What does ‘the restructuring tsunami’ mean for annuities?
October 13, 2022 by Susan Rupe
The emergence of private equity and asset-manager-backed insurance companies is leading to what Conning researchers call “a restructuring tsunami” in the annuity industry.
Scott Hawkins, Conning managing director and head of insurance research, described the role of new parties entering the annuity market and the shifting competitive landscape during the American Council of Life Insurers’ 2022 annual conference.
Click HERE to read the full story via INN
Wink’s Note: This article seems to suggest that brokerages will think twice before putting insurance companies owned by private equity on their shelves. I would say that couldn’t be further from the truth. I know B/Ds that have these companies on their shelves.
Also, I know that many thought leaders would not agree with their statement that [regarding reinsurers] “The fact that they in Bermuda is not in and of itself an issue.” I’ve often seen these thought leaders opine on the opaqueness of the regulation in Bermuda.
And as for their statement that they “see(s) asset-management owned companies moving beyond fixed and indexed annuities and into variable annuities,” that is a big DUH. The old VA blocks with living benefits have been the primary source of reinsurance deals for the past few years.
And the “restructuring tsunami” hit a couple of years ago.
Just my two cents. – sjm
