How do insurance companies lessen the impact of moral hazard?

Question

Quizplus · Accepted Answer

A)Insurance companies lessen the impact of moral hazard by requiring that
individuals with insurance make co-payments or pay a deductible.These features of insurance policies create a financial incentive for individuals to refrain from making claims.
B)Insurance companies lessen the impact of moral hazard by requiring that individuals with insurance make co-payments or pay a deductible.These features of insurance policies create a financial incentive for individuals to refrain from making claims.
C)Insurance companies lessen the impact of moral hazard by requiring that individuals with insurance make co-payments or pay a deductible.These features of insurance policies create a financial incentive for individuals to refrain from making claims.
D)Insurance companies lessen the impact of moral hazard by requiring that individuals with insurance make co-payments or pay a deductible.These features of insurance policies create a financial incentive for individuals to refrain from making claims.
E)Insurance companies lessen the impact of moral hazard by requiring that individuals with insurance make co-payments or pay a deductible.These features of insurance policies create a financial incentive for individuals to refrain from making claims.

How Do Insurance Companies Lessen the Impact of Moral Hazard