How the Federal Government’s Pandemic Response Affects Commercial Insurance
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“It simply isn’t possible to diversify away from a global pandemic,” writes Ray Lehmann, founding member and director of finance, insurance and trade policy at R Street Institute.
“They hit every geography at once, nearly every sector at once. Reinsurers might be slightly better positioned to manage the risk, but they too would face extreme correlation of claims across geographies, as well as across product lines.”
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