"risk selection" is a correct and usable phrase in written English.
It refers to the process of identifying and evaluating potential risks in a situation, and making decisions based on that assessment. You can use "risk selection" in any sentence where you are discussing the act of selecting or choosing based on risk factors. Here is an example: The company's success can be attributed to their thorough risk selection process, which allows them to make informed decisions and minimize potential losses.
Hence, most health insurers do not acquire information about health status of applicants for supplementary insurance, and therefore cannot use selective underwriting as a tool for risk selection in basic health insurance.
Mark Merlis, a health care consultant, finds evidence that just such "risk selection" already goes on in the federal benefits program, which is so praised by privatization advocates.
The danger with unleashing the consumer on the current system is that it will intensify the pressure for more risk selection, says Ms Docteur of the OECD.
This cuts across government's other objective, encouraging innovation: Mark Pauly of Wharton Business School argues that "the goal of limiting risk selection clashes with the goal of innovation".
"We remain quite concerned about the high levels of 'embedded' credit risk on the books of some banks as a result of relaxed underwriting and risk selection in prior years," said John Hawke, Comptroller of the Currency, part of the Treasury Department that is one of several bank regulators.
That possibility — called "adverse risk selection" — could raise the entire community-rated premium curve from, say, the green curve to the red curve, adding to the premium shock of healthy people.
Risk adjustment reduces incentives for risk selection.
The considerable product differentiation and consequent risk selection by private insurers promote inefficiencies.
Risk selection is also harmful from a societal perspective, because it can create losses in welfare and efficiency [15].
Since risk adjustment operates at closing the gap in order to prevent risk selection, this mechanism has led to increasing inter generational solidarity payments owed by young adults.
Similar results can be found in the relevant literature [7 16], also considering the effects on quality and risk selection [17 20].
