00:00It's Benzinga, bringing Wall Street to Main Street.
00:02Iowa Insurance Commissioner Doug Amann warned that a shift in the U.S. retirement insurance
00:07industry has pushed policyholder funds into riskier private market investments.
00:12According to Benzinga, private equity firms took ownership stakes and redirected premiums
00:17into private credit and structured securities. Iowa oversees $1.3 trillion in insurance assets
00:23and $449 billion in offshore reserve funds. Insurers have transferred more than $1 trillion
00:29in obligations to offshore reinsurers in Bermuda and the Cayman Islands, which Amann said
00:34lacks transparency. Private equity firms have expanded ties with insurers. Analysts warned
00:40that private credit and life insurance could trigger a financial crisis and pointed to a
00:44case where $7 billion in liabilities were backed by just $200 million in real assets, with the
00:50rest tied to highly uncertain instruments. U.S. annuity sales reached $464 billion as demand
00:56for retirement income grew. For all things money, visit Benzinga.com.
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