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  #66  
Old July 15th 05, 06:51 PM
Robert M. Gary
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Heheh, gee that sounds workable. I'm sure the insurance companies would
stay solvent for a long time with that. I guess you don't see any
reason for them to receive your premium even though they accepted the
exposure. The fact is insurance is a for-profit industry and as a
result can't charge any more than they need to operate due to
competition. Its an economic principle called "zero profit" that
basically says all companies in a competitive environment will reach
"zero profit" at some point. Now, your definition of "zero profit" is
certainly different than that of the economist but the theory does seem
to reflect actual business results.

-Robert