S&P Report: Firms Were Paid Less to Take On More Risk in 2005

Meyers, Maxwell
June 2006
Bond Buyer;6/15/2006, Vol. 356 Issue 32403, p7
Trade Publication
The article presents a study on the profitability of insurance companies in the U.S. The research was conducted by Standard & Poor's and found that insurance firms are likely taking risk in 2005 and 2004 by getting lesser amount for insurance coverage policies. Thus, the profitability has declined due to the policy of having greater capital charges with lower premiums from the costumers.


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