Are Insurers Covered For Catastrophe?

Tim Smart could not have been more correct in his assessment of the insurance marketplace in the weeks and months after Hurricane Andrew. The megastorm showed insurers all too clearly the potential for physical and fiscal devastation. It is incorrect to suggest, however, that insurers left themselves vulnerable to incidents of lesser magnitude ("Small storms may do the biggest damage," Finance, May 12).

To continue reading this article you must be a Bloomberg Professional Service Subscriber.