Optimal annuitization, uncertain survival probabilities, and maxmin preferences

Article dans une revue: We consider a life-cycle model with bequest motives, and assume that the individual does not know his/her survival probability and has maxmin utility preferences; we show that it is optimal not to annuitize but to purchase pure life insurance policies instead.

Auteur(s)

Hippolyte d’Albis, Emmanuel Thibault

Revue
  • Economics Letters
Date de publication
  • 2012
Mots-clés JEL
D11 D81 G11 G22
Mots-clés
  • Demand for annuities
  • Uncertain survival probabilities
  • Uncertainty aversion
  • Maxmin
Pages
  • 296-299
Version
  • 1
Volume
  • 115