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This is why you have re-insurance https://en.wikipedia.org/wiki/Reinsurance https://en.wikipedia.org/wiki/Reinsurance If the final insurer is the government,

This is why you have re-insurance https://en.wikipedia.org/wiki/Reinsurance https://en.wikipedia.org/wiki/Reinsurance If the final insurer is the government, you don't have the risk of ruin because you have control of the money printer.

TylerE 3y ago
If money printer goes brr… you’re losing, not winning.
MajimasEyepatch 3y ago
Reinsurance isn’t magic. This helps with one-off losses, but if you’re fundamentally not able to make a profit, they’re not going to cover you, because all you’ve done is shift the negative expected value to them.
- TylerE 3y ago
  It also probably increases
- TylerE 3y ago
  It also probably increases the odds of total ruin... think a Katrina or an Andrew but a bit worse. On a smaller scale, it's never gonna be just one car in a town with hail damage.