In an economic address this week, Department of Financial Services Superintendent Benjamin Lawsky says another emerging concern is private equity-controlled insurers. They now account for nearly 30 percent of the indexed annuity market and 15 percent of the total fixed annuity market. Both tripled from a year earlier.
The department also is focusing on captive insurance companies with limited reserves used to offload risk at large financial firms. The department believes that "shadow insurance" puts stability of the broader financial system at greater risk.
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