Stumbled across this article in the NY Times: http://www.nytimes.com/2003/04/01/business/01INSU.html "Help for Bad Times Now Helps Rich By DAVID CAY JOHNSTON Fifty years ago Congress, trying to help farmers and others having a hard time getting insurance, allowed the creation of tiny, tax-exempt insurance companies. Now, some of those taking advantage of the program do not make their living off the soil. One is Peter R. Kellogg, a billionaire Wall Street investor who has used the insurance exemption to escape more than $100 million in taxes on investments in four years. Eighty-five hospitals in New York State have avoided $27.5 million in taxes over five years. Alfa Mutual Fire Insurance in Montgomery, Ala., saved $58 million on federal corporate income taxes over three years ..." This practice really pisses me off but will forgo the ranting.