More than half the nation's property and casualty insurers suffered drops in profits in the first nine months of 2008, as major hurricanes and the subprime mortgage crisis ate at companies' bottom lines, a new analysis by TheStreet.com Ratings shows.
Pennsylvania regulators may sell or liquidate long-term care insurer Penn Treaty American Corp., after a judge ordered two of its subsidiaries into rehabilitation.
Variable annuities have popped up as a problem area for many insurers in the third-quarter downturn, but another type of annuity that makes payouts if indices like the S&P 500 fall could do further damage.
Insurers' losses to protect companies from subprime-mortgage lawsuits will jump to $5.9 billion, industry firm estimates.
Shares of the insurer are losing half their value as third-quarter earnings raise capital concerns.
Holding company Loews takes action to shore up CNA subsidiary Continental Casualty.
The insurer gets walloped by $1.8 billion in catastrophe losses in the third quarter.
Third-quarter earnings decline 82% on due mostly to catastrophe losses primarily caused by Hurricanes Ike, Gustav and Dolly.
The industry suffered a staggering first-half loss on the sale and writedown of investments.
Property-and-casualty insurers are hurt by the first underwriting loss in five years during the first half of 2008.