I.I.I. distributes news release on coverage issues in advance of major winter storm in Northeast:
This Thursday, March 11, I.I.I. news release focused on flood insurance as reporters began writing about the major storm that eventually brought heavy rainfall and hurricane-strength winds to the Atlantic seaboard on the weekend of Saturday, March 13, and Sunday, March 14.February’s record snowfalls could lead to major flood events in spring 2010, Wall Street Journal reports:
Cities and states in the Midwest, Northeast and Mid-Atlantic parts of the U.S. that received record snowfalls in February, are preparing for flooding as spring approaches, according to a Tuesday, March 9, Wall Street Journal article (subscription required). Authorities in these areas are stockpiling sandbags, monitoring reservoir levels and compiling lists of elderly residents. The Army Corps of Engineers, the National Weather Service, utilities and local emergency services agencies are meeting in Pittsburgh and other cities to discuss flood risks. The risk in some areas is higher than at any time in the previous decade and comes at a time when cities are facing budget problems from the economic downturn, the WSJ reports.
NOAA sees flood risk for third of U.S. as warmer temperatures arrive:
This MSNBC story from Tuesday, March 16, offers details on how the National Oceanic and Atmospheric Administration (NOAA) arrived at this conclusion. The highest threat is in the Dakotas, Minnesota and Iowa, NOAA believes.
Toyota recall stays in national spotlight with California sudden acceleration case involving Prius:
USA Todayhad this Tuesday, March 16, update on how the National Highway Transportation Safety Administration (NHTSA) is responding to the spike in complaints about Toyota vehicles and instances of sudden acceleration.LifeLock settles charges with Federal Trade Commission regarding false advertising claims:
The FTC’s Tuesday, March 9, news release on Life Lock’s identity theft product claims is here.Pennsylvania, Wisconsin insurance commissioners respond to Wall Street Journal op-ed piece on NAIC’s climate change moves:
In a Tuesday, March 9, letter to the Wall Street Journal’s editor, the Pennsylvania Insurance Commissioner, Wisconsin Insurance Commissioner and the president of the Reinsurance Association of America (RAA) took issue with WSJ editorial writer Kimberly Strassel’s Friday, March 5, column. Their letter said that Strassel incorrectly characterized industry groups as responding with surprise and horror at the insurance regulators’ mandate to conduct a climate change survey, when the American Insurance Association and the RAA supported the decision of the National Association of Insurance Commissioners (NAIC) in March 2009 to conduct the climate change survey.March, April and May are peak tornado season; Missouri academic analyzes his state’s vulnerability to tornadoes:
The I.I.I.’s Tuesday, March 16, news release offered a look at the eight states that comprise ‘tornado alley,’ and the importance of securing the proper level of coverage to protect life and property against this natural disaster, no matter where you live. In her Wednesday, March 10, blog entry the I.I.I.’s Claire Wilkinson linked to coverage of a tornado-related paper issued by Tony Lupo, who chairs the Department of Atmospheric Science at the University of Missouri. The weather pattern in 2010 resembles the spring of 2003, when as many as 109 tornadoes swept across Missouri, according to Lupo.Chicago Tribune readying piece on ‘what impacts auto insurance premiums’:
The I.I.I. has spoken with Carolyn Bigda, the paper’s Your Money columnist, about this issue.
Consumer Reports prepping extensive look at coastal homeowners insurance market:
Tobie Stanger is exploring the issue of coastal affordability/availability, and how higher deductibles can reduce a homeowner’s insurance premiums.
Wall Street Journal’s ‘Numbers Guy’ examines risk modeling estimates after major natural disasters:
The true economic impact of the cost of rebuilding from the recent Haitian and Chilean earthquakes will take years to calculate, the WSJ’sCarl Bialik writes, in this Weekend Journal column (subscription required). Nevertheless, within days of the catastrophes estimates of losses were released by catastrophe modeling firms. Reinsurance companies say that the numbers, which are highly publicized, often have little in common with the ultimate economic cost. Robert Hartwig, the I.I.I.’s president, said that as unreliable as these early approximations can be, the figures are closely monitored by insurers and reinsurers, and investors in these companies, as they weigh their losses. Early projections are also important for relief efforts as they help raise awareness and spur donations, Bialik notes. But figures that are widely off-base can backfire, influencing how donors commit to longer-term recovery efforts, a spokesman for CARE believes. The article also discusses how loss modeling companies such as Eqecat Inc. and AIR Worldwide, arrive at their estimates.
Spike Lee filming HBO documentary in Mississippi; debut to coincide with Katrina’s fifth anniversary:
The Biloxi Sun Herald reported in a Wednesday, March 3, article that Lee and his crew plan to interview the current Gulfport, Mississippi mayor, as well as his immediate predecessor in that cityThe focus of the August 2010 HBO film appears to be on the governmental response to the nation’s largest natural disaster in August 2005.Los Angeles Times editorial offers support for Homeowner’s Defense Act:
U.S. Representative Loretta Sanchez (D-California) and U.S. Senator Bill Nelson (D-Florida) have introduced legislation that would allow states to borrow funds after a huge catastrophe rather than having to depend on reinsurers for coverage, this Wednesday, March 10, Los Angeles Times editorial explains. Their proposal would provide federal loan guarantees to qualified state insurance programs in the wake of a major disaster, allowing them to borrow funds through a bond issue to cover policyholder losses. The California Earthquake Authority says that the measure, if enacted, would allow the CEA to cut premiums by more than a third, the LA Times editorial board writes.
Florida’s Office of Insurance Regulation (OIR) reaches accord with Southern Oak, a property insurer:
Since the call, the OIR has reached an agreement with Southern Oak that will allow the comapny to keep its license amid regulatory concerns earlier this month about the insurer’s solvency, this Monday, March 15, Associated Press story explains.Bradenton Herald reports on defective Chinese drywall lawsuits heading to trial in Louisiana:
The Herald story appeared on Monday, March 8, and focused on liability and commercial insurance issues, not homeowners coverage.
Atlanta Journal-Constitution finds a dozen companies that fit profile of insolvent workers compensation insurer:
About 12 other companies fit the profile of the Southeastern U.S. Insurance Company, Inc. (SEUS), the AJC found on Friday, March 5, and have a few policyholders who may not qualify for the state’s insolvency pool, if their insurer were to become insolvent.
AJC political reporter says bill would ban insurance commissioner from taking campaign funds from insurance industry:
Georgia House Bill 1166 was introduced by state Representative Austin Scott (R-Tifton), the AJC reported, in this Tuesday, March 9, blog posting.
U.S. Senator asks Consumer Product Safety Commission (CPSC) to assess whether any deaths occurred as a result of defective Chinese drywall:
U.S. Senator David Vitter’s (R-Louisiana) letter to the CPSC was released on Wednesday, March 3.Oklahoma’s efforts to sell state’s largest workers compensation insurer have been halted:
CompSource, which writes about 35 percent of all workers compensation policies in the state, will not be sold in 2010 to raise monies for Oklahoma’s state government, the Daily Oklahoman reported, in a Wednesday, March 10, article.Southwestern Insurance Information Service compiles Fact Sheet to combat ‘misleading rhetoric’ about Texas homeowners insurance market:
The SIIS’s three-page document can be found here.
Three minor quakes strike southern California, about 140 miles north of Los Angeles:
The strongest of the three earthquakes had a 3.7 magnitude, the AP reported on Tuesday, March 9.
Business Week magazine to lay off about 30 this month:
The New York Post media columnist said the move would take place as BW is integrated into the operations of its new parent company, Bloomberg LLP, according to a Wednesday, March 10, article.
Appelbaum to join New York Times after spending past two years covering national business news at Washington Post: Binyamin Appelbaum:
A 31-year-old reporter, will write about business and economics for the NY Times, according to this Tuesday, March 9, Washington City Paper article.
Aparajita Saba-Buhna of Dow Jones to cover insurance until Kuykendall replacement is found:
We’re hearing that the search to find a permanent successor for Lavonne Kuykendall, who left Dow Jones Newswires a few weeks ago, could take months.
