Senator Elizabeth Warren has put the National Association of Insurance Commissioners on notice, asking the state regulators' umbrella group to explain how it plans to police the swelling ties between private investment firms and the life insurers they own.
In a letter sent earlier today, the Massachusetts Democrat and ranking member of the Senate Banking, Housing, and Urban Affairs Committee asked NAIC chief executive Jeffrey Johnston whether the organization is examining if carriers beyond Mark Walter's Delaware Life Insurance Co. and Clear Spring Life and Annuity Co. have engaged in similar conduct.
Both insurers, units of Group 1001, disclosed in June regulatory filings that they had received grand jury subpoenas tied to a federal probe into whether billions of dollars in loans made to Walter-linked businesses were properly disclosed as related-party transactions.
Walter is chief executive of Guggenheim Partners and co-chairman of TWG Global, the holding company behind stakes in the Los Angeles Dodgers, the Lakers, and Chelsea Football Club. His insurance companies are now at the center of a parallel Department of Justice and Securities and Exchange Commission inquiry, first rep...