Ron Gebhardtsbauer, Thesis Supervisor Ron Gebhardtsbauer, Thesis Honors Advisor Evan Garrett Morgan, Faculty Reader
Keywords:
Insurance insurability actuarial risk
Abstract:
When families invest in a college education, they are giving the student a foundation for a prosperous career. Unfortunately, if he ends up dropping out of school without credit, the family loses a significant sum of money. Consumers utilize insurance to protect other investments like homes and cars, so a natural question is whether academic performance can be insured.
The first step to answering that question is checking whether academic performance meets the theoretical definitions of an insurable risk. Scholars have put forth several criteria that must be met for insurability, so college performance will be evaluated against each of them. Additionally, current products exist that protect against similar risks in college education.
If the insurability criterion is met, the next step is to conduct product design and exploratory financial analysis, followed by a market demand analysis. Recommendations will be made for further research in these areas.
