Briefing: The war over tail risks is in full swing

The current financial dispute involving Trump and insurers centers on tail risks, which are low-probability but high-impact events that can disrupt market dynamics.

This conflict is expected to have repercussions on business confidence, potentially affecting investment decisions and operational strategies across various sectors.

As insurers reassess their risk models in response to this dispute, the implications for market architecture and capacity could be profound, necessitating careful monitoring of the evolving situation.