Credit pressures highlighted for Taiwanese insurers

Taiwan’s insurance industry will face increasing credit pressure over the next year-and-a-half because of a shift towards riskier assets, increasing competition and weak profitability, says Moody’s Investors Service. The low-interest-rate environment, coupled with recent regulatory changes allowing for overseas investment, will encourage Taiwanese insurers to seek alternative areas to put their money. This includes real estate and high-yield securities, both of which are illiquid …