Bond insurance

Assured Guaranty and BAM, the two active muni bond insurers, released statements Monday saying they are prepared and able to manage impacts of COVID-19.

The two active municipal bond insurers insured $5 billion more in 2019 than they did in 2018 thanks to a surge of issuance in the fourth quarter.

The two active municipal bond insurers insured $5 billion more in 2019 than they did in 2018 thanks to a surge of issuance in the fourth quarter. Assured Guaranty and Build America Mutual combined for $23.92 billion of insured volume spanning 1,724 transactions and 5.67% penetration rate in 2019. That is up from $18.92 billion in 1,249 deals and 5.58% insured rate in 2018.

Build America Mutual has hired Dan Bingham, who will join BAM’s capital markets team in the newly created role of head of institutional markets.

The bond insurer may be seeking a more receptive audience for its claim that underwriters provided incomplete and misleading information about the bonds it insured.

The two active municipal bond insurers benefited from the issuance boom in the third quarter, as the industry penetration rate rose slightly despite the fact that interest rates are going back down.

Vice President, Build America Mutual

Vice President, Assured Guaranty

Bond insurers National and Syncora agreed to back the Puerto Rico utility's restructuring plan, bringing support to more than 90%.

The municipal bond insurance industry has seen an uptick in overall par amount insured and a steady industry saturation rate for the first half of 2019.