The ING Group, a Dutch financial institution working in the banking and insurance industries, has announced that it will be abandoning its plans for a combined European and Asian insurance investment operation. The company cites economic turmoil in the European region as the primary reason for its change of heart. Future investment and insurance plans are still a possibility for the future, if the European financial crisis is resolved appropriately. The company still has a keen interest in the Asian market, however, and plans to pursue alternative schemes to expand…
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PMI Group files for chapter 11 bankruptcy protection
Mortgage insurer PMI Group Inc. has filed for bankruptcy this week. The surprise move comes after Arizona insurance regulators seized control of the company amidst allegations of fraud and malpractice. The insurer sought to overturn the actions of regulators through the court system, but and Arizona judged rejected the company’s claims. The California company, whose mortgage insurance unit is housed in Arizona, is now seeking protection through bankruptcy. The company has listed a scant $225 million in assets, with more than $700 million in debt. PMI is one of the…
Read MoreAIG continues to pay its debt to the U.S. Treasury despite financial turmoil
The U.S. Treasury has received another payment from the American International Group (AIG), one of the nation’s largest insurance organizations. The payment is the latest in a series coming from AIG as part of its massive debt owed to the federal government. To date, the company has repaid $18 billion of the $182 billion provided during 2008’s financial crisis. The company still owes the federal government approximately $50 billion it received from the government’s Troubled Asset Relief Program. This week’s payment totaled $972 million. The insurer has been treading troubled…
Read MoreMutual Life of Massachusetts approves $1.33 billion in dividends for consumers
Mutual Life Insurance, one of the largest insurers in Massachusetts, has announced that it will pay $1.33 billion in dividends to policyholders in 2012. The dividend is a long-standing tradition for the company, extending back to 1860 when it was first introduced. Last year, the company paid out more than $105 million. This year’s large sum is due to a number of factors, including growth in the life insurance market and less competition overall. The insurer will be doling out the money throughout 2012 to eligible policyholders. Customers that have…
Read MoreHSBC LAUNCHES RENMINBI FIXED INCOME FUND
PRESS RELEASE: HSBC Global Asset Management this week launches the HSBC GIF RMB Fixed Income fund. The fund enables UK and European investors to gain access to Renminbi investments. Forming part of HSBC Global Asset Management’s Luxembourg-based Global Investment Funds (GIF) SICAV, the new fund will be registered for sale across Europe. The fund is managed by HSBC Global Asset Management’s Asian fixed income team, based in Hong Kong and headed by Cecilia Chan who has managed Asian fixed income assets at HSBC for 17 years. This award-winning team manages…
Read MoreNegotiations between states and banks may end in immunity for banks – insurance industry levies concerns
The mortgage crisis of 2008 played a major role in the economic recession of the same year. The effects of the recession are still felt to this day, despite reports of a recovering economy. In the wake of the recession, states and some of the largest banks and financial institutions in the U.S. have been negotiating on how to address future mortgage abuses. Those negations are rapidly reaching a climax. Representatives from states and banks are set to reach a deal by the end of this month. The deal, which…
Read MoreChanges to annuity regulation spur more transparency in the insurance industry
The National Association of Insurance Commissioners, a national standard-setting and regulatory support organization comprised of insurance regulators from across the country, have passed new amendments to the Annuity Disclosure Model Regulation. The regulation determined how insurers released information regarding annuity payments to consumers. Previously, such information was withheld as much as possible by insurers, but the new amendments require that this information be put into the limelight for all to see. Changes to the rule will also require insurers to detail the practices they use in determining annuities and how…
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