On children’s motives to influence parents’ long-term care insurance purchase

Courbage, Christophe (Haute école de gestion de Genève, HES-SO // Haute Ecole Spécialisée de Suisse Occidentale) ; Montoliu-Montes, Guillem (Haute école de gestion de Genève, HES-SO // Haute Ecole Spécialisée de Suisse Occidentale) ; Wagner, Joël (HEC Lausanne, University of Lausanne, Switzerland)

Long-term care (LTC) is not only a concern for elderly individuals but also for their adult children. Therefore, they might have strong incentives to have their parents purchasing LTC insurance. This article investigates both the determinants and motives of adult children willingness to influence their elderly parents’ LTC insurance purchase decision in Switzerland using data from a 2019 survey. We show that those individuals self-reporting interest about LTC insurance, living with their children and having provided informal help with personal care are more likely to influence their parents LTC insurance purchase than others. We also find that the motives to influence parental LTC insurance ownership can be classified either as altruistic, i.e. related to parental wellbeing, or as self-interested, i.e. related to the child’s wellbeing. Whereas relatively poor respondents tend to influence their parents mainly for altruistic reasons, relatively rich individuals or expecting to pay large out-of-pocket LTC costs in case of dependency are more likely to influence their parents for self-interested motives.


Note: Due to the COVID-19 outbreak, the 4th World Risk and Insurance Economics Congress (WRIEC) venue in New York was cancelled. The proceedings of the online conference are however published according to the original schedule.


Keywords:
Conference Type:
full paper
Faculty:
Economie et Services
School:
HEG - Genève
Institute:
CRAG - Centre de Recherche Appliquée en Gestion
Subject(s):
Economie/gestion
Publisher:
New York, USA, 2-6 August 2020
Date:
2020-08
New York, USA
2-6 August 2020
Pagination:
18 p.
Published in:
Proceedings of the 4th World Risk and Insurance Economics Congress (WRIEC)
External resources:
Appears in Collection:



 Record created 2020-08-20, last modified 2021-02-05

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