TARP

Barrons--a weekly trade publication for the investment community--has written favorably on parts of the U.S. life insurance sector over the past several months. In particular, Barrons had singled-out perceived opportunities with shares of Hartford Financial Services Group and Prudential Financial. The publication remains bullish on several of the companies that were recently approved for TARP funds. In addition to Hartford and Prudential, Barrons has favorable views of Allstate and the...

Prudential Financial and Ameriprise Financial have both indicated that they will decline funds that are available to them through the U.S. Treasury's TARP program. $22 billion in TARP funds are available to six life insurers: Hartford Financial Services Group, Prudential Financial, Principal Financial Group, Lincoln National, Allstate and Ameriprise Financial. Hatford Financial Group is in the final stages of accepting $3.4 billion in funding while Lincoln National is likely to accept $2.5...

Life insurance companies that have bank holding company status and applied for TARP funds prior to November 14 2008 will receive $22 billion in TARP funds from the U.S. Treasury. Companies that are set to receive funds include: Hartford Financial Services Group, Prudential Financial, Principal Financial Group, Lincoln National, Allstate and Ameriprise Financial. Many life insurers--particularly those with meaningful variable annuity businesses--have been significantly impacted by the capital...

The U.S. Treasury Department is expected to annouce that TARP funds will be extended to certain life insurers that have bank holding or thrift status. The potential TARP funds are seen as most beneficial for those life insurers whose capital bases have suffered most during the financial crisis. Strengthened capital bases are likely a positive for consumers of life and annuity products, while industry shareholders and executives would suffer from dilution of their ownership and increased...