Property and Casualty News
Property and Casualty News RSS Get our newsletter

Battle Over California Fire Insurance Policies Intensifies

Property and Casualty News No comments.

—Massive wildfires are making it harder for some California homeowners to get property insurance, pitting the state's insurance commissioner against the industry in an escalating conflict that will likely stretch into 2022' s statewide elections. Insurance Commissioner Ricardo Lara, a Democrat, has ordered the pool, also known as the FAIR Plan, to sell more…

Read more

The U.S. insurance industry’s top compliance shortcomings relate to claims handling noncompliance, including timeliness, required disclosures, payments and grievance and appeal processes—as well as underwriting, rating and insurance producer and sales issues.

Catherine Keeling, owner of a Santa Paula avocado and lemon operation, had her insurance canceled, or not renewed, after the 2017 Thomas Fire. On Tuesday, California Insurance Commissioner Ricardo Lara came to Santa Paula to listen to Keeling and other Ventura County agricultural business owners about their dilemma. Lara said he partnered with the California…

–Mercury Insurance is reporting a dramatic increase in vehicle vandalism and auto theft in California with comprehensive auto insurance claims up 40% since pre-pandemic levels. "Thieves have been waiting for this moment," said Randy Petro, Vice President and Chief Claims Officer at Mercury Insurance. The top five vehicles for Mercury comprehensive claims in…

–The National Insurance Crime Bureau today released its annual Hot Wheels report identifying the top 10 most stolen vehicles in the United States in 2020. "Auto thefts saw a dramatic increase in 2020 versus 2019 in part due to the pandemic, an economic downturn, law enforcement realignment, depleted social and schooling programs, and, in still too many cases, owner…

A joint investigation conducted by the Michigan Department of Insurance and Financial Services (DIFS) and the Ogemaw County Sheriff’s Office has led to insurance fraud and identity theft charges against 14 individuals for allegedly submitting nearly $3 million in false insurance claims.
A Washington state judge struck down a credit scoring regulation Friday.

A Washington state Superior Court judge granted a narrow ruling Friday in favor of the insurance industry’s argument against Insurance Commissioner Mike Kreidler’s emergency rule temporarily banning the insurers’ use of credit scoring.

–USI Insurance Services, a world leader in risk management, employee benefit and retirement consulting, today announced the acquisition of Gretna, Louisiana- based Daul Insurance. Terms of the transaction were not disclosed. Commenting on the new partnership, Daul Insurance President, Jerry Daul, stated:“ For more than 60 years, our team’ s mission at Daul Insurance…

California homeowners face the highest wildfire risk in our country's history. Despite increased government spending, more than 46,000 California residential and commercial buildings have been lost since 2017, and 2.1 million more remain at high risk from wildfire. Now when homeowners need insurance the most, California homeowners are losing access to…

The U.S. Department of Agriculture is launching a new insurance option specifically for agricultural producers with small farms who sell locally. The new Micro Farm policy simplifies record keeping and covers post-production costs like washing and value-added products. USDA's Risk Management Agency created this new policy based on research directed by…

Nationwide, the average flood insurance premium is $700 per year, according to FEMA. FEMA said the new rating system more accurately reflects flood risk and ensures that National Flood Insurance will be around for generations to come. Under the prior ratings, policyholders in lower-value homes were often subsidizing the flood insurance of those in…

Huntington Ingalls Industries is suing some of the world’ s biggest financial firms to recover losses suffered due to COVID-19 at its shipyards, including Newport News Shipbuilding. The company is suing in Vermont because that’ s where its risk management subsidiary is located, and where all 33 of the insurers it is suing do business. Superior Court Judge Robert…

That’ s changing, according to the J.D. Power 2021 U.S. The study, now in its fourth year, was developed in alliance with the Independent Insurance Agents& Brokers of America. “During the past year, some of the industry’ s most notable acquisitions and operating model investments have thrust the independent agent channel back to the forefront, resulting in improved…

–A new data report from InsureMyTrip suggests that travelers are waiting too long to purchase travel insurance. The latest buying data reveals travelers with trips for 2021 Thanksgiving Week will wait about two and a half months, on average, to buy coverage after booking a trip. This delay in purchasing travel insurance may prevent travelers from qualifying…

After the severe storms this summer, Farmers Insurance agent Jason Logue has gotten lots of calls at his Bensalem office from people wanting to buy flood insurance. That may change, as the Federal Emergency Management Agency is introducing a new program Friday called "Risk Rating 2.0 Equity in Action" to the National Flood Insurance Program.

But more than 1 million- at least- of 1.729 million Florida properties covered under the National Flood Insurance Program are going to see additional significant boosts beginning next year in flood insurance rates under the Federal Emergency Management Agency's Risk Rating 2.0 program that went into effect Friday. The NFIP was created in 1968 by Congress to…

CHARLESTON, S.C.- Many people are still shaken after three earthquakes rattled the Lowcountry on Monday. This has sparked many phone calls to insurance agencies with questions about earthquake insurance flowing in. said Adam Cantrell, a Downtown Charleston State Farm Insurance Agent.

In its latest research, PTOLEMUS Consulting Group has found that connected car insurance is increasingly replacing traditional car insurance, driven by the COVID pandemic but also OEMs’ own initiatives. Dr Andrew Jackson, Research Director, said:“ When car usage collapsed during the COVID-19 lockdowns, policyholders demanded prices based on actual mileage.

Edmonds, Washington business owner pleads guilty to wire fraud in connection with her arson for insurance scheme. Seattle- An Edmonds, Washington, business owner pleaded guilty today to wire fraud related to the April 30, 2018, fire at her business, CJN Miniatures& More, a dollhouse, miniatures, collectibles, and antiques shop, announced Acting U.S. Attorney Tessa M….

Pets need shelter, food, water, and routine medical care at the very least, and some extra TLC can always do a pet good as well. According to a Harris Poll conducted in the spring of 2020 on behalf of TD Ameritrade, dog owners spent nearly twice as much on their pets as cat owners- $1,201 verus $687 in a single year. The TD Ameritrade survey found Millennials or GenXers…

The rates– set to start going into effect Oct. 1 for new policies– have prompted members of Louisiana's congressional delegation to ask FEMA for a delay, arguing the crushing premium hikes are unfair and could destabilize the program by prompting many people to cancel their policies. Ross Shales, of Expert Insurance Services in Metairie, said he compared old…

MYRTLE BEACH, S.C. Upcoming changes to the Federal Emergency Management Agency's National Flood Insurance Program's rating structure will be a "monumental step" to fix existing inequities within the program, according to the program's senior executive. The updates are expected to make 1.2 million policyholders eligible for a decrease in payments, and 90%…

According to a recent AAA Travel survey, one-third of U.S. travelers say they are more likely to purchase travel insurance for their trips planned between now and the end of 2022, specifically due to the pandemic. "Travel insurance is relatively inexpensive for the large amount of peace-of-mind it affords, and that's more valuable than ever in light of the…

U.S. Senator Roger Wicker, R- Miss., and Cindy Hyde-Smith, R- Miss., on Wednesday encouraged the Federal Emergency Management Agency to delay a new flood insurance rating system that will raise premiums on a majority of policyholders. "This unwillingness to alter the current proposal and the potential for having a significant increase in uninsured homeowners…

Henrico County- based Fortune 500 insurer Genworth Financial Inc. completed the once-delayed initial public offering of its mortgage insurance subsidiary, Raleigh, North Carolina- based Enact Holdings Inc., it announced Monday. Between the IPO and a private sale of shares, Genworth received aggregate net proceeds of about $535 million after underwriters'…

Consumer appetite in the U.S. for digital access and functionality from their insurance providers presents an opportunity for insurers to improve customer engagement and drive better outcomes. Capco, a global technology and digital consultancy, surveyed just over 2,000 U.S. consumers to gauge their impressions of insurance products and providers to…

Martha Jeffries Inman, 68, lied to her insurance company when she said“ her car and truck had been struck multiple times by deer and other animals,” the North Carolina Department of Insurance said Thursday in a news release. Inman received ,635 from Allstate Property and Casualty Insurance Co. as a result, investigators said. Inman and Roberson live together…
California wildfires are damaging the Napa Valley wine producers.

As if California needed another crisis, the state’s seemingly perpetual wildfires are forcing millions of homeowners in fire-prone areas to pay skyrocketing premiums for insurance coverage- if, indeed, they can buy it at all.

A Council Bluffs man, Andrew J. Fischer, age 55, was sentenced on September 10, 2021, by United States District Court Judge Stephanie M. Rose to five months in prison for False Statements in Connection with Federal Crop Insurance. According to court documents, Fischer pleaded guilty to False Statements in Connection with Federal Crop Insurance in May of 2021..

The Acting U.S. Attorney for the Eastern District of Kentucky, Carlton S. Shier IV, issued the following news release:. Michael McNew, former resident of Mt. Sterling, was sentenced to 86 months in federal prison today by U.S. District Court Judge Karen C. Caldwell for conspiracy to commit wire fraud, in furtherance of a crop insurance fraud scheme.

While all this flooding may have you thinking about flood insurance, Congress is thinking about it for other reasons. While Congress is expected to extend the program, the bigger impact on your life may be the changes FEMA wants to make to flood insurance policies, changes that will likely impact rates. FEMA estimates around 73% of current policyholders will pay…

The Acting U.S. Attorney for the Southern District of Iowa, Richard D. Westphal, issued the following news release on Sept. 15, 2021:. A Council Bluffs man, Andrew J. Fischer, age 55, was sentenced on September 10, 2021, by United States District Court Judge Stephanie M. Rose to five months in prison for False Statements in Connection with Federal Crop Insurance.
Thousands of Florida property owners might be scrambling for coverage.

The Federal Emergency Management Agency released maps that enlarge flood zones, especially in southern Broward County, using new data on hurricanes, sea level, land elevation and storm damage.

Sep. 8— Louisiana residents who fled their homes because of Hurricane Ida should expect their homeowner's insurance company to pay for evacuation expenses, even in parishes without mandatory evacuation orders, the state Department of Insurance ruled Wednesday. Insurance Commissioner Jim Donelon is directing insurance providers to pay for hotel rooms and…

The bull's eye is on us. According to the National Oceanic and Atmospheric Administration, September is the most common month for hurricanes to make landfall. “Fortunately, hurricanes are not surprise weather events,” says Daniel Marshall, vice president of marketing and business development with Scepter ®.
A group of Chicago restaurant owners say they have a strong case for business interruption insurance coverage.

A new lawsuit was filed Tuesday by a group of prominent Chicago restaurant owners. The group is suing insurers in state court, claiming that government pandemic restrictions caused the physical damage required to trigger coverage under their policies.

“And then I dove into the water and I tried to find him, but I couldn't find him,” Laura Caroluzzi said Friday, sobbing outside her Bridgeport home. In the Philadelphia area, five— including Caroluzzi's husband, Jack— were counted as storm-related deaths as of Friday, though that number could rise. Donald Bauer was on his way home to Perkiomenville, Montgomery County,…

BISMARCK- Near the end of August, Bailie Graner, a 29- year-old cattle rancher south of Mandan, North Dakota, sent a Snapchat to her parents, also central North Dakota ranchers- on a property a little more than an hour and a half's drive east in Kidder County. Her photo showed a green tractor tailed by a taller forage wagon in a wide open field. Bailie's parents, Robin and…

In Connecticut, about 32,400 flood policies were in effect as of July under the National Flood Insurance Program, with coverage underwritten by the Federal Emergency Management Agency and sold through some 60 insurance carriers. Last year, the nonprofit First Street Foundation estimated that more than triple that number of Connecticut properties were at…

Less than a week after Hurricane Ida battered the Gulf Coast, President Joe Biden walked the streets of a hardhit Louisiana neighborhood and told local residents,“ I know you're hurting, I know you're hurting.”. More formally, Biden met with state and local officials in LaPlace, a community between the Mississippi River and Lake Pontchartrain that suffered major…
Shutdowns costs Paramount weeks of filming of "Mission Impossible 7."

“Mission Impossible 7” has shut down seven times and Paramount filed a lawsuit Monday, claiming that its insurer did not fully pay up for its losses incurred when the cameras were silenced.

The Biden administration has pledged an all-of-government response to Ida, led by the Federal Emergency Management Agency and coordinated by White House senior adviser Cedric Richmond, a former Louisiana congressman and close ally of President Joe Biden. The people of Louisiana and Mississippi are resilient, Biden added, “but it’ s in moments like these where…

A proposal to protect coastal Miami-Dade from hurricanes by running a tall concrete wall though Biscayne Bay and waterfront neighborhoods is— unsurprisingly— dead. The county on Monday formally rejected the plan, part of an instantly controversial $4.6 billion proposal from the Army Corps of Engineers that also included elevating thousands of private…

Miami, FL—- 08/30/2021– Understanding Florida law and working with a car accident attorney in Florida can help you navigate the strenuous process of filing and processing a claim. Florida law states that fault is assigned within a system known as pure comparative negligence. Riders who are 21 years or older and have a minimum of $10,000 in medical insurance…