The insurance industry experienced decent top-line growth, fairly resilient margins and increased capital management in 2011.
According to the firm’s “2012 Life Insurance Outlook” report, capital ratios remain at or near all-time highs for many companies, while capital management increased in 2011. Also, low rates are a manageable earnings headwind and will not be a material balance sheet issue in the next few years.
KBW expects life insurers to keep growing and valuations to rationalize as the companies continue to demonstrate top-line growth, capital management and EPS growth.
Naming a number of life insurers in its report, KBW says
Carrie Burns writes for