Download U.S. Insurance Industries After the 2007-2009 Financial by Johnson B. Powell PDF

By Johnson B. Powell

ISBN-10: 1629481181

ISBN-13: 9781629481180

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The program was closed to new investments in December 2009. The Hartford Financial Services Group, Inc. 4 billion United States Government Accountability Office 40 • • • and $950 million, respectively. A few other large insurance companies with qualifying financial institutions also applied for this assistance and were approved but then declined to participate. 47 Commercial Paper Funding Facility. The Federal Reserve’s Commercial Paper Funding Facility became operational in October 2008. The facility was intended to provide liquidity to the commercial paper market during the financial crisis.

By mid-2008, the insurer had ceased writing new mortgage guaranty business and was only servicing the business it already had on its books. This insurer is licensed in all states and the District of Columbia. Previously, the insurer provided mortgage default protection to lenders on an individual loan basis and on pools of loans. As a result of continued losses stemming from defaults of mortgage loans— many of which were originated by lenders with reduced or no documentation verifying the borrower’s income, assets, or employment— the state regulator placed the insurer into rehabilitation with a finding of insolvency.

Source: GAO analysis of statutory financial statement data in SNL Financial. Note: Data are shown in nominal dollars. Figure 7. Life and Property/Casualty Insurers’ Net Investment Income, 2002-2011. Insurance Markets 19 Table 2. 3 All other investments include contract loans, cash and short-term investments, other invested assets, and investment write-ins. Source: GAO analysis of statutory financial statement data in SNL Financial. Underwriting Performance Life and P/C insurers’ underwriting performance declined modestly during the crisis.

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