Moratoriums

Moratorium

• Moratorium
• Stay
• Contractual 
• State
• Courts

• (p16) – Willis B. Howard, Jr., NOLHGA – National Organization of Life and Health Insurance Guaranty Associations:
  • I’d like to respond briefly to my honorable friend, Commissioner Bartlett.
  • Dwight, the guarantee association system works, and it works well.
• Dwight K. Bartlett III, Maryland Insurance Commissioner:
  • Are you going to tell me, Bill, in all honesty that you really believe that the policyholders of Executive Life and Mutual Benefit Life have been well-served?
  • For example, with Mutual Benefit, if you opted out of that rehabilitation plan you get, as I recall, 55 cents on the dollar of your account value.
    • If you opt into the plan, you agreed to subject yourself to a moratorium period, which means you do not get full access to the cash values of your policy until the next century.
  • Are you going to say that’s meaningful coverage for those policyholders?
  • ⇒  I think that’s ridiculous.

1994 – SOA – Valuation Actuary – Symposium Proceedings – Session 1 – Introduction and Overview, Society of Actuaries – 110p

• 1992 0428 / 0505 – GOV – Insurance Guaranty Funds and the Involuntary Transfer of Insurance Policies, aka Insurance Policy Transfers – Metzenbaum
  • [Both Dates PDF-629p-GooglePlay, 0428-No Video / 0505-VIDEO-CSPAN- Insurance Policy Transfers]->Not on govinfo.gov 
  • Senate – Committee on the Judiciary – Subcommittee on Antitrust, Monopolies and Business Rights
  • Metzenbaum, 0505 (1:41) – Belth (Professor), James McNeill (Insurance Agent)

• I question the argument that insurance organizations should have weaker bank/thrift holding company protections because their insurance policy holders can’t easily cash out if they make bad investments.

2014 0310 – Letter – Sheila C. Bair to Senator Sherrod Brown (D-OH) – 6p

• Senate Committee on Banking, Housing and Urban Affairs Subcommittee on Financial Institutions and Consumer Protection
• Re: Subcommittee Hearing: “Finding the Right Capital Regulation for Insurers”

• The very nature of insurance significantly reduces the potential of a run-on-the-bank scenario for property/casualty, health and most life insurance products.
• For those limited products sold by insurers that could be subject to some level of run risk, mitigating factors exist such as policy loan limitations, surrender/withdrawal penalties, and additional taxes.

—  Kevin M. McCarty – NAIC Testimony – Commissioner, Florida Office of Insurance Regulation and President of the National Association of Insurance Commissioners – 8p

2012 1129 – GOV (House) – Examining the Impact of the Proposed Rules To Implement Basel III Capital Standards – [PDF-439p, VIDEO-?]