Julie Mix McPeak, Tennessee's insurance commissioner, will be the next president of the National Association of Insurance Commissioners, starting in January. The new vice president will be South Carolina Insurance Director Ray Farmer.
Net income for the US life and annuity sector was $30.9 billion for the first three quarters of this year, more than twice the total for the first nine months of 2016, A.M. Best says. The industry's total income dropped 4%, but that was canceled out by a $44.3 billion decrease in total expenses and federal and foreign taxes, according to A.M. Best.
Sales of indexed universal life insurance increased 8% year-over-year in the third quarter, according to LIMRA. The life-insurance market declined overall in the third quarter, however, with premiums down 2% and policy counts down 3%, LIMRA says.
Annuities are getting more positive attention from policymakers and others, which means the products' recent decline is likely to reverse soon, writes Kim O'Brien of Americans for Annuity Protection. O'Brien identifies three positive annuity trends: the Treasury's acknowledgment that annuities are important, greater use of annuities to meet pension plans' obligations and changing opinions among some critics of annuities.
Student-loan debt in the US is at more than $1.3 trillion, the same amount as the country's high-yield corporate bond market. The government holds much of the student-loan default risk, meaning it presents no systemic financial risks, although it does have other effects such as lowering homeownership rates, said Marty Young and Lotfi Karoui of Goldman Sachs Group.
Jodie Papike, head of an advisor-recruiting firm, explains how consolidation in the industry might affect advisors. She discusses three common merger and acquisition scenarios, ranked in terms of potential disruption to an advisor's business.
When the risks of a project are too great for individual actors, a public-private partnership can be a good solution, although research shows these arrangements seldom last long. Willy Foote offers pointers on how to build P3s that last.
Lawmakers on Monday released a two-week spending bill that would fund the government through Dec. 22, and it includes a provision that would allow the CMS to redistribute funding to states running out of money for the Children's Health Insurance Program. The bill is expected to be brought to the floor for a vote this week.
Republicans are hoping to adopt tax-overhaul legislation by year-end, with a single 20% corporate tax rate instead of the current 35% maximum rate. After the House bill's passage, PCI said that "reducing the corporate tax rate will help the property and casualty industry be more competitive."
Self-driving vehicles will become a reality for some businesses as early as 2018, Delphi Automotive CEO Kevin Clark said. Autonomous taxis and delivery vehicles are likely to come into use as companies seek to reduce driver costs, although the market for personal autonomous vehicles likely will appear after 2025, he said.