A pick-up in structured finance transactions from life insurance companies based in New York is likely to happen soon because the state recently decided to stop testing a new framework for calculating reserves.

Through the National Association of Insurance Commissioners (NAIC), state insurance regulators have been developing a new framework, referred to as principles-based reforms (PBR), anticipated to be adopted nationwide. The PBR would make reserve requirements less rigid and more reflective of the underlying risk, meaning insurers would have less need for structured finance transactions.

Subscribe Now

Access to a full range of industry content, analysis and expert commentary.

30-Day Free Trial

No credit card required. Access coverage of the securitization marketplace, including breaking news updated throughout the day.