To recap the issues raised during today’s conference call, here are the key media stories we discussed, and the messages we’re conveying.
If there is a subject you would like to see addressed on Wednesday, August 21, please email Michael Barry at michaelb@iii.org.
I.I.I. GIVES LIVE INTERVIEW ON FOX BUSINESS NETWORK (FBN) AFTER WALL STREET JOURNAL EXPLORES RISING COST OF FLOOD INSURANCE
The I.I.I.’s Bob Hartwig appeared on The Willis Report on Wednesday, August 14, and the I.I.I. notified the National Flood Insurance Program (NFIP) about FBN’s invitation to have Hartwig as a guest before the program aired. The NFIP shared with the I.I.I. talking points on the implications of 2012’s Biggert-Waters Act. The impact of that federal law was discussed in this Tuesday, August 13, Wall Street Journal article.
I.I.I.’S HURRICANE DEDUCTIBLE RELEASE ISSUED ON SAME DAY NOAA SAID AN ABOVE-AVERAGE TROPICAL STORM SEASON REMAINS LIKELY
The I.I.I.’s Jeanne Salvatore gave a live interview to CBS-owned WLNY-TV on Friday, August 9, on the need to check for a hurricane deductible in a homeowners policy. CBS became interested in the I.I.I.’s news release on hurricane deductibles because it was issued on the same day as this National Oceanic and Atmospheric Administration (NOAA) news release.
I.I.I. CITED IN WALL STREET JOURNAL ARTICLE ON HOW DEMAND FOR CYBER INSURANCE COVERAGE IS INCREASING
Chief financial officers who previously spent little time worrying about cybersecurity now pay close attention to protecting their companies’ technologies, according to this Tuesday, August 13, Wall Street Journal article, which cites the I.I.I. because the I.I.I.’s Salvatore provided information to WSJ news editor James Willhite.
I.I.I. OFFERS ANALYSIS OF U.S. INSURANCE INDUSTRY EMPLOYMENT TRENDS, BASED ON THE MOST RECENT FEDERAL DATA
Property/casualty carrier employment in June 2013 rose vs. May 2013 (up 400, or 0.2 percent) to 523,600. Employment by life/annuity carriers in June 2013 was also up slightly (up 200, or 0.1 percent) vs. May 2013 to 335,700. The presentation and the I.I.I.’s full commentary are posted.
MARSHALL & SWIFT/BOECKH (MSB) REPORT FINDS INSURERS HAVE IMPROVED THEIR ABILITY TO VALUE RESIDENTIAL PROPERTIES
Nonetheless, three out of every five U.S. homes are undervalued for insurance purposes by an average of 17 percent, according to this Wednesday, August 7, MSB news release.
KIPLINGER READYING PIECE ON THE ECONOMIC DOWNSIDE TO HAVING TOO LITTLE INSURANCE
Kiplinger.com managing editor Robert Long interviewed the I.I.I.’s Salvatore for an upcoming story pegged to how someone could need to pay upwards of $100,000 out-of-pocket, if their home is severely damaged and their residence is underinsured, or if they are unable to work because of an injury or illness and have little or no disability coverage.
CAPITOL HILL
Newark Mayor Cory Booker will face former Bogota Mayor Steve Lonegan in a special election for U.S. Senator in New Jersey on Wednesday, October 16.
The Treasury Department has renewed through July 29, 2015, the charter for the Federal Insurance Office’s (FIO) Federal Advisory Committee on Insurance (FACI), AM Best reports.
STATES
California
The state’s Department of Forestry and Fire Protection declared Riverside County’s Silver fire fully contained on Monday, August 12, according to this Los Angeles Times story. The blaze swept through more than 20,000 acres, destroying 48 buildings, including 26 homes.
The South Korean airline whose plane crash-landed at San Francisco International Airport, an event which led to three passenger deaths on Saturday, July 6, is offering $10,000 to each surviving passenger to cover their “immediate and urgent needs,” according to this Monday, August 12, San Jose Mercury News article.
The Workers’ Compensation Insurance Rating Bureau (WCIRB) submitted to the California Department of Insurance on Friday, August 9, a filing on what workers comp premiums should be in 2014.
The California Workers’ Compensation Institute released a report on Wednesday, August 7, on Obesity as a Medical Disease: Potential Implications for Workers’ Compensation.
Connecticut
The East Haven homes damaged when a plane crashed into them on Friday, August 9, will likely be demolished, WTNH reported on Monday, August 12. The accident killed four people.
Florida
A three-story building at Summer Bay Resort in Clermont fell into the ground because of a sinkhole on Monday, August 12, NBC News reported. The I.I.I.’s Lynne McChristian provided information to NBC and three other media outlets on insurance and sinkholes, and the I.I.I.’s Elianne Gonzalez did the same for Univision Radio Miami and Mega TV.
Insurance Commissioner Kevin McCarty wrote that not every property insurer has seen its reinsurance costs drop, and that’s why premium rates are not decreasing for many Floridians. McCarty’s letter to CFO Jeff Atwater came after the CFO asked him why rates were not going down this year, this Monday, August 12, Associated Press story reports.
State Farm has filed a lawsuit against Ask Gary, a firm known for marketing itself as a provider of post-crash medical care, this Monday, July 29, Tampa Bay Times article reports.
Georgia
David Colmans, executive director of the Georgia Insurance Information Service (GIIS), is retiring later this month after 16 years in that position. The GIIS is searching for a successor.
Idaho
Pine and Featherville, towns about 70 miles east of Boise, are at risk from a wildfire that has charred almost 100,000 acres, this Wednesday, August 14, NBC News story states.
Louisiana
FEMA’s David Miller was told by elected officials that a one-year delay is needed before the National Flood Insurance Program (NFIP) implements its scheduled rate hikes, the Times-Picayune reported. Miller, who discussed the issues facing the NFIP at the I.I.I.’s January 2013 communications committee meeting, visited southeastern Louisiana on Thursday, August 8.
Minnesota
About 70 insurers have until Saturday, August 31, to respond to a questionnaire on how they’re preparing for climate change, this Wednesday, August 14, Star Tribune article reports.
Mississippi
The wind pool, the wind insurer of last resort for the state’s six southernmost counties, is raising its rates 3 percent on residential properties and 5 percent for commercial policyholders, effective Sunday, December 1, on both new policies and renewals, according to this Wednesday, August 7, story in The Biloxi Sun Herald.
New Jersey
The National Weather Service said an EF-O tornado touched down on Tuesday, August 13, in Stafford Township (Ocean County), the Associated Press reported. The storm that hit Stafford was one of a line of powerful storms with damaging winds that struck southern and central New Jersey.
Only 488 policyholders impacted by Sandy have chosen to participate since May 2013 in the state’s mediation program, according to this Sunday, August 11, Star-Ledger article.
New York
Century Coverage Corporation of Valley Stream, Long Island, the insurance broker for a Manhattan not-for-profit organization, was allegedly overpaid, with the not-for-profit directing that the extra monies be used by Century Coverage to contribute to the not-for-profit’s favored political candidates, according to this Monday, August 12, New York Times article.
Attorney General Eric Schneiderman announced on Tuesday, August 13, the arrest of a “scammer who obtained more than $87,000 in benefits by falsely claiming to have been the victim of Superstorm Sandy.” The investigation was conducted by the AG’s auto insurance fraud unit, and the release alleges a private insurance company was defrauded by this defendant.
New York City Mayor Michael Bloomberg signed into law on Monday, August 12, a number of post-Sandy bills aimed at improving the city’s response to severe weather events.
Oklahoma
The state Legislature will convene a special session on Tuesday, September 3, to revise a 2009 lawsuit reform law which was ruled unconstitutional in June 2013 by Oklahoma’s Supreme Court, according to this Tuesday, August 13, story in The Oklahoman.
Oregon
Governor John Kitzhaber released a public service announcement (PSA) on Thursday, August 8, reminding Oregonians and visitors to practice basic fire safety when visiting scenic areas.
Texas
Effective Tuesday, October 1, rates will increase 5.6 percent for private-passenger vehicle policyholders covered under the Texas Automobile Insurance Plan Association (TAIPA), the state’s assigned risk pool, according to this Friday, August 9, TAIPA bulletin.
Utah
A wildfire that started in Summit County on Tuesday, August 13, has destroyed at least 12 homes and several cars. About 250 residences remain at risk, The Salt Lake Tribune reports.
SOCIAL MEDIA REPORT
A video interview with the I.I.I.’s Hartwig on The Street about how we can expect more storms like Sandy in the future is being shared on Twitter and YouTube. The interview focuses on lessons learned from Sandy and how home and business owners can prepare for future hurricanes. This story is one of many in social media this week that emphasizes the importance of having the right type and amount of insurance—including flood insurance.
Another trending topic is pay-as-you drive auto insurance, which was featured in the I.I.I. website’s spotlight last week. Also known as usage-based insurance, this is something consumers want to know more about as they look for ways to save money on their policies.
Justin Shaddix is leaving the I.I.I. to join Lousch Creations, a design agency, as its digital and content strategist. His final social media report will be given on Wednesday, August 21.
MEDIA MATTERS
AOL’s Patch, a nationwide chain of hyper-local news websites, will close or sell hundreds of its sites, according to this Friday, August 9, online article at Forbes.
The New York Times’ website was down for about two hours on Wednesday, August 14.
The I.I.I. is cited regularly in the media as an authoritative source of insurance information. To access the current I.I.I. press clips, click here
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