45947--2/23/2010--HARTFORD_LIFE_INSURANCE

related topics

{loss, insurance, financial}

{capital, credit, financial}

{tax, income, asset}

{system, service, information}

{condition, economic, financial}

{financial, litigation, operation}

{product, candidate, development}

We are exposed to significant financial and capital markets risk, including changes in interest rates, credit spreads, equity prices, foreign exchange rates and global real estate market deterioration which may have a material adverse effect on our results of operations, financial condition and liquidity. Our adjustment of our risk management program relating to products we offer with guaranteed benefits to emphasize protection of statutory surplus will likely result in greater U.S. GAAP volatility in our earnings and potentially material charges to net income in periods of rising equity market pricing levels. We have experienced and may experience additional future downgrades in our financial strength or credit ratings, which may make our products less attractive, increase our cost of capital and inhibit our ability to refinance our debt, which would have a material adverse effect on our business, results of operations, financial condition and liquidity. Evaluation of available-for-sale securities for other than temporary impairment involves subjective determinations and could materially impact our results of operations. Losses due to nonperformance or defaults by others, including issuers of investment securities (which include structured securities such as commercial mortgage backed securities and residential mortgage backed securities or other high yielding bonds), mortgage loans, or reinsurance and derivative instrument counterparties, could have a material adverse effect on the value of our investments, results of operations, financial condition and cash flows. If our businesses do not perform well, we may be required to recognize an impairment of our goodwill or to establish a valuation allowance against the deferred income tax asset, which could have a material adverse effect on our results of operations and financial condition. We may incur losses due to our reinsurers unwillingness or inability to meet their obligations under reinsurance contracts and the availability, pricing and adequacy of reinsurance may not be sufficient to protect us against losses. The Hartford s participation in the CPP subjects us to additional restrictions, oversight and cost that could materially affect our business, results and prospects. We may experience unfavorable judicial or legislative developments that could have a material adverse effect on our results of operations, financial condition and liquidity. We may experience difficulty in marketing and distributing products through our current and future distribution channels. If we experience difficulties arising from outsourcing relationships, our ability to conduct business may be compromised.

Full 10-K form ▸

45947--2/23/2010--HARTFORD_LIFE_INSURANCE_CO