The insurance business has been a tough place for investors to earn
At the heart of the problem is low interest rates, which have been dragging down insurers' profits since the Federal Reserve kicked off its zero-rate policy following the financial crisis. That is because insurers invest their floats or premiums paid by customers, before claims paid out and operating expenses, and thanks to the Fed, these investments are generating precious little interest.
That is showing up in insurers' quarterly earnings. For example, Prudential Financial, the nation's second-largest life insurer,
It is the same story at MetLife (