIABLE ANNUITIES
dc.subjectWEALTH
dc.subjectYIELD CURVES
dc.titleAnnuity Markets in Chile : Competition, Regulation - and Myopia?en
dspace.entity.typePublication
okr.crossref.titleAnnuity Markets In Chile : Competition, Regulation - And Myopia ?
okr.date.doiregistration2025-04-10T09:20:27.670063Z
okr.doctypePublications & Research::Policy Research Working Paper
okr.doctypePublications & Research
okr.docurlhttp://documents.worldbank.org/curated/en/2006/08/6940919/annuity-markets-chile-competition-regulation-myopia
okr.globalpracticeMacroeconomics and Fiscal Management
okr.globalpracticeSocial Protection and Labor
okr.globalpracticeFinance and Markets
okr.guid186151468237327490
okr.identifier.doi10.1596/1813-9450-3972
okr.identifier.externaldocumentum000016406_20060721143736
okr.identifier.internaldocumentum6940919
okr.identifier.reportWPS3972
okr.language.supporteden
okr.pdfurlhttp://www-wds.worldbank.org/external/default/WDSContentServer/WDSP/IB/2006/07/21/000016406_20060721143736/Rendered/PDF/wps3972.pdfen
okr.region.administrativeLatin America & Caribbean
okr.region.countryChile
okr.topicFinance and Financial Sector Development::Non Bank Financial Institutions
okr.topicEconomic Theory and Research
okr.topicPensions and Retirement Systems
okr.topicInsurance and Risk Mitigation
okr.topicMacroeconomics and Economic Growth::Investment and Investment Climate
okr.topicSocial Protections and Labor
okr.unitDevelopment Research Group (DECRG)
okr.volume1 of 1
relation.isSeriesOfPublication26e071dc-b0bf-409c-b982-df2970295c87
relation.isSeriesOfPublication.latestForDiscovery26e071dc-b0bf-409c-b982-df2970295c87
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