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The pending USA default—Will it impact UNA?

The news of a pending default of the US Government on its obligations occupies the politics, the news and conversation.  People are prudently curious about what that might mean for their policy with us.  We would like to offer you our expectations.

As a democracy, we place great faith in our elected representatives to accomplish the difficult task of governing.  We trust that they are aware that their actions have far-reaching consequences.  While the debt-ceiling limit is making the news, it is bringing much-needed focus to our failed budget process.  We are hopeful this will cause voters to understand and make a priority of controlling and ultimately eliminating our deficit.  It seems to be on more minds than ever.  That’s not a bad thing.

Your policy is backed by an investment portfolio that is broadly diversified.  This served us well in 2008; this discipline will serve us well again.  Our exposure directly to the US Treasury is minimal and our regular review of cash flows puts us in the enviable position of being able to weather liquidity freezes as occurred beginning in 2008.  No one can say with certainty the outcome of the ripple effect the financial world would experience given a default (technical or otherwise) of the US Treasury.  Clearly, the impact would be significant.

We will be monitoring the events surrounding this situation for the duration.  If you wish to provide us with an email address, we’d be pleased to provide updates as we receive them.

Thanks for your trust and your confidence.  We’re on it.