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, October 14, please email Michael Barry at michaelb@iii.org.
New York Times insurance reporter focusing on AIG’s future, national issues:
Reporter Mary Williams Walsh (email: maryw@nytimes.com) told the I.I.I.’s Bob Hartwig and Jeanne Salvatore, in a face-to-face meeting on Friday, October, 2, that she is most interested in writing about AIG, which has reorganized its P/C businesses under the Chartis brand, and national insurance issues, such as the one she wrote last week on the General Accounting Office’s report on the National Flood Insurance Program. Her editor, they said, appears to insist that all insurance articles be seen these days through the prism of the health care debate.
J.D. Power and Associates finds ‘overall customer satisfaction’ with homeowner’s insurance companies is at a five-year high:
“Overall satisfaction with homeowners insurance companies averaged 773 on a 1,000-point scale in 2009, increasing by 21 points from 2008. The overall increase is primarily attributable to substantial improvements in the price, policy offerings and billing and payment factors,” J.D. Power and Associates’ Monday, October 5, press release explains. Their findings were based on responses from more than 12,900 homeowner’s insurance policyholders and examined 27 insurers. Research for the study was conducted between April and June 2009. The I.I.I.’s Claire Wilkinson covered the issue on Monday, October, 5, in her blog.
Credit history may play bigger role than driving record when pricing auto insurance policies, Wall Street Journal article says:
Texas-based WSJ reporter Karen Blumenthal offered in this Family Money column (subscription required) a detailed look at the role a policyholder’s credit plays in the U.S. auto insurance market. The Wednesday, October 7, article was prominently placed on the front page of the paper’s Personal Journal section. The I.I.I.’s Salvatore and Loretta Worters briefed Blumenthal on all of the factors that go into pricing an auto insurance policy last week as well as discussing the choices consumers have when shopping for a policy.
ABC’s Good Morning, America (GMA) offers comprehensive look at insurance fraud and staged auto accidents:
The National Insurance Crime Bureau (NICB) and USAA provided much of the source material for this Wednesday, October 7, ABC segment on the methods employed by criminals involved in staged accidents. The video can be retrieved by typing ‘staged accidents’ into the search engine atop GMA’s Web site.
I.I.I. offers assessment of U.S. insurance issues raised by recent earthquakes, tsunami:
The Tuesday, September 29, tsunami in Samoa and American Samoa, which was followed the next day by a 7.6 magnitude earthquake in Indonesia, served as the news pegs for this Wednesday, October 7, I.I.I. release.
Miami Herald, New York Times offer in-depth looks at the plight of homeowners with Chinese drywall problems:
Both stories appeared on Thursday, October 8. The Herald story highlighted a Punta Gorda, FL couple who were non-renewed by Citizen’s Property Insurance Corporation after Citizen’s learned that their home may contain defective Chinese drywall. The I.I.I.’s Florida representative, Lynne McChristian, worked with Herald reporter Bea Garcia on the story. The New York Times reported that U.S. Senator Bill Nelson (D-Florida) is urging President Obama to discuss the drywall issue directly with the Chinese government during the president’s visit next month to China.
Trade groups offer congressional testimony on Federal Insurance Office Act of 2009:
In advance of the Tuesday, October 6, hearing, Representative Paul Kanjorski (D-Pennsylvania) introduced the Federal Insurance Office Act of 2009 (H.R. 2609), which slightly modified the Obama administration’s Office of National Insurance (ONI) proposal. More on the U.S. House of Representatives’ Financial Services Committee hearing is here. The I.I.I.’s Wilkinson offered a preview of the proceedings on Friday, October 2.
U.S. House subcommittee examining possible rescission of anti-trust exemption for health and medical malpractice insurers:
The Health Insurance Industry Antitrust Enforcement Act (H.R. 3596), legislation aimed at ending the broad federal antitrust exemption applicable to health and medical malpractice insurers, was the subject of a Thursday, October 8, congressional subcommittee hearing.
Texas state official tells Houston Chronicle larger homeowner’s insurers ‘don’t need’ to purchase reinsurance:
Deeia Beck, public counsel for the Texas Office of Insurance Counsel, says that the state’s three largest homeowner’s insurers by market share—Allstate, Farmers, and State Farm—could reduce their homeowner’s insurance premiums anywhere from 8 to 14 percent if they did not purchase reinsurance, according to this Sunday, October 4, Houston Chronicle story. The Southwestern Insurance Information Service’s letter to the Chronicle’s editor, in response to Purva Patel’s article, is attached.
Floridians could see homeowner’s insurance premium hikes of 8 to 15 percent, Sun-Sentinel reports:
Seven major Florida property insurers have submitted rate increase requests ranging from 8 to 15 percent, according to this Thursday, October 1, article in the South Florida Sun-Sentinel. Most said they are seeking the rate hikes to pay for higher reinsurance costs because reinsurance prices are increasing and it is less available from the Florida Hurricane Catastrophe Fund (FHCF), the state-created reinsurer. The FHCF is scheduled to shrink over the next several years under a new state law.
Mississippi attorneys expect thousands of lawsuits over allegedly defective Chinese drywall:
To date, only 19 of the 1,311 defective Chinese drywall complaints filed with the U.S. Consumer Product Safety Commission (CPSC) originated in Mississippi. But that number is about to increase, according to this Sunday, October 4, article in the Biloxi Sun Herald. Residents of Florida, Louisiana and Virginia have filed the most drywall complaints with the CPSC, according to the story.
Louisiana economist says memories of Hurricane Katrina keep businesses from moving to New Orleans:
The Times-Picayune had a story on the front page of its Money Section on Wednesday, October 7, about how Loren Scott, professor emeritus of economics at Louisiana State University, said that businesses are nervous about moving to New Orleans because the levees remain untested and memories of the city being emptied by hurricane evacuations in 2005 are fresh.
Michigan credit-based insurance scoring case comes before state’s highest court:
The Michigan News and Insurance Journal are covering the proceedings closely. Opening arguments were heard on Wednesday, October 7.
Milwaukee Journal Sentinel requests op-ed pieces on pros/cons of employing a policyholder’s ZIP code as an auto insurance rating criterion:
The president of the Wisconsin Insurance Alliance is writing the one which favors keeping ZIP codes while it is unclear who has been asked to write the opposing view.
Fox Business Network (FBN) fills early morning weekdays with radio program’s simulcast:
Don Imus’ show began airing live on FBN starting on Monday, October, 5, between 6 and 9 a.m., ET.
CNBC to air more business-oriented documentaries in the evening prime-time hours:
The New York Times offered details on CNBC’s strategy in this Monday, October 5, article.
Dow Jones launches new personal Web page for its Factiva subscribers:
Designed especially for public relations and corporate communications professionals, it’s a complimentary service that includes useful ideas for staying ahead of changes in the profession, and getting the most out of Dow Jones products.
National Underwriter covers former AIG CEO’s New York City presentation:
Maurice ‘Hank’ Greenberg, AIG’s former CEO, discussed the current Congressional debate about the future of insurance regulation during a speech on Wednesday, October 7, at St. John’s University School of Risk Management. NU’s Sam Friedman filed this report (subscription required) on the event, which was moderated by the I.I.I.’s Hartwig.
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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