Tax Act Producing Mixed Impacts for Insurance Companies

Hurricanes and wildfires weren’t the only major events to hit property and casualty insurers’ bottom lines in 2017. As a result of the federal Tax Cuts and Jobs Act, companies were forced to write down deferred tax assets to the tune of $10.3 billion, according to a new report from A.M. Best. The impact varied among insurers: American International Group and The Hartford were among the hardest hit, with write-downs of $7.3 billion and $1.8 billion, respectively. The charges contributed to fourth-quarter net losses of $6.7 billion reported at AIG and $3.7 billion reported at The H...