Mercury General Corp. is engaged primarily in writing all risk classifications of automobile insurance in a number of states, principally California.

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As a middleman, Pallat's Unicover could reap a 7.5% fee of all the insurance it underwrote, while passing along almost all of the risk.

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Farmers of a few select crops such as wheat or maize can avoid almost all risk using the government's overlapping system of subsidised insurance, loans and payments.

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Risk-based health insurance pricing is not all sunshine and rainbows.

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Gore said Bush's would abandon frail seniors to the vagaries of the private insurance market, where they are at risk of getting no coverage at all.

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He really laid out the problem quite well, at least, the problem of the last two or three years, that there was a speculative bubble in the price of housing, that the financial institutions, the banks and investment banks and all these insurance companies and pension funds and everyone else exacerbated that problem by spreading that risk all throughout the economy.

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Friedman makes some good points about how insurance has simply gotten too expensive and all the solutions (high-deductible plans, high-risk pools, etc.) are imperfect.

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The above description of the process of creating a catastrophic risk model and applying its projections may make it seem as if insurance companies have the ability to predict and plan for all uncertainty, but the truth is that catastrophic risk modeling only helps to a certain degree.

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