
Insurance makes wealth grow faster - pizza
https://arxiv.org/abs/1507.04655
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gingabriska
" The net premium, often called the “fair price” plays a less significant role
– a range of prices is beneficial for both parties. The fair price is never
part of that range (it is the end of the range in the limit of the infinitely
wealthy insurer). Where exactly the price of trade will lie can be
negotiated."

What does it mean? Can anyone explain? Does it mean a wealthy insurer will
charge more premium over a small one? Or am I reading it wrong?

Economies of scale should make the bigger insurer costs less and as a result
cheaper premiums. Isn't it?

