<Run vs Run-off>

(p98) - Exhibit 57: Equitable Life lapse rates 2000-2004

  • Lapse rates multiplied across all product lines between 2000 and 2004.
  • However, with maximum lapse rates between 10 per cent and 15 per cent it would be inappropriate to talk about an "insurance run”.

(p99) - Equitable Life has been in run-off for over 9 years, an orderly run-off of its portfolio.

  • There has been significant transfer of policies to other insurance companies and the impact on national pensioner income and GDP growth is marginal.

2010 - Geneva - Systemic Risk in Insurance—An analysis of insurance and financial stability - 129p