Purpose As subjects irrationally perceive probability changes as more impactful when shifting an event from impossible to possible or from possible to certain, compared to increasing the likelihood of an already possible event, this study examines how workers process success probabilities and...

One of the challenges in the healthcare sector is making accurate forecasts across insurance years for claims reserve. Healthcare claims present huge variability and heterogeneity influenced by random decisions of the courts and intrinsic characteristics of the damaged parties, which makes...