Higher Long-term Interest Rates Boost Returns from Pensions, Life Insurance

Higher Long-term Interest Rates Boost Returns from Pensions, Life Insurance

The rise in long-term interest rates has rippled through the market. While rates are up for fixed-rate mortgages, some changes have been positive, such as higher returns on insurance products. Financial institutions increasingly feel that the upward trend in interest rates has staying power, given improvements in the economy and price situation. Sumitomo Life Insurance Co. will raise the assumed interest rate — the yield promised to policyholder…