Current European frameworks focus almost exclusively on direct costs, often ignoring the indirect social and intangible impacts of hazards.
Contrast between Expected Utility (E(U)) maximization and behavioral models of choice. III. Key Findings Jenny Poussin
Poussin, J. et al. (2016). Flood risk mitigation by households: potential for intangible and economic loss reduction . Vrije Universiteit Amsterdam . Jenny Poussin
Approximately 63% of individuals act according to expected utility theory, but emotional "shocks" from suffering a loss are the primary catalysts for purchasing new insurance. Jenny Poussin