Header graphic for print
Lenders 360

Tag Archives: NAIC

Proposed Rules Could Change Penalty Box for Life Company Lenders

Posted in Articles, Good Times for Lenders, MEAF

As commercial real estate lenders, life insurance companies have a unique approach on dealing with potential losses or loan loss reserves in their mortgage loans holdings.  Unlike bank mortgage lenders, who apply their risk based capital requirements on a loan level basis, life insurance companies use an approach that applies at the portfolio level (called… Continue Reading

NAIC Appoints Blackrock Solutions For Modeling Of CMBS Holdings (Stepford Wives Revisited?)

Posted in Market Trends, Tough Times for Lenders

The NAIC is the association of state insurance regulators.  It acts as a guide to state insurance commissioners, who in turn regulate insurance companies and their respective balance sheets and investments. Last year, the NAIC hired PIMCO to assist in the risk-based capital ("RBC") modeling of residential mortgage-backed securities (and accompanying solvency requirements). Below I… Continue Reading

Regulators Issue Major Regulatory Announcement: A Prudent Peace Pipe?

Posted in Good Times for Lenders, Market Trends, Remedies, Tough Times for Lenders, Workout Issues

This past Friday (October 31, 2009), the Federal Financial Institutions Examination Council (website) released a major policy statement giving guidance, and articulating general principals, for the distressed commercial real estate debt market. The report is a "must" read: PDF.  (Footnote #1 to the report lists the Federal & State Regulators – visit the FFIEC website for the complete… Continue Reading

A Continuing Dilemma: The Insurance Industry Wrestles with Risk-Based Capital Requirements

Posted in Good Times for Lenders, Insurance & Environmental Risks

As many readers that follow the insurance industry know, the National Association of Insurance Commissioners ("NAIC") met this last summer and went through a series of sometimes heated discussions over what modifications should be made to NAIC Risk-Based Capital rules. Specifically, the current NAIC mortgage loan portfolio quality measure known as the "Mortgage Experience Adjustment… Continue Reading