Insurance is a durable business. No professional enterprise can do without it, in good times and bad. Insurance is also a vital form of security for stock investors. There are abundant and compelling reasons to favor stocks in the insurance business when markets are depressed, under cost pressures, or with uncertain demand trends.
Insurance spawns other enterprises, just like most industries. The entities from which retail customers buy insurance are reluctant to take full risks on their own shoulders. There are other financial benefits in reinsurance as well. However, the reinsurance industry is subject to the kinds of derivative risks from which the stock exchange world has suffered since September 2007.
The insurance business also requires the management of claims. This service, unlike reinsurance, costs little to run, is isolated from risk, and adds significant values. The business model of this small capital member of the Insurance (Miscellaneous) Industry from Atlanta, GA, includes systems for claims management, apart from an extensive world network for the core revenue line.
Professional management lends synergy to the business model of this firm. The company has recently strengthened its management team, acquiring valuable expertise related to the Central and South American regions. The corporation operates in more than 60 countries.
The Most Recent Quarter of this company has provided welcome relief to stock investors wary of bad news from the financial sector. Net income for this period has nearly tripled over the same quarter of 2007. Improved working capital management was a highlight of this spectacular business performance.
Let us hear your thoughts below: