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Non-Tech : Conseco Insurance (CNO) -- Ignore unavailable to you. Want to Upgrade?


To: M.A. Miller who wrote (526)12/19/1997 3:10:00 PM
From: jeffbas  Read Replies (1) | Respond to of 4155
 
Investment income drops only slowly because insurance companies are invested long term - only the income on newly invested cash flow is affected. (Turnover/prepayment of existing assets also increases.)
The effect on sales depends on whether the insurance company's
relative competitive position has changed because of the drop in rates.

Of course, one key thing is that their $35 billion portfolio is now worth that much more because of the rate drop.