4 ms·
The earlier the policyholder dies, the bigger the return Well, now, that's a healthy, non-perverse set of incentives. :)
by abalashov 17y ago
The earlier the policyholder dies, the bigger the return
Well, now, that's a healthy, non-perverse set of incentives. :)
- deleted 17y ago[deleted]
- dejb 17y agoNot only in the individual case but also collectively. The holders of these bonds would stand to lose a lot of money if technological breakthroughs increased the longevity of the insured people. This would give them the incentive to stall or block these developments. Furthermore those with ability to stall these developments may be attracted towards buying these securities for this very reason. The scenarios of unlimited longevity painted by some life extensionists would be their worst nightmare. Given that the prevention death from 'old age' is not currently considered a valid medical goal it would be fairly easy for them stall development in these areas.
- abalashov 17y agoMost definitely, your analysis is spot-on.