Privately-Owned Insurers in the U.S. Life Insurance Industry
In the wake of the 2008/2009 global financial crisis, the U.S. life insurance industry underwent a spate of business sales/exits, spin-offs, and product changes in the 2010s which has continued through the 2020s. ALIRT has discussed many of the trends and factors that contributed to this transition, and one of the most impactful developments has been the increased number of life insurance companies owned by asset managers, private investment funds, and other private investor groups.
PHL Variable Insurance Company: Negative Surplus Position
PHL Variable Insurance Company’s (PHLV) filed its year-end 2023 regulatory financial statement in late April 2024, seven weeks after the required filing date of March 1. The company reported a negative surplus1 position of -$92 million at 12/31/23, which was a $177 million deterioration from +$85 million at 12/31/22. The deterioration in surplus was driven by a large after-tax operating loss of $162 million incurred in 2023, which was not balanced by any capital support from PHLV’s parent company.
U.S. Life Insurer Exposure to Less Liquid Bonds
Life insurers have long held a mix of assets with various liquidity profiles, from the very liquid to the nearly illiquid. In this review we highlight some of the less liquid components of life insurer bond portfolios.
Trends in Individual Annuities
In this review, we concentrate on the recent changes in the annuity product landscape
ALIRT Industry Update: U.S. Health Review Year-End 2023
Our year end 2023 financial highlights based on insurers’ statutory financial statements.
ALIRT Industry Update: U.S. Life Review Year-End 2023
Our year end 2023 financial highlights based on insurers’ statutory financial statements.
ALIRT Industry Update: U.S. PC Review Year-End 2023
Below we provide full year 2023 financial highlights for the ALIRT P&C Composite[1], based on insurers’ statutory financial statements.
ALIRT Industry Update: U.S. Life Review Nine Months 2023
Our six month 2023 financial highlights based on insurers’ statutory financial statements.
ALIRT Industry Update: U.S. PC Review Nine Months 2023
Below we provide first nine months of 2023 (9M23) financial highlights for the ALIRT P&C Composite, based on insurers’ statutory financial statements.
Badger Mutual Faces Severe A.M. Best Downgrade – Regional Property/Auto Insurers Under Pressure
The worsening plight of a number of smaller regional property & casualty insurers was on full display today as A.M. Best downgraded Milwaukee-based Badger Mutual Insurance Company (BMIC) three pegs from B+ (6th highest) to C++ (9th highest). This is remarkable given that the rating agency had just lowered BMIC’s rating from A- to B+ two months before.