The more things changed, the more there would be a need for a new name. The big news that year though, was the passage of the Federal Deposit Insurance Corporation Improvement Act (FDICIA).
For the first time, private share insurance got some respect.
While other private deposit insurers have failed, ASI touts its history of low loss ratios and high equity levels.
No member has ever lost money in an American Share-insured credit union account.
By the 1990s, ASI was the sole private depositor insurer for the nation.
Next week’s article will focus on more details about ASI since the 2000s and look at their business model that’s proven to be a winning strategy.
There was also much re-regulation, and double digit inflation in the early part of the decade was its own monster. It changed its name to the National Deposit Guaranty Corporation (NDGC) to reflect it was broadening its geographic reach, which would prove to be a key strategy.
A year later, it first introduced excess share insurance for credit unions.
They aren’t keen on meddling, that’s a job for individual state credit union authorities. It is a credit-owned share insurance fund with a board of directors and advisory council that is made up of president and CEOs of its member credit unions.
This leads to geographic and concentration risk." Critics also claimed that private insurers did not satisfy the public policy goal of maintaining confidence and stability in the financial system and economy.
According to the report, “history shows when private insurers fail, depositors at other privately insured institutions, even if those institutions are healthy, lose confidence in their institutions as news of the failures spread.
If you buy several different annuities at several different companies in any state, there is no limit if you stay under the state limits.
(the limit applies to a single life insurance company, but you can aggregate millions worth of polices investing in other insurance companies by buying separate polices in different companies.)To: Anonymous (Comment #9).