> Each of the players in the structure needs to get paid. No, they don't. They exist merely as a means for insurance companies to extract more profit out of t

> Each of the players in the structure needs to get paid. No, they don't. They exist merely as a means for insurance companies to extract more profit out of their customers because they believe they are "overexposed" to certain risks -- despite the fact that exposure to risk is _exactly_ their business. You may make the argument that reinsurers, ILS buyers, and fronting carriers are all essential to the insurance business because they lower overall costs by spreading risk. But if this is so, then they don't "need to get paid", they are a cost _savings_. Which is it?