Insured Retirement Institute supports American Infrastructure Bonds | #retirement | #elderly | #seniors
The Insured Retirement Institute (IRI) supports a bill introduced in the House last week that would establish American Infrastructure Bonds to help municipalities fund infrastructure projects.
The legislation, the American Infrastructure Bonds Act of 2021, was sponsored by Sens. Roger Wicker (R-MS) and Michael Bennet (D-CO). It was co-sponsored by Sens. Roy Blunt (R-MO), Debbie Stabenow (D-MI), Shelley Moore Capito (R-WV), Tim Kaine (D-VA), and Cynthia Lummis (R-WY).
“The measure will offer the life insurance industry, one of the nation’s most prominent institutional investors with nearly $7 trillion invested, an opportunity to invest its capital in financing infrastructure projects and help to revitalize and strengthen our nation’s economy,” Paul Richman, IRI chief government and political affairs officer, said.
Richman said that infrastructure investments generate predictable revenue, provide better returns, and reduce reinvestment risk for the life insurance industry. That allows for the deployment of investment capital. More than 10 years ago, the life insurance industry purchased $60 billion, or 33 percent, of the Build America Bonds, which were established through the American Recovery and Reinvestment Act. As a result, the life insurance industry provided capital to finance projects in all 50 states, the District of Columbia, and two U.S. territories.
“Advocating for an innovative infrastructure financing mechanism is among IRI’s priority issues included in our 2021 Federal Retirement Security Blueprint,” Richman said. “We are encouraged to see the American Infrastructure Bonds Act of 2021 introduced, and we welcome the opportunity to work with the sponsors to advance this legislation.”