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: Bodily Injury Blog

Groups Cry Foul Over Plan to Decrease Insurance Reserves

By Edward Bills

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Consumer groups are protesting a group insurance industry proposals that would allow state regulators to reduce the amount of money that life insurers must set aside for benefits. According to the Consumer Federation of America and the Center for Economic Justice, the move would put owners of life-insurance and annuity contracts at risk if their insurer became insolvent or was otherwise unable to pay claims. The insurance industry estimates that the changes would reduce the amount of live insurance reserves by about $25 billion.

Full post as published by Bodily Injury Blog on January 05, 2009 (boomark / email).

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