Golden Gate Sued Over Insurer’s $2.2 Billion Capital Shortfall

AI Summary

Policyholders of life insurer PHL Variable Insurance have sued its private-equity owner, Golden Gate Capital, alleging self-dealing and mismanagement. The insurer faces a $2.2 billion capital shortfall and possible liquidation.

Policyholders of a struggling life insurer sued its private equity owner, accusing Golden Gate Capital of self-dealing and mismanaging PHL Variable Insurance Co. to the point that it now faces possible liquidation.