Insurance Companies Crushed As Private Credit Contagion Spills Over

Long before the latest meltdown in private credit, we warned last October, that the first domino to fall after the private credit bubble had burst, would be insurance companies. The reason: private credit represents 35% of their total US investments, which when all is said and done, would guarantee that insurers would be this generation's "widows and orphans", so well popularized by their willingness to buy all the toxic slop that made the global financial crisis of 2008... well, a global financial crisis.

Insurers will be this generation's "widows and orphans": private credit represents 35% of total US insurers' investments pic.twitter.com/ifV8CB2nrj

— zerohedge (@zerohedge) October 29, 2025