Insurance Investing Insights
Many of you probably saw the news last week about the large AI investment firm, Situational Awareness (led by AI wunderkind Leopold Aschenbrenner), that collapsed as a result of the recent pullback in tech stocks. If so, you ve probably seen some of the analysis regarding why it fell too Continue Reading The post Situationally Aware, Permanent Blind Spot appeared first on .
Those of you with long memories may recall how one of the biggest casualties of the financial crisis were the financial guarantors. Companies like Ambac and MBIA grew out of their traditional business of guaranteeing payment of municipal debt to guaranteeing mortgage securities like CDOs. We now have the AI Continue Reading The post Nvidia Enters Financial Guarantee Insurance appeared first on .
I ve written a lot about State Farm s challenges over the years. I ve also written a lot about the pressures on the personal lines business overall in the US. So some of you may be surprised I have yet to write about State Farm s recent announcements regarding fundamental changes to their Continue Reading The post State Farm: Is What s Bad For Agents Good For Policyholders? appeared first on .
Yes, insurers should participate in prediction markets. But maybe not in the way you think? To state the obvious, I m not suggesting insurers should allocate some of their investment portfolios to whether the Yankees will win tonight. Rather, I think there is a role of insurers to offer proprietary products Continue Reading The post Do Insurers Need To Be In Predictions Markets? appeared first on…
In light of today s SpaceX IPO, I thought I should address whether insurers are making a gigantic mistake writing D O for the company (it has been reported that SpaceX is looking to buy a $200M tower). After all, Tesla famously had issues around Elon s uninsurability leading him to have to Continue Reading The post Is SpaceX A Good D&O Risk? appeared first on .
Honestly, I really think we re going to 9000 before heading to 6000, so why say 10K and 5K? But let s address the substance. Why make this call at all and, specifically, why now? Why make this call when the odds are high that it will be wrong? Why not? The Continue Reading The post The S&P Is Going To 10K (On The Way to 5K) appeared first on .
It s college commencement season so it seems like an appropriate time for me to write about how messed up college admissions are in the US. I am finally free to speak out with my kids now all in (or admitted to) college, so here s what I learned from navigating the Continue Reading The post The College Admissions Oligopoly appeared first on .
I have a lot I ve wanted to say about private credit and I will get to that at some point in the future, but before I do, I wanted to start with something simpler. Most people don t understand that these alternative investment products (I assume private equity and venture capital Continue Reading The post The Truth Behind Hedge Fund and Private Credit Excess Returns appeared first on .
Sometimes, I do a pretty good job at spotlighting a future issue though sometimes it happened so long ago I have to remind myself what I actually wrote initially. I do feel overall like some of my older writings are more valuable than recent entries, so when there is Continue Reading The post The Doomsday Clock Speeds Up For Cyber Underwriters appeared first on .
OK, I finally made some time for my long delayed take on what AI means for insurance brokers. The short story is I think the consensus has it totally backwards. The perception is small commercial and personal lines are most at risk of disruption while the larger public brokers are Continue Reading The post What Everyone Is Getting Wrong About Brokers and AI appeared first on .