01914cas a2200301 a 4500 AALejournalIMF004290 230101c9999 xx r poo 0 0eng d 5.00 USD 9781451864397 1018-5941 BD-DhAAL BD-DhAAL Erbas, S. Institutional Quality, Knightian Uncertainty, and Insurability : A Cross-Country Analysis / S. Erbas, Chera Sayers. Washington, D.C. : International Monetary Fund, 2006. 1 online resource (15 pages) IMF Working Papers <strong>Off-Campus Access:</strong> No User ID or Password Required <strong>On-Campus Access:</strong> No User ID or Password Required Electronic access restricted to authorized BRAC University faculty, staff and students Knightian uncertainty (ambiguity) implies presence of uninsurable risks. Institutional quality may be a good indicator of Knightian uncertainty. This paper correlates non-life insurance penetration in 70 countries with income level, financial sector depth, country risk, a measure of cost of insurance, and the World Bank governance indexes. We find that institutional quality-transparency-uncertainty nexus is the dominant determinant of insurability across countries, surpassing the explanatory power of income level. Institutional quality, as it reflects on the level of uncertainty, is the deeper determinant of insurability. Insurability is lower when governance is weaker. Mode of access: Internet Insurability imf Insurance Coverage imf Life Insurance imf WP imf Sayers, Chera. IMF Working Papers; Working Paper ; No. 2006/179 Full text available on IMF http://elibrary.imf.org/view/journals/001/2006/179/001.2006.issue-179-en.xml IMF e-Library