The Adverse Selection Problem in Insurance Occurs Because

The adverse selection problem in insurance occurs because:

A) those who are most likely to need insurance are also most likely to purchase it.
B) some insurance companies set their premiums too high, causing them to lose customers.
C) some insurance companies do not select investment that generate suffcient funds for the companies to pay insurance claims.
D) people who purchase insurance are less likely to engage in risky behavior.