What Was The Most Profitable Insurance Company Last Year?April 3, 2013 2:38 pm
When you look at a question like that, you try guessing some names. when you find that the answer was not something you even considered – you get a solid surprise. We spotted this stat today, that the most profitable insurance company inthe US in 2012 was Fannie Mae – the government-backed company that insures mortgages against default. Fannie made $17.2 billion last year, versus Berkshire Hathaway’s $14.8 billion. Fannie was the third-most profitable financial firm in 2012, after JPMorgan Chase and Wells Fargo. (Source)
What is the implied message there? Fannie and Freddie are turning out to be cash machines for the US Government – and soon the role of the US Government in these entities will come under a lot of discussion.