New York Attorney General Eliot Spitzer has added an additional issue to his investigation into the insurance industry — an alternative risk financing technique known as a "finite risk insurance plan."  The New York Times’ Business Section article discusses this new component of his investigation (Note: Subscription Needed).

Among the insurance industry, finite risk insurance plans appear to be an accepted alternative to risk financing.  A finite risk insurance plan transfers a limited amount of risk to the insurer and usually includes a profit-sharing arrangement between the insurer and insured.