| There is a "concern that a shadow insurance industry is emerging, with less regulation and more potential debt than policyholders know, raising the possibility that some companies will find themselves without enough money to pay future claims. Critics say this is much like the shadow banking system that contributed to the financial crisis."..."Companies looking to do business in secret once had to travel to places like the Cayman Islands.Today, all it takes is a trip to Vermont. financial wizardry right in a policyholder's own backyard.Vermont, and a handful of other states including Utah, South Carolina, Delaware and Hawaii, are aggressively remaking themselves as destinations of choice for the kind of complex private insurance transactions once done almost exclusively offshore." Other states took note of Vermont's success. Roughly 30 states have passed some type of similar law. |
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At www.nytimes.com
At www.nytimes.com
