“The Administration of Barack Obama immediately appealed the decision of Judge Collyer (i.e. to remove the TBTF tag on MetLife).” (paraphrased)
That’s all that is needed to safely project which party will eventually win this dispute now that the Republican Party is in the White House, and that specific members of TrumPresident’s administration have generally supported Constitutional rights and opposed tyrannic rule.
There have been dozens of failed ins cos over the past few decades, and I remember none that dragged down the US or World economy. That said, those insolvencies didn’t involve cos. as large as AIG, Pru, MetLife, etc. So, why aren’t guaranty funds and regulators capable of handling the insolvency of those 3 or other, similar sized cos.? Said another way, if AIG, The Hartford, etc. got bailout money, why couldn’t that (fungible) money be transferred to SOLVENT insurance companies to take on the in-force policies and runoff the liabilities? Agents writing AIG’s book could easily roll it over to other carriers. I doubt anyone could come up with a problem that couldn’t be solved by the usual means of resolving smaller insolvencies.
Finally, what happened to all of those in control of the bailed-out cos’ ERM units? Did they receive a lucrative ‘career bailout’ severance package and early retirement at stockholder’s expense?
“The Administration of Barack Obama immediately appealed the decision of Judge Collyer (i.e. to remove the TBTF tag on MetLife).” (paraphrased)
That’s all that is needed to safely project which party will eventually win this dispute now that the Republican Party is in the White House, and that specific members of TrumPresident’s administration have generally supported Constitutional rights and opposed tyrannic rule.
Elections have consequences.
There have been dozens of failed ins cos over the past few decades, and I remember none that dragged down the US or World economy. That said, those insolvencies didn’t involve cos. as large as AIG, Pru, MetLife, etc. So, why aren’t guaranty funds and regulators capable of handling the insolvency of those 3 or other, similar sized cos.? Said another way, if AIG, The Hartford, etc. got bailout money, why couldn’t that (fungible) money be transferred to SOLVENT insurance companies to take on the in-force policies and runoff the liabilities? Agents writing AIG’s book could easily roll it over to other carriers. I doubt anyone could come up with a problem that couldn’t be solved by the usual means of resolving smaller insolvencies.
Finally, what happened to all of those in control of the bailed-out cos’ ERM units? Did they receive a lucrative ‘career bailout’ severance package and early retirement at stockholder’s expense?