The insurer’s IFS rating was slashed from an A3 to an A2, while its rating outlook is stable. Moody’s Investors Service has taken Farmers Insurance Exchange’s insurance financial strength (IFS) rating down a degree from A3 to A2, and its surplus note rating from a Baa2 (hyb) to a Baa3 (hyb). That said, its ratings outlook is expected to remain stable. The ratings downgrade is a reflection of the weakness of the insurer’s underwriting results. Farmers Insurance Group saw week underwriting results and the ratings downgrade was a reflection of…Read More
MetLife to shake up life insurance industry with Ethereum blockchain adoption
The insurer is using the live tech to enhance efficiency and transparency throughout the claims process. MetLife is adopting the use of Ethereum blockchain in a move that will disrupt the $2.7 trillion life insurance industry. Among the goals is to help beneficiaries to know they are entitled to a payout when their family member or friend has died. At the moment, the industry is essentially opaque to both policyholders and beneficiaries. This situation is advantageous to neither the life insurance industry nor its customers. MetLife is hoping to change…Read More
Will insurance industry giants continue to be “too big to fail”?
A new memo is currently circulating to propose legislation removing that status from massive insurers. Representative Jeb Hensarling (R-Texas) is circulating a memo to remove insurance industry giants from their “too big to fail” designation. The memo stated that proposed legislation would take that status away from even the biggest insurers in the country. The designation was granted to MetLife, AIG and Prudential immediately following the recent financial crisis. A regulatory consortium, the Financial Stability Oversight Council, deemed the insurance industry giants as “systematically important” to the American economy. That…Read More
MetLife Insurance announces massive layoff…of Snoopy mascot!
The insurer has decided to retire its use of the Peanuts character after over 30 years together. MetLife Insurance has now made the difficult decision to end its long term relationship with Snoopy. The beloved Peanuts character has represented the insurance company for more than three decades. However, Bloomberg News reported that the character would be phased out of the insurer’s promotions. Over the next while, the marketing strategy for MetLife will cease to use Snoopy as a component. Snoopy first started to work for MetLife Insurance back in the…Read More
Casey Kasem Life insurance battle is now headed to court
The war within the legendary radio personality’s family over his estate will now be settled in the courtroom. The fights between the children and the second wife and widow of radio legend Casey Kasum (who died in the summer of 2014) didn’t start with the raging disagreements over his estate and the massive life insurance check that comes with it, but those are the latest issues being faced, and they are now headed to court to allow the legal system to try to figure them out. The life policy carried…Read More
Insurance company AIG to pay $35 million fine
The American International Group will be paying the penalty to the New York industry regulator. The American International Group insurance company is now required to pay a $35 million penalty for the violations of its former subsidiaries that had been selling coverage without a license in New York. This, according to a statement issued by the New York State Department of Financial Services. According to the statement from the department, former units of AIG had not only been selling within the state without proper licensing, but they had also been…Read More
Insurance supervision head named by federal government
Thomas Sullivan, the former Commissioner in Connecticut, has now taken on the position. The Federal Reserve has just announced that it will be hiring the former Insurance Commissioner from Connecticut, Thomas Sullivan, in order to take the lead of the oversight of the industry, particularly in terms of the largest firms. The goal is to add his experience to help to address the claims that the central bank does not have knowledge of that business. Thomas Sullivan held the position as Commissioner in Connecticut throughout the financial crisis and was…Read More