Banks and insurers are urging the U.S. Internal Revenue Service to give them a break when it comes to dealing with write downs of bad debt, particularly mortgage- backed securities that have little or no value.
The package arrived at Cindy Lohman’s home in Great Mills, Maryland, just two weeks after she learned that her son, Ryan, a 24-year-old Army sergeant, had been killed by a bomb in Afghanistan. It was a thick, 9-inch-by- 12-inch envelope from Prudential Financial Inc ., which handles life insurance for the Department of Veterans Affairs.
Jane Pierce spent nine years struggling alongside her husband, Todd, as he fought cancer in his sinus cavity. The treatments were working. Then, in July 2009, Todd died in a fiery car crash. He was 46. That was the beginning of a whole new battle for Jane Pierce, this time with Todd’s life insurance company, MetLife Inc.
Senator Orrin Hatch is pushing an overhaul of public pensions that would let life insurers grab a bigger share of the $3 trillion in state and local funds, a potential windfall for companies such as MetLife Inc. and Prudential Financial Inc.
New York Life Insurance Co., the insurer with a portfolio of more than $170 billion, limited the investment duration and hedged against higher yields to prepare for a rise in interest rates after U.S. bond buying ends.
U.S. life insurers are “very proud” of the retained-asset accounts that allow companies to hold death benefits and earn interest on the funds because the practice gives bereaved beneficiaries time to decide what to do with the money, an industry group said today.