Quote:
Originally Posted by SPUCK
...snip..So I am curious how they deal with that. It would sink a lot of insurance companies. But in most cases they have liability limits. Like 5 or 10 million with a hazardous trucking policy.
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They deal with it by 2 methods. The first, as you said, is policy limits, the second is by what is called re-insurance. This is (effectively) an insurance company taking out an insurance policy on itself - over a certain $ figure, the re-insurance company pays. These are usually written by the BIG boys
05-02-2007, 04:57 AM
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