(Bloomberg) Property and casualty insurers are voicing concerns that longstanding tax exemptions for municipal bonds could be disrupted as part of a broader U.S. tax-code changes being considered by Congress.
Insurance companies rely on income from municipal bonds to cover claims paid to policyholders. Property and casualty insurers held $329 billion in outstanding state and local debt as of December, making them the fourth-biggest institutional holder after mutual funds, money-market funds and banks, according to U.S. Federal Reserve data.
