Bloomberg Businessweek

The Fading Financial Magic Of Reinsurance

Warren Buffett and other big investors love the business, but it’s ready for a shakeout
Dill... and Paprika

Warren Buffett watchers know that the reinsurance business has been an important ingredient in his winning formula. Companies like his Berkshire Hathaway sell coverage to other insurance companies for natural disasters and other big events. In return, the reinsurance sellers collect lots of premiums, which they can invest while waiting to pay claims. Buffett has

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