plebiANON on Nostr: Insurance is just fractional reserve loss guarantee. They run numbers to try to ...

Insurance is just fractional reserve loss guarantee. They run numbers to try to figure out how likely they are to have to pay out claims and then have access to that estimated amount of cash. Just like banks estimate how many people will come take their money out and then lend accordingly, insurance is no different. A giant game of musical chairs grift backstopped by a central bank. Phundamentals (npub12em…y99g) knows.