Build America Mutual (BAM) is NLC’s preferred provider of financial guaranty insurance on debt for its member municipalities. Launched in July 2012, BAM delivers substantial interest cost savings for issuers of municipal bonds and durable protection against loss for municipal bond holders.
In addition to interest cost savings, as a mutual insurer, BAM insured issuers have the right to:
BAM's underwriting activities are limited to guaranteeing bonds of fixed rate, fully amortizing debt. Its insurance is extended only to U.S. essential public purpose, municipal bonds.
NLC Endorses BAM
BAM is NLC's preferred provider of financial guaranty insurance on debt for its member municipalities. NLC is pleased to endorse BAM because BAM is uniquely situated to provide cities and towns not only access to municipal bond insurance that will facilitate their financing and reduce their costs, but also the unique benefits of membership in a mutual insurance company, which includes voting rights and the receipt of future dividends when declared by BAM's Board of Directors.
What are the Benefits of BAM for Municipal Members?
Benefits to Municipal Members:
About Build America Mutual Assurance Company
Headquartered and licensed in New York under Articles 41 (Domestic Mutual Companies) and 69 (Financial Guaranty Insurance Corporations), Build America Mutual Assurance Company is a mutual bond insurer of public purpose U.S. municipal bonds, exclusively. As a mutual, BAM is 100 percent owned by its policyholders - the municipalities using BAM's insurance to lower their borrowing costs. BAM is rated AA/Stable by Standard and Poor's and is regulated by the New York State Department of Financial Services.