Report on Shadow Insurance Casts Unflattering Light on Captives

By David Dankwa, Senior ReporterA critical report released this week on so-called shadow insurance transactions has cast an unflattering light on the captive insurance industry as a whole.Although New York-based life insurance companies were the primary target of the 11-month investigation into shadow insurance transactions conducted through captives, the report released by New York State Department of Financial Services takes aim at a number of arrangements that are common within the broader captive insurance sector.New York Insurance Superintendent Benjamin Lawsky took aim at the use of cond...