From the perspective of insurers, risk equalisation addresses the competitive imbalance that can occur as a result of risk selection, whether this occurs due to deliberate actions by insurers or inadvertently because of the more mobile nature of the young and healthy and employer-paid insurance. In effect, risk equalisation seeks to tackle risk selection as a source of competitive advantage. This is equitable given that the usual insurance levers of underwriting and risk-based pricing are not available to competing insurers.