New legislation in Florida may mandate the state’s insurers to present the books of affiliated management companies for audits. This legislation would close a loophole left over from the last time the state’s insurance laws were amended, a loophole that kept this information private. Insurers also exploited the loophole to spend the money collected through premiums on ventures that they owned. Such spending was not regulated in any way by the state. The legislation is an amendment added to a much larger insurance bill, sponsored by Senator Garrett Richter of…
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Commercial and business insurance news is important for agents and company owners to keep on.
Allianz reports catastrophe losses on the rise but not the root of industry woes
Risk assessment experts at Allianz, one of the largest insurers in the world, have spoken out about the rising costs insurers are experiencing from natural catastrophe, outlining their findings in risk briefing – Allianz Risk Pulse: Focus Natural Catastrophes. With occurrences of severe weather, earthquakes and flooding, many insurance companies are seeing losses due to natural disasters and, according to Allianz, the number of companies experiencing these losses is on the rise. However, the increase may not be due to natural disasters at all. Allianz finds that the growing trend…
Read MoreSo how did the insurance market do in 2010?
The property and casualty sector fared well for 2010; according to a report that was recently released. The financial report for the P/C industry gives the details for the sectors’ rate of return, underwriting, investment results, operating income, policyholder’ surplus and wrapping up with fourth quarter results. The policyholder’s surplus was up to 6.5 percent giving them a 0.6 percent increase from the previous year. This resulted from negative return rates for insurers in mortgage and financial securities, as well as low returns for other insurers. Although insurers net income…
Read MoreAlabama tax deductions for small business insurance prolonged
Alabama governor Robert Bentley recently signed into law a bill that would extend the state’s existence income tax deductions for small businesses offering health insurance benefits. The new law will apply to the current tax year and state officials hope that it will drive down the unemployment rate. Small businesses all over the country have had to make cuts to the benefits they offer employees. Currently, the state’s unemployment rate is at 9.2%. Lawmakers believe that if they can encourage employers to hire more, many of the financial problems the…
Read MoreToday’s Insurance Industry News
The American Association of Insurance Services (AAIS) held a conference this month with insurers in the property and casualty sector. The VP of federal affairs for the Property Casualty Insurers Association of America (PCI) spoke to the group about topics current and pending, in Congress, that may affect the industry. Lobbyists see no immediate issues that will have a direct effect on PCI members or the industry. However, there are a few things to keep a watch on concerning health care, the antitrust act and the National Flood Insurance Program.…
Read MoreHow will new health reform laws affect workers comp sector
Members of the Casualty Actuarial Society recently attended a conference concerning the effect the new health reform bill could have on the casualty and property industry. Several concerns over possible effects on the worker compensation system were put to rest, and possible results on lowering medical malpractice suits were discussed. Because worker compensation medical claims are a part of the overall rise in healthcare, many have been concerned about possible changes under the new reform bill. After the statistics were broken down though, there didn’t seem to be much to…
Read MoreDebate over illegal workers covered for “while at work” injuries
Illegal immigrants have once again moved to the forefront of public debate. Now, the various law makers, and state governing boards, are trying to come to a “middle of the road” agreement. What prompted all of this? It seems that a few states have taken a stand against compensating illegal immigrants who are injured at their job. Which prompts another question; how did these illegal immigrants get jobs? The best-guess numbers say that five percent of the U.S. workforce is (illegal) immigrants. The estimate is there are around eight million…
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