The idea of a pure contradiction between insurance float as capital and as liability scores a 0 on a scale of 10; the relationship is rather conditional, with a measurable functional overlap.
The key ratio is the average duration of premiums relative to the average duration of claims, requiring a safety margin of 1.5x for productive allocation of float capital.
A Swiss company with 1 billion francs in annual premiums and a three-year settlement delay has 3 billion francs in float, of which about 70 percentile can be deployed, demonstrating calibrated risk and opportunity management.