Prudential Reprices Some Insurance Products as Lower Rates Weigh on Profits
July 15, 2020 by Mark Maurer
Prudential Financial Inc. planned for a pandemic as severe as the Spanish flu, modeling for a potential crisis that would be more severe than the initial coronavirus outbreak suggested. This prepared the company for some of the financial shocks, such as the difficulty in preserving capital, but not the ultralow interest rates.
Ken Tanji, chief financial officer of the Newark, N.J.-based life insurer, is helping lead the effort to combat interest-rate pressure on corporate profit by boosting prices of insurance products sold to both plan sponsors and individuals.