US life insurance industry transforms itself through M&A

Bob Garofalo and Laura Bazer of the Insurance team explain the drivers behind all the M&A transactions in the life insurance industry, and what they mean for credit when the buyers are private-equity firms. Plus, Donald Robertson of the Banking team and Jasper Cooper of the Insurance team answer questions about Archegos and the recent cyber attack on insurer CNA.

Inside this episode:

• Donald Robertson of the Banking team and Jasper Cooper of the Insurance team answer questions about Archegos and the recent cyber attack on insurer CNA (begins at 2:11)
• Bob Garofalo and Laura Bazer of the Insurance team explain the drivers behind all the M&A transactions in the life insurance industry, and what they mean for credit when the buyers are private-equity firms (begins at 6:39)

Related content:

• Banks – Global: Archegos default highlights credit-negative risk opacity in banks’ prime brokerage activities - Credit Suisse and Nomura reported the possibility of incurring significant losses associated with a hedge fund default
• CNA Financial Corporation: Cybersecurity attack disrupts systems including webpage - The cyberattack could increase CNA's expenses and its reputational and regulatory risks, but its profitability and solid capital position mitigate risks. Its ratings are unchanged.
• Life Insurance – US: Companies transform business models via M&A, prepare for post-COVID world - Disruptions in life insurers' business models causing the sector to focus on what matters
• Life Insurance – US: PE-driven M&A: good for life insurance sellers, less so for remaining policyholders - Robust PE capital markets provide strategic solutions for sellers, but policyholders and creditors can be exposed to greater financial risk under new PE owner.