InsuranceNewsNet Magazine April issue: the pension is the ac

 

Tuesday, Mar 31,2009, 12:15:00 PM   Click:

SOURCE: InsuranceNewsNet, Inc.

By Steven A. Morelli, editor

30 March 2009

One of the few glimmers of hope in the insurance industry is beginning to dim as the Carriers are reducing rents as demand skyrockets.

Fixed annuity sales continue to smash records, quarter after quarter, but they are pressuring insurance companies already challenged reservations. The rating agencies have focused on carriers reserves primarily due to credit related investment losses.

Some of the first companies to avoid. The No. 1 seller of annuities in the independent producer channel, Aviva, is down some appointments and reduce production. The carrier's financial strength rating was downgraded by AM Best to A (Excellent) from A + (Superior). The rating agency said the action follows the Aviva negative financial performance in 2008 and a reduction in the risk-based capitalization.

This is one of the best stories in the April issue of InsuranceNewsNet Magazine. The issue of pensions also a review of reports on sales of annuities to determine what the future of insurance producers.

Steve welcomes comments smorelli@insurancenewsnet.com.

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