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This research analyzes the insurance demand based on Von Neumann & Morgenstern's expectation utility theory by increasing consumer's risk aversion. As a result of analysis, increasing of risk aversion gives rise to increasing insurance demand expense of loss-prevention cost as being proved by early study in separated self-insurance and insurance market. But when we consider the insurance market and expense of loss-prevention cost at the same time insurance demand increases in accordance with the increasing of risk aversion. However expense of loss-prevention cost keep up fixed-level. We proved that between consumer's risk aversion and insurance demand have a slope of affirmative.