From SNL Financial:

However, critics say it would put federal taxpayers on the hook for potentially millions of dollars in losses. Estimates of a net-neutral cost assume that the federal government would assess sufficient risk-based premiums on the CEA in exchange for the guarantee, Lawrence Powell, a professor of insurance and financial services at the University of Arkansas and an associate fellow at the R Street Institute, said in a new paper.

“Other federal risk transfer programs have made similar promises, but S. 637 would be unique if it actually achieved such an outcome,” Powell wrote.

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