To recap the issues raised during Wednesday’s conference call, here are some of the key media stories, and the messages we’re conveying.
If there is a subject you would like to see addressed on Wednesday, April 20, please email Mike Barry at michaelb@iii.org
Five U.S. nuclear reactors were built in seismic zones, USA Today reports:
ESRI Inc., a California-based mapping and geographic data firm, issued a report indicating at least five U.S. nuclear reactors are situated in seismic zones and potentially exposed to the same forces that damaged the Fukushima nuclear facility in Japan, this Monday, April 11, USA Today article explains. The ESRI analysis identified risks at the Diablo Canyon Power Plant and San Onofre Nuclear Generating Station in California; the South Texas Project near the Gulf Coast; the Waterford Steam Electric Station in Louisiana; and the Brunswick Steam Electric Plant in North Carolina.I.I.I. is working with the Wall Street Journal to correct online homeowners insurance guide assertions:
The I.I.I. gave its recommendations in writing to ensure the accuracy of the WSJ.com piece. Smart Money reporter Janet Paskin (email: janet.paskin@wsj.com; Phone: 212-416-2908) has spoken with the I.I.I.’s Jeanne Salvatore, and Paskin said they understood the article needed to be revised to reflect that a standard homeowners policy covers windstorm damage, and that retaining an independent insurance agent will not necessarily drive up the cost of purchasing a policy.I.I.I. issues news release on tornadoes and insurance coverage pegged to severe windstorms in Iowa, Minnesota, and Wisconsin:
The release was issued on Tuesday, April 12, and focused on the frequency of tornadoes in April, May and June in the U.S.Bloomberg BusinessWeek offers assessment of D.C. debate on systemic risk and non-bank institutions:
The Wednesday, April 13, Bloomberg article offers a detailed assessment of the Financial Stability Oversight Council’s (FSOC) activities to date as they pertain to insurers. FSOC was created as part of the 2010 Dodd-Frank Act.
I.I.I. white paper on systemic risk posted in advance of U.S. House hearing on the Financial Stability Oversight Council (FSOC):
The I.I.I.’s Robert Hartwig and Steven Weisbart wrote this white paper on Property/Casualty Insurance and Systemic Risk, and announced it in this Thursday, April 14, media advisory on the FSOC hearing.Sarasota Herald-Tribune is in the market for a “barbarian with a pen”:
The actual job title is investigative reporter but this Thursday, March 31, news item gives some insights into the editorial mindset among at least one of the Herald-Tribune’s current decision-makers.
Orlando’s NBC affiliate plans on broadcasting story about homeowners who have filed sinkhole-related claims:
The I.I.I.’s Lynne McChristian reports that WESH-TV is interviewing homeowners who have filed sinkhole claims to explore how they have used their insurance proceeds. The Wall Street Journal published an article a few weeks ago estimating that only 40 percent of these monies are actually used to fix sinkhole caused property damage in Florida.
Coastal Living Magazine preparing story on insurance coverage for vacation homes:
The I.I.I.’s Salvatore spoke with reporter Leslie Oaks about insurance policies for vacation homes. Her email address is lesley61@gmail.com.I.I.I. to do satellite TV media tour later this month on the importance of having flood insurance coverage:
The I.I.I.’s Salvatore will be doing the national interviews in late April, and the I.I.I.’s McChristian will handle the Florida-specific media opportunities. We will have additional details when FEMA’s vendor, Ogilvy PR Worldwide, finalizes the tour schedule with the National Flood Insurance Program’s communications office.
Sports utility vehicles (SUV) are considerably safer than they were a few years ago, the Wall Street Journal reports:
SUVs and crossover wagons are popular with consumers they are roomy and comfortable, according to this Wednesday, April 13, WSJ article (subscription required) explains. Recent studies of federal crash data indicate these types of vehicles are also among the safest because auto makers and regulators have worked for a decade to reduce the risk of deadly rollover accidents. The downside: design modifications to make these vehicles safer has also increased their weight, and the continued demand for these heavy SUVs and crossovers will make it more difficult to lower oil consumption in the U.S.Texas wildfires have damaged thousands of acres:
This Associated Press story from Tuesday, April 12, discusses Governor Perry’s visit to the affected parts of the state.Consumer Reports readying July 2011 magazine article on whether affinity programs used to sell insurance save policyholders money:
The I.I.I.’s Weisbart and Mike Barry spoke to California-based Consumer Reports senior editor Jeff Blykskal about insurance distribution channels, and the pros and cons of using the different channels. Blyskal is focusing on insurers’ use of affinity programs as a way to market their products.
Money is prepping piece on umbrella liability policies; Washington Post is assessing coverage for fallen trees; Marketwatch.com is focusing on natural disasters:
The I.I.I.’s Salvatore spoke this week with Money magazine’s Tali Yahalom (212-522-2850) about umbrella policies (what they are, how they work) for the June 2011 print edition. She also spoke with Elizabeth Razzi of the Washington Post about fallen trees and insurance coverage, and with Amy Hoak (ahoak@marketwatch.com), a MarketWatch.com personal finance reporter, about the insurance implications of floods, tornadoes and earthquakes.
The Buffalo News is looking at why the city’s Water Authority is promoting water service-line insurance:
The I.I.I.’s Loretta Worters briefed reporter Emma Sapong (Phone: 716-849-4611) on the insurance issues raised in the Buffalo Water Authority’s water service line repair or replacement program.
Number of policies written by Alabama’s property insurer of last resort grew by 34 percent over the past year:
The news was the subject of a front-page article in the Friday, April 8, edition of the Mobile Press-Register. The Alabama Insurance Underwriting Association’s (AIUA) book of business went from 15,214 policies in February 2010 to 20,350 a year later, the story states. The AIUA is adding significant numbers of homeowners whose wind coverage has been dropped by private insurers in the coastal counties of Mobile and Baldwin, according to the report.
Press-Register editorial board praises Alabama governor’s formation of a commission to study the state’s coastal insurance market:
Governor Bentley’s decision was applauded in a Sunday, April 10, editorial. The article notes that gubernatorial spokeswoman Jennifer Ardis even offered a phone number for anyone interested in serving on the commission: 334-242-3300. No one has been named to the commission as yet, they write.
New Orleans Times-Picayune reports that charitable groups unknowingly constructed homes with defective Chinese drywall:
More than 200 buildings constructed post-Katrina by hurricane relief organizations contained defective Chinese drywall, according to a Monday, April 11, Times-Picayune story. Groups like Habitat for Humanity, Catholic Charities and Rebuilding Together were involved in erecting these structures, which are now being gutted, the article states.
Louisiana court ruling raises questions about business interruption insurance:
The March 22 appeals court ruling said that in order for business interruption claims to be paid on the basis of a “civil authority” clause, an evacuation order needed to be linked to damage other than at the insured premises, and that has caused some concern among New Orleans business owners, according to this Sunday, April 10, Times-Picayune article.
Mississippi lawmakers are surprised at governor’s veto of a measure aimed at reducing the number of uninsured motorists:
Governor Barbour’s decision to veto House Bill 620 caught the measure’s primary legislative sponsors off-guard, according to this Monday, April 11, Biloxi Sun Herald editorial.
North Carolina debate on how auto insurance rates ought to be set generates interest among insurance trade groups, insurers:
Proposals to rid North Carolina of its prior approval rate-setting system in the auto insurance market are being fought by Insurance Commissioner Wayne Goodwin, according to a Thursday, April 14, Insurance Journal story.
New York City’s mayor quietly abandons his ‘crash tax’ proposal:
The Bloomberg administration initiative, which would have authorized the city’s Fire Department to levy fees on those involved in auto accidents requiring a departmental response starting in July 2011, has been dropped, according to an article in the Thursday, April 7, Wall Street Journal.
Michigan’s commissioner of Financial and Insurance Regulation is leaving office:
Commissioner Ken Ross is stepping down from office, effective Friday, April 15. Ross was an appointee of former governor Granholm, a Democrat, and had served in that post since February 2008. Governor Snyder, a Republican, is expected to name a successor soon.
