
December 2009
Many factors contributed to a prosperous life insurance market during much of the last decade. Companies were introducing new product features at competitive prices. Capital market financing was available at low rates. And companies, buoyed by appreciable sales growth, low capital costs and robust investment earnings, reported record profits. But this prosperity was challenged severely by the financial crisis. President
Paul Rutledge recently discussed the demanding issues facing life insurers since the onset of the financial crisis with Fred Sievert, former president of New York Life and current chairman of the Actuarial Foundation.