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Modelling appellate courts' responses in motor injury disputes
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Modelling appellate courts' responses in motor injury disputes

Author

Listed:
  • Miguel Santolino

    (Department of Econometrics - University of Barcelona)

  • Magnus Söderberg

    (CERNA i3 - Centre d'économie industrielle i3 - Mines Paris - PSL (École nationale supérieure des mines de Paris) - PSL - Université Paris Sciences et Lettres - I3 - Institut interdisciplinaire de l’innovation - CNRS - Centre National de la Recherche Scientifique)

Abstract

Motor third-liability insurance is compulsory in the European Union. We examine the behaviour of Spanish appellate courts in the context of motor liability insurance and pay particular attention to four characterising features. Specifically, we investigate (1) how the appellate court interprets the rules for updating the financial compensation when the courts' ruling is made in a different year to that in which the motor accident occurred; (2) the response of the appellate court when its legal medical evaluation differs from the court's decision; (3) whether the appellate court modifies the criteria when the insurance company was not charged with interest for delaying payment in the first instance; (4) whether the fault allocated by trial courts is revised by the appellate court. We apply a multi-categorical selection mechanism to deal with samples that are potentially non-random. This allows us to separately consider the characteristics of victim's and the insurer's decisions to appeal. The results indicate that disputing agents have significantly different appeal functions, where insurers show a more effective and consistent behaviour than victims.

Suggested Citation

  • Miguel Santolino & Magnus Söderberg, 2012. "Modelling appellate courts' responses in motor injury disputes," Post-Print hal-00840717, HAL.
    • Handle: RePEc:hal:journl:hal-00840717
    DOI: 10.1007/s10657-012-9362-z
    as

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    References listed on IDEAS

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    More about this item

    Keywords

    Appeal; Sources of uncertainty; Injury claim; Selection bias; Multi-categorical selection; Spain; Spanish appellate courts;
    All these keywords.

    JEL classification:

    • K41 - Law and Economics - - Legal Procedure, the Legal System, and Illegal Behavior - - - Litigation Process
    • C34 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Truncated and Censored Models; Switching Regression Models

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