University of Technology SydneyHandbook 2008

25715 Insurance Economic Issues

Faculty of Business: Finance and Economics
Credit points: 6 cp

Subject level: Postgraduate

Result Type: Grade and marks

Handbook description

This subject develops an understanding of the social, political, legal and financial forces which may impact on the autonomy of insurance industry participants. It identifies the nature, scope and volatility of these influences.

Subject objectives/outcomes

On successful completion of this subject, students should be able to:

  1. Demonstrate an understanding of a possible theoretical insurance arena model, capable of being applied to most insurance related activities.
  2. Develop an understanding of the operation of insurance companies in the New South Wales accident compensation arenas of workers compensation and motor accidents third party (personal injury) compensation, illustrating the application of the theoretical model.
  3. Demonstrate an understanding of the technical and theoretical issues involved in these arenas.
  4. Analyse the extent to which insurance companies operating in these arenas have autonomy of action and the sources of external influence upon their operations.

Contribution to graduate profile

This subject introduces students to the argument that insurance industry participants do not function in isolation from each other and that high levels of interdependency exist between participants and that there is significant external influence over autonomy of action of participants.

Teaching and learning strategies

The subject will be taught in a lecture-seminar format and will involve detailed consideration of relevant case studies.

Content

  • Accident Compensation, technical and theoretical issues
  • NSW Work Cover Scheme – Theory and Practice, Arena Analysis
  • NSW Motor Accidents Scheme – Theory and Practice, Arena Analysis
  • Arena participants, their position and extent of influence on the insurability of risks.

Assessment

Class Test (Individual)25%
The class test is designed to assess students' understanding of the theories and concepts to demonstrate that students have met objective 1.
Case Study (Individual)25%
This will assess students' understanding of the concepts of insurance economic issues in a practical case study. This assignment will allow students to demonstrate that they have met objectives 2 and 3.
Final Exam (Individual)50%
This exam will test students' understanding of the theory and their ability to apply the theory. This will enable students to demonstrate that they have met objectives 1-4.

Recommended text(s)

Book of Readings.

Indicative references

Grellman, R. J., (1997), Inquiry into workers compensation system in NSW: Final report, KPMG, 1997

College of Law, (1996) The principles of workers compensation, College of Law, Sydney

Stewart,D., (1987) Workers compensation and social security: an overview, University of NSW, Kensington,

Workers Compensation NSW, (1997) CCH Series, CCH North Ryde

Balla,A., (1989-1998), Guide to NSW Motor Accidents legislation, CCH Series

CCH North Ryde

Robinson,M.A., (1987) Accident compensation in Australia: no-fault schemes, Legal Books, Sydney

Stuckey-Clarke,J., (1994) 1994 NSW CLE Updates Compensation and Traffic accidents liability, BLEC, South Melbourne,

Proceedings of the Public Seminar on the Motor Accidents Scheme (NSW),

(Compulsory Third Party Insurance), 19 April 1996Govt printer, Sydney, 1996

Britts, MMG, (1994) Motor accident law (New South Wales), Law Book Co, Sydney.