A Mutual Reinsurance Scheme

In order to make this report clear to those without experience in insurance matters, we first present some basic facts about the insurance business. In so doing we intentionally omit certain facts irrelevant to the present study. "File most important omission of this kind is our assumption that the insurance business operates without administrative expenses and without sales costs. We also assume that the insurance business is run in such a way that no profit is made. It will be evident to readers already directly connected with insurance problems what further omissions we have made and why we have made them.