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Strategies & Market Trends : Mish's Global Economic Trend Analysis
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To: RealMuLan who wrote (19743)12/28/2004 7:34:39 PM
From: maceng2  Read Replies (3) of 116555
 
Reinsurers provide backup for primary insurance companies, enabling the system to spread risk so it can cover losses from major disasters

Reinsurers concentrate risk, they do not spread it. They are the opposite of what insurance is about. One day they are going to be hit bad and we will all learn the lesson that needs to be learned imho.
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