North American Life Insurance "Lifeco Themes & How We Differ" Ward

Research evidence excerpt

North American Life Insurance "Lifeco Themes & How We Differ" Ward

Global Research

26 May 2026ab

North American Life Insurance Equities

North AmericaLifeco Themes & How We Differ

Insurance, Life

Michael Ward

Private Credit Analyst

Life stocks have largely rebounded with the broader market YTD, and the media's focus michael.ward@ubs.com

on private credit risks has become less frequent. This said, skepticism specifically focused +1-212-713 3518

on life insurance credit persists, given tie-ups with alternative asset managers post-GFC.

Asset-intensive life stocks such as those more heavily allocated to annuities (CRBG, EQH,

LNC, FG) are still down ~12% on avg. YTD. We believe our work is differentiated

given life insurers do not have to report private credit disclosures, so analysis requires

finesse/judgement. Though disclosures are improving of late, they remain non-uniform

across the sector. We also continue to believe debates should extend beyond just direct/

middle market loans, to include private ABF and software more broadly incl. across

CLOs. Research:

Lifeco private credit lunch w/ S&P Ratings

Private Credit + Lifecos: Narrowing the focus with stocks under pressure

Video: Private Credit + Lifecos: Narrowing the focus

Life Private Credit Primer

Employer Medical Stop Loss

Blip in the cycle or new normal? Conversations with experts, including actuarial

consultants and brokers, cause us to believe the recent uptick in frequency and severity

of catastrophic employee health insurance claims are likely to persist with rate increases

continuing through 2027. We believe we're differentiated in that, while 1Q26

results were better than expected, we believe the topic will remain a pressure point/