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, September 25, please email me at michaelb@iii.org.
COLORADO FLOODING AND NEW JERSEY SHORE BOARDWALK FIRE GENERATE NATIONAL HEADLINES
(See STATES section.)
NATIONAL CONSUMERS LEAGUE (NCL) EXPECTED TO SAY TRAVEL INSURERS, AIRLINES ARE TOO CLOSE
I.I.I. member companies who sell travel insurance have indicated an NCL white paper to this effect will be released soon. The U.S. Travel Insurance Association will draft the initial message points in response to the NCL’s study and share that information with the I.I.I.
USA TODAY REPORTS LIGHTER CARS ARE ADDING WEIGHT TO CAR REPAIR COSTS
The cost of repairing cars made of aluminum, carbon fiber and high-strength steel is increasing, even as these materials have boosted gas-mileage, according to this Monday, September 16, USA Today print edition article. It appeared on the front page of the paper’s Money section.
CONSUMER PRICE INDEX (CPI) FOR AUTO INSURANCE INCREASED 4.2 PERCENT BETWEEN AUGUST 2012-AUGUST 2013
The CPI data was included in the U.S. Bureau of Labor Statistics’ monthly economic report, which was released on Tuesday, September 17 (see page 15 of 38-page report).
CNBC’S RISE OF THE MACHINES TO FEATURE SEGMENT ON DRIVERLESS CARS AS PART OF ITS PREMIERE EPISODE
CNBC reporter Melissa Lee was given a ride in a driverless vehicle as part of Rise of the Machines’ inaugural program on Wednesday, September 18.
CONSUMER REPORTS READYING ARTICLE ON RENTAL CAR COVERAGE; I.I.I. MARKS GREAT NEW ENGLAND HURRICANE’S 75TH ANNIVERSARY
Consumer Reports’ Tod Marks, a senior project editor, interviewed the I.I.I.’s Jeanne Salvatore for a story on what personal auto policies cover/exclude when it comes to rental cars….the I.I.I.’s Mike Barry wrote this news release in advance of the 75th anniversary of The Great New England Hurricane on Saturday, September 21.
CAPITOL HILL
FEMA Administrator Craig Fugate offered testimony on the Biggert-Waters Flood Insurance Reform Act of 2012 at a U.S. Senate Banking subcommittee hearing on Wednesday, September 18. Earlier that same day, HUD Secretary Shaun Donovan addressed a different Senate subcommittee on Recovering from Superstorm Sandy.
The U.S. House’s Financial Services committee conducted a Thursday, September 19, hearing on the future of Terrorism Risk Insurance Act (TRIA).
STATES
Alabama
Two Troy University economists who studied the aftermath of May 2011’s Joplin, Missouri, tornado gave the private-sector high marks for its response. Their findings were published in the Fall 2013 edition of The Independent Review, according to a story posted on Monday, September 16, on the Birmingham News website.
California
Governor Jerry Brown should sign into law Assembly Bill 60, enabling illegal immigrants to get drivers licenses, this Tuesday, September 17, Sacramento Bee editorial states.
The Los Angeles Times reports AB 60 arrived on the governor’s desk last Thursday and could impact one million drivers in the state, according to this Friday, September 13, article. Their editorial board called the bill “common-sense legislation” on Sunday, September 15.
Los Angeles’ ABC affiliate broadcast on Monday, September 16, this segment on Department of Insurance and law enforcement efforts to crack down on staged accidents.
The San Jose Mercury News posted a graphic this week, showing the location and acreage burned of the state’s largest 20 wildfires of 2013.
Colorado
The Rocky Mountain Insurance Information Association (RMIAA) has been handling dozens of media calls about this month’s severe flooding, and President Obama declared a major disaster existed in four counties—Adams, Boulder, Larimer and Weld—on Saturday, September 14.
Eqecat is putting the economic damages from the Colorado floods at more than $2 billion.
Governor John Hickenlooper offered details on the state governmental resources available to flood victims in this Tuesday, September 17, news release.
FEMA and the Small Business Administration (SBA) may also offer financial support to survivors, Denver’s NBC affiliate reported, in this Tuesday, September 17, segment.
Few flood victims have flood insurance coverage, an issue discussed in this five-minute Colorado Public Radio interview with United Policyholders’ Amy Bach on Monday, September 16.
This Friday, September 13, Denver Post article says small businesses may have trouble recovering any time soon if they were impacted by this months’ floodwaters.
Florida
Oral arguments in McCarty vs. Myers, the lawsuit challenging House Bill 119, Florida’s no-fault auto insurance reform law, were heard on Tuesday, September 17, before the First District Court of Appeals in Tallahassee. Property Casualty Insurers Association of America issued this same-day news release, and National Underwriter covered the proceedings.
Barry Gilway, the CEO of Citizens Property Insurance Corporation, said at a public forum on Friday, September 13, that another 50,000 to 100,000 Citizens policies could by year-end migrate to private carriers, according to this same-day South Florida Sun-Sentinel article.
Jennifer Montero is now Citizens’ Chief Financial Officer and John Rollins has been named Citizens’ Chief Risk Officer, according to this Friday, September 13, news release.
Rep. Bryan Nelson (R-Apopka) and Rep. William Hager (R-Boca Raton) have little incentive to reduce property insurance premiums because both lawmakers are in the insurance business, according to this Sunday, September 15, Palm Beach Post (subscription required) print edition editorial by Randy Schultz.
Louisiana
Louisiana’s Citizens Property Insurance Corporation will lower its commercial insurance rates an average of 4 percent starting in February 2014, pending state approval, according to this Sunday, September 15, story in The Baton Rouge Advocate.
Michigan
Secretary of State Ruth Johnson, concerned about the prevalence of faked and forged auto insurance policies, announced at a Monday, September 16, press conference the launch of the Fighting Auto Insurance Rip-Offs (FAIR) initiative, which “will include the Michigan state police, prosecutors, state officials and insurance industry leaders.”
Mississippi
Insurance Commissioner Mike Chaney’s proposed lawsuit against FEMA, aimed at blocking implementation of Biggert-Waters, would be filed in Gulf Coast state’s federal court, with an injunction sought on the grounds of “illegal taking,” National Underwriter reported.
New Jersey
The I.I.I. issued a same-day media advisory when a major fire broke out on Thursday, September 12, along the boardwalk in Seaside Park.
The blaze, which destroyed or damaged 50 to 60 businesses, had its origins in an electrical wiring problem, investigators believe, The New York Times reported.
Superstorm Sandy’s aftermath may have played a role in causing the fire, as well, this Tuesday, September 17, Philadelphia ABC affiliate segment explained.
The Insurance Council of New Jersey (ICNJ) is preparing a resource guide for lawmakers, summarizing the industry’s response to Sandy as the storm’s first anniversary nears (October 29).
Ohio
The severe thunderstorms of Wednesday, July 10, caused up to $85 million in insured losses, according to stories posted this week at The Dayton Daily News and The Columbus Dispatch.
Wisconsin
The Archdiocese of Milwaukee and its insurers may be poised for a settlement. This Friday, September 13, Milwaukee Journal Sentinel article offers additional details.
MEDIA MATTERS
USA Today is doubling to $2 from $1 its per-copy newsstand price effective Monday, September 30, and the Gannett-owned paper is bracing for a substantial circulation drop.
Nancy Gibbs was appointed managing editor of Time magazine on Tuesday, September 17.
Starting on Monday, October 7, Fox News Channel’s (FNC) weekday primetime line-up will feature On The Record with Greta Van Susteren at 7 p.m., ET, The O’Reilly Factor at 8 p.m., ET, The [Megyn] Kelly File at 9 p.m., ET, and Hannity at 10 p.m., ET. FNC Chief News Anchor and Managing Editor Shepard Smith will be available throughout the evening to insert the latest breaking news via the FOX News Deck.
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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