Systemic Risk ‘Steamrolls’ Without Insurance Input
|Copyright:||(c) 2011 A.M. Best Company, Inc.|
|Source:||A.M. Best Company, Inc.|
"That's just not right," said U.S. Rep.
U.S. Treasury Secretary
Biggert also criticized the restrictions on
"I've heard that his hands are tied," she said. "He's under a gag order."
Leaders of the the NAIC, the
"We are a town that's very bank-centric in its approach," said
In January, the FSOC identified six criteria for assessing a nonbank financial entity's systemic importance: size, lack of substitutes for the financial services and products the company provides, interconnectedness with other financial firms, leverage, liquidity risk and maturity mismatch and existing regulatory scrutiny. The draft rule now being deliberated also leaves the council flexibility to "consider any other risk-related factors that the council deems appropriate, whether by regulation or on a case-by-case basis" (BestWire,
Federal regulators will be inclined to cover insurance under FSOC rules, said
"I think insurance companies will be covered," Wallison said.