1982-2, NAIC Proceedings - Re: Revised Memorandum on Issues and Problems Surrounding the NAIC Model, Insurance Holding Company Act - ATTACHMENT FIVE-A
To: Members of NAIC, Securities and Insurance, Regulation (EX) Task Force, From: Scott Shaffer, Date: March 26, 1982
Summary
In the decade of the 1960's, insurance companies reacted to economic factors such as inflation and the corresponding shift in the allocation of peoples' savings dollars from life insurance to equity based investments by diversifying through the formation of upstream, parent holding companies.
This memorandum pinpoints problem areas of the Model Act which have arisen as a result of recent court decisions declaring similar provisions of state corporate takeover and state insurance holding company acts to be unconstitutional.