The U.S. insurance industry raised $38.6 billion in capital from the first quarter of last year through the first quarter of this year, with most of the capital raised in the second quarter of 2009, according to Fitch Ratings’ Insurance group.

This year could be a pivotal one for the financial guarantor sector, as its response to its recent battering sets the stage for the next few years, according to an industry analyst.

If life insurance companies take the “back-to-basics” approach to survive, then they may suffer this year, according to an industry analyst.