To recap the issues raised during this week’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 27, please email Mike Barry at michaelb@iii.org.
I.I.I. DISTRIBUTED PRESS RELEASE THIS WEEK ON EARTHQUAKE INSURANCE
The I.I.I. distributed the release, Potential Cost of Earthquakes Is Growing, but Number of Americans with Coverage Is Declining in Many Parts of the Country on Monday, August 18.
CPI FOR AUTO INSURANCE UP 3.9 PERCENT FOR JULY 2014, COMPARED WITH A YEAR AGO
U.S. Department of Labor released the report on Tuesday, August 19.
WALL STREET JOURNAL LOOKS AT HOW CREDIT HISTORY CAN DRIVE YOUR AUTO PREMIUMS
The story (subscription only), in the weekend section (August 16-17), notes that bad credit can affect how much drivers pay for auto insurance. Even people with excellent driving records can pay more if their credit is poor. WalletHub.com recently released a study of five major car insurers that found extensive variations in rates quoted in scenarios involving two people, identical except for their credit ratings. According to a 2013 study by insuranceQuotes.com, drivers with median credit paid 24 percent more for insurance than those with excellent credit. Bob Hartwig was quoted in the story.
FERGUSON, MISSOURI RIOTS CONTINUE TO GENERATE STORIES
I.I.I. fielded stories from media including CBS Evening News with Scott Pelley, CBS.com, Fox Business Network, Reuters, Insurance Business America and National Underwriter. These stories focused on the insurance costs associated with the riots as well as a business insurance coverage perspective. Civil unrest has lingered since the fatal Aug. 9 police shooting of unarmed teenager Michael Brown.
NATIONAL INSURANCE CRIME BUREAU RELEASES ITS ANNUAL HOT WHEELS REPORT The report, issued, Wednesday, August 20, identifies the 10 most stolen vehicles in the United States. It also examines vehicle theft data submitted by law enforcement to the National Crime Information Center (NCIC) and determines the make, model and model year of the vehicles reported most frequently stolen in 2013.
NHTSA DEEPENS INVESTIGATION OF HONDA ACCORD AIR BAGS, SAYS NEW YORK TIMES
The National Highway Traffic Safety Administration (NHTSA) has stepped up its investigation into the inadvertent deployment of air bags on 2008 Honda Accords, according to this Monday, August 18, New York Times article.
OBAMA ADMINISTRATION TO REQUIRE ANTI-COLLISION TECH ON CARS AND TRUCKS, ASSOCIATED PRESS REPORTS
This Associated Press story, reported in the New York Post on Monday, August 18, said that the Obama administration planned to propose that new cars and trucks be equipped with technology that allows the vehicles to communicate to other motorists warnings about potential road hazards. The National Highway Traffic Safety Administration (NHTSA) has released research estimating the technology could annually prevent up to 1,083 fatalities.
STORIES IN THE WORKS
Dave Lieber, the Watchdog columnist for the Dallas Morning News, is writing a story about Texas Senate Bill 736. The bill makes it illegal to penalize homeowners who ask questions but make no claims – but the bill draft deleted auto insurance for auto owners who ask the question. Jeanne Salvatore spoke with Lieber about the relevance to insurers. Most obviously, the homeowner’s inquiry suggests to the insurer that the insured’s property may have suffered damage, and a claim may follow in the future.
Dartunorro Clark, a Local Government Reporter with the Journal and Courier in Lafayette, Indiana, (765-420-5264; dclark1@jconline.com) is doing a story on climate change and how the insurance industry is looking at this issue. He spoke with Jeanne Salvatore and wanted to know whether the industry is taking climate change into account when writing homeowners policies.
Doreen Geiger (Doreen.Geiger@nbcuni.com), who is with the NBC affiliate in New York City, is doing a story on what to do if your car was flooded due to August 13th’s heavy rain and flooding on Long Island.
Katie Roberts, who is with the NBC affiliate in Washington, DC, also spoke to the I.I.I.’s Salvatore about whether or not there is coverage for flooding as a number of cars were flooded last week while parked at the Baltimore-Washington International airport.
Josh Garskof of Money magazine and Money.com (josh.g@mac.com), is doing a story on the pros and cons of using a public insurance adjuster.
Consumer Reports online is doing a story on the type of car you have and its effect on insurance rates. Kathleen Adams (kadams@consumer.org) also spoke to the I.I.I.’s Salvatore about insurance requirements if you borrow or lease a car.
SOCIAL MEDIA REPORT
Credit and Insurance has been a hot topic in social this past week. InsuranceQuotes.com published a study which showed how low credit scores can impact your homeowners insurance rate negatively. Various magazines, such as the Insurance Journal, have quoted this study and published their own take on this study.
The I.I.I.’s press release on earthquakes and insurance is being shared heavily on social. The release’s text included a link to the updated earthquake maps from the US Geological Survey which showed that while 42 states are at risk of an earthquake, the number of people with earthquake insurance is declining. I.I.I.’s release was retweeted over 10 times and clicked on over 70 times since Monday, August 18.
STATES
Florida
Under fire from Governor Rick Scott, Citizens President Barry Gilway, defended the overseas business trips Citizens’ executives made, it was reported in the Tuesday, August 19 issue of the Tampa Bay Times.
The National Hurricane Center reported a low pressure disturbance in the central Atlantic Ocean. The NHC indicates that this system has a 30 percent chance of becoming a tropical depression or tropical storm within the next 48 hours, but a 50 percent chance of becoming one within the next five days.
Alabama
The Alabama Supreme Court ruled that makers of brand name prescription drugs can be liable for claims by people who say they suffered from using generic versions made by different companies, according to this Friday, August 15, Huntsville Times story.
Georgia
The Georgia Insurance Information Service (GIIS) and the Alabama Insurance Information Service (AIIS), have launched news websites – GIIS.org and AIISNews.org. With more beneficial information, statistics, insurance tips and features, and with more user-friendly navigation and an updated design, the new GIIS and AIIS websites offer substantially-enhanced online resources for the respective state news media in their coverage of the P&C industry, and for consumers needing information essential for maximizing their vehicle and personal property protection.
Louisiana
Police arrested a man Friday, August 15, who is accused of selling fraudulent workers' compensation and employers' liability insurance packages across Louisiana, according to the Office of the Louisiana Attorney General. The news was reported in the Monday, August 18, edition of the Times-Picayune.
Auto thefts in Louisiana dropped 48 percent in a five-year period, according to this Friday, August 15 issue of Insurance Journal.
The Louisiana Department of Insurance (LDI) and the Louisiana Automobile Theft and Insurance Fraud Prevention Authority (LATIFPA) are encouraging teen drivers to “Park Smart.” The initiative was reported in the Monday, August 18 issue of Insurance Journal.
The Baton Rouge Advocate and WWL-TV reported that Louisiana Attorney General Buddy Caldwell alleges insurance companies force unsafe repairs by refusing to pay for certain factory parts. According to a press release from Caldwell’s office, the shops agree to or are somewhat forced by the market to conform to insurance estimates that require them to perform repairs cheaply and quickly, "rather than in accordance with consumer safety and vehicle manufacturer performance standards." Caldwell noted that the owner of the car doesn't want after-market parts because the quality can be questionable, and they can void a person’s warranty. “It’s a problem with virtually every insurance company in the state,” he said.
Texas
The widow of trucking magnate Bill Hall Jr. is charged with his murder — accused of using her Cadillac Escalade to run his Harley-Davidson off the road in her anger over another woman late last year. That allegation notwithstanding, Frances A. Hall is entitled to collect about $310,000 from an insurance policy on her deceased husband's life, a probate judge has ruled and reported in the San Antonio Express News.
MEDIA MATTERS
Josh Tyrangiel has been promoted to lead editor in charge of consumer products at Bloomberg, overseeing all products as top editor across broadcast, print and digital platforms. He will continue to serve as editor for projects and investigations, as well as editor at Bloomberg Businessweek, a role he took on in November 2009.
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
