Bond Insurance Company

Bond Insurance Company

A company that sells insurance on bonds. That is, a bond insurance company guarantees that the principal and coupon on a bond will be paid at the appropriate times. The bond insurance company does this in exchange for a premium. Insured bonds carry a higher credit rating.
References in periodicals archive ?
In addition to Build America Mutual Assurance Company, the first and only mutual municipal bond insurance company in the United States--which White Mountain kicked off through its subsidiary HG Global in 2012--it has acquired NSM Insurance HoldCo for $274 million and, indirectly, the British Fresh Insurance Service Group for nearly $50 million and DavidShield for $41.8 million.
Deposits and Guarantees required: I purchase items the contract performance guarantee (bank guarantee or surety bond insurance company, or to the customer~s bank account transferred to cash deposit) The Contractor shall provide the Customer no later than 10 days after the contract is signed.
Eventually, their analysis led them to the conclusion that creating a mutual bond insurance company 100% owned by policyholders was a financial model that would enable a monoline company to sustain itself without relying on insuring nonmunicipal debt.
Results in the year-ago quarter were hurt by a settlement with a bond insurance company. Adjusting for that settlement, bond trading revenue fell 15 percent in the first quarter of 2014, the company said.
As a mutual bond insurance company, BAM is operated for the benefit of its members--the cities, states and other municipal entities--that use BAM's financial guaranty to lower their cost of borrowing.
The bond insurance company, Developers Surety and Indemnity Co.
Last year, the bond insurance company ACA Financial Guaranty Corp.
NLC has played a lead role in the effort to meet the insurance needs of municipal bond issuers since it convened a Blue Ribbon Commission on Municipal Credit Enhancement that issued a report in 2009 urging NLC to investigate the feasibility of creating a mutual bond insurance company.
Earlier she has served as a managing director at Financial Security Assurance (FSA), a bond insurance company, and has also worked with American Capital Access and Enhance Reinsurance/Asset Guaranty; in government at New York City's Office of Management and Budget, and at Moody's Investors Service.
Christine Richard recounts the efforts of William Ackman, a controversial hedge fund manager who passionately, perhaps obsessively, advocated the theory that Municipal Bond Insurance Company (MBIC), a company that insured government and corporate debt from default, was not as secure as it and the credit rating companies claimed.
He alluded to the "new, healthy guarantors"--notably Berkshire's new bond insurance company, already licensed in 31 states--as potentially stepping in to take over "at least [the] municipal bond portfolio" of smaller insurers that cannot be stabilized.
Any rent Massport collects from airlines and reserve funds will go toward repaying the bonds; the remainder will be covered by Ambac Assurance Corp., a Wall Street bond insurance company the airline hired to repay the bonds in the event of bankruptcy.