Risks – Page 5 – [BonkNote]

Crisis 2008 Financial Crisis Crisis in Confidence Crisis – 1990s FCIC – Financial Crisis Inquiry Commission Liability Crisis We’ve all heard a lot about the junk bond crisis. Is the next crisis going to be junk illustrations? — Judy Faucett 1991 – SOA – Illustrations, Society of Actuaries – 20p 2009 – AP – Reflections on Northern…

Functional Regulation vs Entity Regulation Gary Hughes, ACLI, SOA Gramm-Leach-Bliley (GLBA) Banks, Insurance, Securities, CFTC 1985 – LR – Functional Regulation: Looking Ahead – 25p 1998 – LR – Functional Regulation of Bank Insurance Activities: The Time Has Come, Linda Birkin Tigges – 35p 1959 – LC – 91. SEC v. Variable Annuity Life Ins. Co.,…

Best Interest Standards acli.com/Public-Policy/Best-Interest-Standard content.naic.org/cipr_topics/topic_annuity_suitability_best_interest_standard.htm 2018 – SOA – Changing the Retirement Advice Conversation, Society of Actuaries – 5p 2023 0520 – Letter – Barry Flagg / Veralytic to Finseca – 2p I regret to have to resign from Finseca … again, for the following reasons. California Best Interest Rule for insurance products (i.e., CA…

Loans Liquidity – Policy Loans Policy Loan Premium Loan 1982 0612 – Omaha World-Herald Plan Uses Life Insurance Loans – Called ‘Idle Assets’, by Linda Brenners-Stulberg, The Chicago Sun-Times — [BonkNote] Life insurance companies are also in danger of a major acceleration of loans on outstanding policies at well below market cost of funds if…

Systemic Risk – Universal Life Insurance 3.2 Universal life Insurance (p10) – Because of the lowest guaranteed benefits that universal insurance provide, regulators and scholars widely discuss the potential systemic risk posed by universal insurance. 2020 02 – SOA – Systemic Risk in China’s Insurance Industry, Society of Actuaries – 55p Even the creation of a…

2008 Financial Crisis 2008 Financial Crisis – Index The Global Economic & Financial Crisis: A Timeline, by Mauro F. Guillén – 96p the92ers.com/content/confederacy-dunces Economic Stabilization Act of 2008 (P.L. 110-343): Allowed the Secretary of the Treasury to purchase and insure “troubled assets” to help promote the strength of the economy and financial system. The act established…

Run on the Bank A bank run is the sudden withdrawal of deposits of just one bank. A banking panic or bank panic is a financial crisis that occurs when many banks suffer runs at the same time, as a cascading failure. In a systemic banking crisis, all or almost all of the banking capital in a country is wiped out; this can…

TARP – Troubled Asset Relief Program TARP – MEDIA 2009 0408 – WSJ – U.S. to Offer Aid to Life Insurers: Firms Face Capital Crunch; How Much They Will Get From TARP Remains Unclear, By Scott Patterson, Deborah Solomon and Leslie Scism – [link] Shares of life insurers have fallen more than 40% this year. Their…

Liquidity In contrast, many of the investment-oriented products marketed in the last decade have shorter duration and require greater liquidity than was needed in earlier … 1992 – World Bank – The Life Insurance Industry in the United States: An Analysis of Economic and Regulatory Issues, by Kenneth M. Wright – 54p (p8) – An increase in…

Macroprudential Initiative – NAIC MACROPRUDENTIAL INITIATIVE (MPI) – NAIC Website Macroprudential (E) Working Group (MWG) – NAIC 2022 – Regulatory Considerations Applicable (But Not Exclusive) to PE Owned Insurers https://content.naic.org/sites/default/files/inline-files/Comments%206-13-22_0.pdf