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The God Clause and the Reinsurance Industry
Article

The God Clause and the Reinsurance Industry

The risk business can tell us a lot about catastrophes. Why don't we listen?


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Editorial Rating

8

Qualities

  • Innovative

Recommendation

Few people work directly with reinsurance, so it may seem an oddity. However, since reinsurers work at estimating the likelihood of disasters, and their work underpins insurance, they affect everyone. What reinsurance has and hasn’t been able to predict has gotten more complicated in this age of global terrorism and climate change which has far-reaching ramifications. getAbstract suggests this article to all grappling with the implications of global change, and, specifically, to readers seeking to understand risk.

Take-Aways

  • Reinsurance companies insure insurance firms against large-scale disasters.
  • Reinsurers try to anticipate all possible catastrophes, but they always fail to see something coming.
  • What disasters threaten us is continually changing.

About the Author

Brendan Greeley is a staff writer for Bloomberg Businessweek.