As healthy people leave an insurance pool, premiums rise, which cause more people to leave the pool and even higher premiums. This describes

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This phenomenon is known as a "premium death spiral." It occurs when healthier individuals opt out of an insurance pool due to rising premiums, leaving a higher concentration of less healthy individuals. This leads to even higher premiums, as the insurance pool becomes riskier to insure, causing more healthy people to leave and further escalating the cycle.

As Healthy People Leave an Insurance Pool, Premiums Rise, Which