noun
a financial arrangement where insurance companies combine their resources to cover a large number of policyholders
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The insurance company uses a risk pool to spread the financial risk of covering high-cost individuals.
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The risk pool helps insurance companies cover the costs of people with expensive medical needs.
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The risk pool is like a safety net for insurance companies to handle expensive claims.
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Think of a risk pool as a way for insurance companies to share the burden of covering costly medical treatments.