#26 | Dynamite in the Basement

Life insurance companies are supposed to be boring. They’re supposed to write predictable products backed by predictable assets that, over the long run, produce predictable returns to policyholders and/or shareholders. Financial strength, then, should be somewhat predictable. Ratings agencies and firms like ALIRT provide excellent snapshot insight into the momentary financial condition of a company. And, if things are really predictable, then momentary snapshots are the best indicator of the health of the company going forward.