Assured Guaranty’s chief executive officer said while the outlook for new municipal bond insurers isn’t good, the industry’s alleged problems with existing portfolios are overblown and unsupported by recent data.

Dominic Frederico said the threat of defaults in the muni market is unlikely to become another crisis for existing bond insurers because the majority of problematic credits are uninsured. In other cases, such as Harrisburg, Pa., and Jefferson County, Ala., revenue issues are being obscured by political considerations.

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