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Get more with Trustmark Voluntary Benefit Solutions’ Guaranteed Universal Life. Just like whole life, you get guaranteed coverage, but more than that, you get the flexibility of Universal Life with Living benefits for Long Term Care. Click here for details or call 800-840-4692. 1. PXRE sinks 67 pct on hurricanes, downgrades Fri Feb 17, 2006 3:26 PM ET - By Jonathan
Stempel - NEW YORK (Reuters) - PXRE Group Ltd. (PXT.N: ) shares fell as
much as 67 percent on Friday after hurricane losses surged, leading to
several credit agency downgrades that questioned the reinsurer's ability
to manage risk. Ader said, though, that PXRE's survival is not in doubt. "To say PXRE's business is finished, in our opinion, is far too premature," he said. "They are a viable entity at the investment-grade level." (Additional reporting by Daniel Burns and Dane Hamilton) © Reuters 2006. All Rights Reserved. Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 2. Insurers Face Challenges as Injured Veterans Return from War Employers and Insurers Must Comply with Workers Comp Programs, the Second Injury Fund and the Americans with Disabilities Act (ADA), says I.I.I. NEW YORK, February 15, 2006—Employers and their insurers need to be prepared for the tens of thousands of physically injured veterans returning from conflicts in Iraq and Afghanistan, according to the I.I.I. “Workplace injuries that are primarily the result of injuries originally sustained during military service will generally be covered by the employer’s workers compensation program or, in some states, a second injury fund,” says Robert Hartwig, chief economist of the I.I.I. “In addition, employers will need to adhere to the law pursuant to the Americans with Disabilities Act (ADA).” By the time “major operations” are complete in Afghanistan and Iraq, more than two million United States military personnel, including National Guard and Reservists, will have been deployed in those theaters, many more than once. Of these, most have endured significant physical, emotional and psychological hardships. More than 2,200 have died and well over 16,000 have been injured in Iraq alone. Hartwig observed that, relevant from an insurance perspective, and a workers compensation perspective in particular, are the challenges that tens of thousands of injured service men and women and their employers will face when they rejoin the civilian workforce. Reintegration of the physically and psychologically impaired will likely present unexpected challenges to a generation of employers with no experience in dealing with such large numbers of returning veterans. THE INJURED VETERAN Large numbers of military personnel are physically wounded each month in Iraq. From the beginning of Operation Iraqi Freedom in March 2003 through January 31, 2006, a total of 16,598 military personnel had been physically wounded in action, an average of 474 per month. REINTEGRATING THE RETURNING VETERAN The issue of reintegrating veterans back into the social and economic fabric of America is not new. After World War II, despite programs like the “GI Bill” and government assistance with employment, home mortgages and health care, hundreds of thousands of physically injured veterans faced special challenges and even discrimination in the workplace. In response, many states established “second injury funds” (SIFs). SIFs allowed employers (and their insurers) to cede costs of injuries that were principally the result of a worker’s prior injury to a statewide plan that would redistribute those losses across all employers (insurers) in the state, according to Hartwig. Effectively, SIFs functioned as reinsurers of second injury claims. However, Hartwig noted, the number of second injury funds has declined in recent years, with states reasoning that they are no longer needed since the enactment of the Americans with Disability Act in 1990, which not only prohibits discrimination against disabled employees but also requires employers to make reasonable accommodations for them in the workplace. WHAT EMPLOYERS AND THEIR INSURERS NEED TO KNOW In preparing for returning veterans, employers and their insurers need to be aware of the following: Workplace injuries that are primarily the result of injuries originally sustained during military service will generally be covered by the employer’s workers compensation program or, in some states, a second injury fund. In certain states, workers compensation benefits may be apportioned or partially offset by other disability payments received. Veterans are also entitled to lifetime medical benefits from the Veterans Administration for service-related injuries. The VA also operates a Readjustment and Counseling Service (www.va.gov/rcs) to ease the transition of veterans returning to civilian life. Employers must also be alert to signs of possible mental health issues. Monitoring is probably wise for a period of time, especially if the returning worker’s job is stressful, involves the operation of heavy machinery or equipment and/or driving. Few employers or insurance claims staffs, however, are trained to recognize the telltale signs of mental illness. Employers will need to adhere to the law pursuant to the Americans with Disabilities Act (ADA). The ADA prohibits discrimination and ensures equal opportunity for persons with disabilities in employment, state and local government services, public accommodations, commercial facilities and transportation. In other words, discrimination based on physical handicap is not permitted in the hiring or promotion process, and reasonable accommodations must be made to meet the needs of disabled workers. Failure to comply with the terms of the ADA could result in legal action and fines by the Equal Employment Opportunity Commission. Since 1992, the EEOC has awarded $529 million to people found to have been discriminated against in violation of the ADA. Employers could also be subject to tort actions under their Employment Practices Liability coverage or Directors’ and Officers’ policies. For a full report on the subject, go to http://www.iii.org/media/hottopics/additional/veterans/. www.iii.org Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 3. Catastrophic Time Element Risk A Risk Management Seminar and Market Update Willis Webcast / Conference Call on February 23, 2006 New York, NY, February 16, 2006 - As a component of our ongoing Marketplace Realities series, and a reflection of our commitment to provide thought leadership for our clients, James Costner, Willis Senior Property Consultant and Dick Forand, Willis Marketing Practice Leader, will be joined by John Dempsey, Managing Partner of Dempsey, Myers & Company, in a webcast / conference call on Thursday, February 23, 2006 at 11:00 a.m. Eastern Time to examine risk management exposures, issues and program options as they relate to catastrophic time element risk. The webcast will begin with an overview of Property marketplace conditions, with particular emphasis on post-Katrina capacity, underwriting and pricing. The risk management seminar portion of the webcast will explore and address catastrophic time element (TE) risk in its many dimensions. Interested parties may access the webcast and accompanying PowerPoint presentation via www.willis.com/Extras/webcasts.aspx. Those who may wish to ask questions during the Q&A session that follows may listen to the webcast by calling (800) 857-4231 (domestic) and +1 (210) 234-0011 (international) with a passcode of WILLIS. The leader's name is Jim Costner. Participants are asked to log in or call in 10 minutes prior to the webcast in order to register for the event. A replay of the webcast will be available through May 23, 2006 at 11:00 PM Eastern Time, by accessing the web site or by calling (888) 667-5780 (domestic) or +1 (402) 220-6424 (international) with no passcode. www.willis.com Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 4. Twelve Senators Urge Leader Frist to Request a Vote on Small Business Health Plans; Letter Encourages HELP Committee Action WASHINGTON, Feb. 17 /U.S. Newswire/ -- Senator Olympia J. Snowe, Chair of the Senate Committee on Small Business and Entrepreneurship, and Senator Jim Talent today released a letter signed by twelve United States Senators to Senate Majority Leader Bill Frist urging him to encourage Senator Mike Enzi to report Association Health Plan legislation out of the HELP Committee as soon as possible next month. The Senators are cosponsors of "The Small Business Health Fairness Act" (S. 406), legislation that provides small business owners with the freedom to band together to buy affordable health insurance through Association Health Plans. In addition to Senators Snowe and Talent, the letter was signed by Senators Christopher Bond, Sam Brownback, Robert C. Byrd, Norm Coleman, Chuck Hagel, Kay Bailey Hutchison, John McCain, Mel Martinez, John Thune, and David Vitter. The text of the letter: "Small businesses face a crisis when it comes to securing affordable, quality health insurance. They are trapped in stagnant, dysfunctional insurance markets that are controlled by a handful of large insurers, leaving few, if any, coverage options. In four of the past five years, health insurance premiums have increased at double digit percentage levels. "As cosponsors of the Small Business Health Fairness Act (S. 406), we believe that Association Health Plans ('AHPs') are a critical solution to the small business health insurance crisis. Our bill mirrors the House version of AHP legislation (H.R. 525), which passed the House overwhelmingly and on a bipartisan basis, 263-165, for the eighth time. Still, AHPs have never received a vote on the Senate floor. "It is time for the Senate to act on Association Health Plans. "We appreciate your personal expertise and leadership on health care issues - in particular, your support for AHPs, which you have stated is 'an idea whose time has come.' We completely agree with your response to President Bush's State of the Union Address: 'Health care will be a major priority in the coming year, and together we'll address the rising cost of health care and guarantee affordable and accessible care is a reality for all Americans.' "This reality is within our reach: AHPs are a critical solution to the small business health insurance crisis. Touted by over 12 million employers and 80 million employees, AHPs represent a fair, fiscally sound, and tested approach to reducing the nearly 46 million uninsured Americans at nominal cost to the federal government. "We applaud the strong leadership of Senator Enzi and the HELP Committee in their continuing efforts to broker compromise legislation with stakeholders on all sides of this complicated issue. We also appreciate Senator Enzi's dedication and willingness to move forward on this issue. Progress has certainly been made. "However, time is growing short this year to move AHPs to the Senate floor for a vote. We respectfully request that you encourage Senator Enzi to report AHP legislation out of the HELP Committee as soon as possible next month. We also request that, shortly thereafter, you call up AHP legislation for long-awaited consideration on the Senate floor. "The American people stand with you on this and we wish to add our voices to encourage a vote. We pledge to work with you, the Administration, and the hundreds of small businesses, ranchers and farmers supporting AHPs. Together we will be successful. "Thank you for your continued and steadfast leadership on this issue. We value your commitment to passing AHPs in the Senate." http://www.usnewswire.com/ Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 5. Merrill Lynch settles 23 research lawsuits Fri Feb 17, 2006 10:37 AM ET - NEW YORK (Reuters) - Merrill Lynch and Co. (MER.N: ) said on Friday it had agreed to pay $164 million to settle 23 class-action lawsuits related to tainted research coverage of Internet companies by former analyst Henry Blodget. The plaintiffs said Merrill and Blodget issued overwhelmingly positive research in a bid to get investment banking business from the companies that were being written about. The settlements are subject to further agreements, as well as court approval, the No. 1 U.S. brokerage said in a filing with the U.S. Securities and Exchange Commission. As a result of the settlements, plaintiffs will drop appeals in 11 cases in which motions to dismiss were previously granted, Merrill said. Another 12 had not yet been ruled on. It said 16 others were previously dismissed or abandoned. "Even though we prevailed in virtually every research class action that's been adjudicated, we are settling these cases because we want to avoid the distraction and expense of further litigation," said Merrill spokesman Mark Herr. Only two class actions related to Merrill's research coverage of Internet companies will remain pending, the brokerage said. Herr said Merrill expects to win these suits, including one that is now before the U.S. Supreme Court. Merrill said it would take a litigation-related expense of $170 million, or $102 million after-tax, in the fourth quarter for the settlements. The charge equals 10 cents per share. The litigation grew out of investigations into conflicts of interest on Wall Street by regulators and New York Attorney General Eliot Spitzer, who accused brokerages of issuing biased research to attract investment banking business. That probe led to a $1.4 billion settlement between financial regulators and 10 Wall Street firms, including Merrill, who were accused of misleading investors with biased stock research. © Reuters 2006. All Rights Reserved. Return to Headlines - - Print Article / Read Entire Article / E-Mail Article
6. Vioxx jury says Merck not liable in death
Sat Feb 18, 2006 2:05 AM ET - By Michael Depp - NEW
ORLEANS (Reuters) - A federal jury said on Friday that drugmaker Merck
Co. Inc. (MRK.N: ) was not liable in the 2001 death of a Florida man who
used the recalled painkiller Vioxx. Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 7. Symetra Retirement Solutions Now Available to Banco Popular Customers through Popular Investments® Chicago, Ill. / Bellevue, Wash. — (February 16, 2006) — Symetra(SM) Life Insurance Company and Popular Investments, a service of IFS Agencies, Inc, are teaming up to help Banco Popular North America (BPNA) customers meet their retirement income needs. Popular Investments has begun providing customers access to a suite of Symetra annuities within BPNA branch locations and through the Popular Investments network of financial consultants. In conjunction with Popular Investments, BPNA--one of the country’s leading community banks--will make Symetra annuities available from investment centers located at branches throughout California, Texas, Florida, Illinois, and New Jersey. The fixed annuities offered through Popular Investments include the Symetra Advantage Income Annuity, Symetra Target Income Fixed Annuity, and Symetra Select Fixed Annuity. www.bancopopular.com www.symetra.com Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 8. Secretary of Labor Elaine L. Chao Announces $134 Million to be Distributed to Enron Workers and Retirees WASHINGTON, Feb. 16 /U.S. Newswire/ -- U.S. Secretary of Labor Elaine L. Chao today announced that Enron workers and retirees will receive $133.95 million in cash to be distributed through the company's retirement plans. The major portion of the cash total, $124.6 million, represents proceeds of the sale of the Enron Corp. bankruptcy claim to Bear Stearns Investment Products Inc., New York, N.Y.; the remaining $9.33 million was paid separately by Enron earlier this month as a distribution for part of the bankruptcy claim. "The collapse of Enron was devastating to thousands of employees and retirees whose long-term savings and retirement security were tied up in the company," Secretary of Labor Elaine L. Chao said. "This agreement secures $134 million in cash which will be distributed to workers and retirees through their retirement plans. The department will not rest until we have done everything we can to help employees and retirees recover what they are owed." The agreement resolves the Labor Department's lawsuit and a private class action suit brought on behalf of the plans' participants. The agreement does not resolve the department's claims against Lay and Skilling. The final agreement was approved by the Bankruptcy Court for the Southern District of New York. The Labor Department's lawsuit resulted from a comprehensive investigation conducted by the Dallas regional office of the department's Employee Benefits Security Administration and the Office of the Solicitor. http://www.usnewswire.com/ Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 9. AIG PineStar Capital, L.P. Closes with $700 Million in Commitments NEW YORK--(BUSINESS WIRE)--Feb. 17, 2006--AIG Global Investment Group (AIGGIG) today announced the third and final close of AIG PineStar Capital, L.P. (PineStar) with equity commitments totaling $700,000,000. PineStar is a secondary portfolio of approximately 150 private equity funds including leveraged buyout, venture capital, mezzanine and other private equity investments. PineStar is a derivation of a portfolio of private equity holdings AIGGIG acquired from Dresdner Bank and certain affiliates in March 2005. This acquisition is one of the largest secondary transactions ever completed with original commitments to private equity limited partnerships primarily in North America and Europe totaling $1.4 billion (EUR 1.1 billion). PineStar permits investors to participate in a diversified, mature, capital efficient portfolio of private equity investments. The portfolio is fully developed, virtually eliminating blind pool risk, and the funds are well-diversified by manager, geography, strategy and industry. Harvey Lambert, Managing Director in the Private Equity Funds Group at AIG Global Investment Group commented, "One of the many benefits of PineStar is that the maturity of the portfolio lends itself to capital efficiency. With the portfolio entering the distribution phase of its life cycle, PineStar is able to return capital to investors at a faster pace than primary private equity investments or less mature secondary investments." "AIGGIG currently manages 36 private equity funds and funds of funds with over $14 billion in capital commitments. As our inaugural secondary fund of funds, PineStar is an excellent complement to our existing line of products," said Robert Thompson, Senior Managing Director at AIG Global Investment Group and Head of Alternative Investments. Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 10. American International Group, Inc. Subsidiary to Acquire Central Insurance HONG KONG & TAIPEI--(BUSINESS WIRE)--Feb. 17, 2006--American International Group, Inc. (AIG) today announced that a wholly-owned Taiwan subsidiary has reached an agreement with Central Insurance Co., Ltd (Central Insurance) to acquire all of Central Insurance's outstanding shares by means of a statutory share swap. The purchase value of the transaction is estimated to be between NT$5.92 billion and NT$6.05 billion. In addition, the Taiwan subsidiary, AIG Direct Marketing Co., Ltd (AIGDMC) and one of Central Insurance's major shareholders, Polaris Securities Co. Ltd, are expected to enter into a cooperation agreement, which will become effective on the closing of the share swap transaction. Under this agreement, Polaris and AIGDMC will develop plans to distribute Central Insurance's products in the Taiwan market. With this acquisition, AIG is bringing together some of Taiwan's strongest capabilities in general insurance product development, management and distribution. AIG established a branch of AIU Insurance Company in Taiwan (AIU Taiwan) in 1982. Since then, AIU Taiwan has been at the forefront of bringing innovative general insurance solutions as well as a wide range of professional liability insurance to the local market. Central Insurance, founded in 1962, is a leading domestic general insurer, ranked sixth in Taiwan, with more than NT$7 billion in gross written premiums and over 900 employees. After the transaction, AIG's two general insurance operations in Taiwan together will become one of the largest general insurance practices in the market, rising to third by direct gross premiums written(1). www.AIG.com Return to Headlines - - Print Article / Read Entire Article / E-Mail Article
11. S&P's New Instruments Committee to Hold Teleconference on Equity Capital of Bank and Insurance Companies NEW YORK, Feb. 16 /PRNewswire/ -- Standard & Poor's New Instruments Committee, which governs Standard & Poor's Ratings Services ratings policy for hybrid capital and other new instruments, will hold a teleconference on Friday, Feb. 17, at 10:00 a.m. EST to discuss a new criteria article entitled "Equity Credit for Bank and Insurance Hybrid Capital, A Global Perspective." Scott Sprinzen, chair of the committee, will lead the conference call discussion. Other members of the New Instruments Committee on the call are representatives from Standard & Poor's global insurance and banking practices. Conference ID#: 1705937 - Passcode: SANDP - Replay Number: 1-402-998-1761 - Replay will expire on Friday, Feb. 24, 2006. www.standardandpoors.com Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 12. When is Contract Wording Like Duct Tape? New Paper from GE Insurance Solutions Reveals the Answer KANSAS CITY, Mo.--(BUSINESS WIRE)--Feb. 16, 2006--Duct tape is commonly used in all manner of household repairs. Many people say they can't live without it. So, too, insurers and reinsurers have come to rely on the Errors & Omissions clause. The reasons are found in a new white paper from GE Insurance Solutions (NYSE: GE), authored by Associate General Counsel David Newkirk. But just as you wouldn't use duct tape to repair a car's engine, the E&O clause is not suited for every situation. Newkirk traces the origins of the E&O clause wording to the late 19th century, when underwriters sought to protect themselves from mistakes made by quill-bearing clerks on long lists of transactions called bordereaux. So long as the mistake was caught and corrected, the original intent of the policy wording would apply and liability would not be affected. However, Newkirk notes that over time disputes arose and insurers began to seek to expand the scope of the clause in court. He cites case law and notes the evolution of legal strategies during the 20th century, some of it ill conceived. Newkirk notes: "Many of the attempted uses of the clause in the later twentieth and twenty-first centuries are to correct errors of judgment -- not the flow of information." The paper offers practical risk expertise for today's reinsurance and insurance underwriters, with examples of improperly ceded types of risk, pre-contractual non-disclosure and late claims notice. The paper will appear in the Journal of Reinsurance, and is now available through the GE Insurance solutions Web site at http://www.geinsurancesolutions.com/erccorporate/inst/ic/cs/eo/060208_duct.htm. Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 13. Fireman's Fund(R) Expands in St. Louis Area With 190 New Jobs NOVATO, Calif.--(BUSINESS WIRE)--Feb. 17, 2006--Fireman's Fund Insurance Company announced today that it is in the process of adding 190 new jobs, including 145 new claims professional positions, to its existing operations in Earth City, near St. Louis. As part of the company's expansion, a new national customer sales and service center has opened to assist the company's network of independent agents. www.firemansfund.com Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 14. The Meltzer Group, Inc. Acquires Certain Assets of Wolf & Cohen Life Insurance, Inc. BETHESDA, Md., Feb. 16 /PRNewswire/ -- The Meltzer Group, Inc., a leading financial services company in the Washington Metropolitan area, through its wholly-owned subsidiary, TMG Insurance Services Inc., has acquired assets of Wolf and Cohen Life Insurance, Inc. and Donald Sigmund relating to their group benefits businesses. Wolf and Cohen, founded in 1878, is the oldest insurance brokerage firm in the Washington Metropolitan area. Its areas of expertise include Estate Planning/Wealth Transfer, Employee Benefits and Executive Benefits. Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 15. Kingsway enters into $150 million credit facility TORONTO, Feb. 16 /PRNewswire-FirstCall/ - (TSX:KFS, NYSE:KFS) Kingsway Financial Services Inc. today announced that it has entered into a new Cdn $150 million 364 day revolving credit facility with a syndicate of banks. This credit facility replaces the existing Cdn $150 million 364 day revolving credit facility which matures on March 3, 2006. In the new facility, The Bank of Nova Scotia is acting as Administrative Agent, Co-Lead Arranger and Book Runner and LaSalle Bank National Association is acting as Syndicated Agent and Co-Lead Arranger. Return to Headlines - - Print Article / Read Entire Article / E-Mail Article
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The #1 Insurance Newsletter In The World 16. NEW TEST HELPS PREDICT CLAIMS PROFESSIONALS' WRITING SKILLS ON THE JOB FEBRUARY 21ST. PORT WASHINGTON, NY -- Wouldn't it be a tremendous help if insurance carriers, TPAs, and independent adjusters -- among other employers -- could predict a new hire's ability to write clearly and concisely in plain English when they are on the job? Now, there's a new test -- The National Claims Writing Test: Predicting Successful Writing on the Job -- that helps human resource as well as claims and underwriting executives gain a quick, accurate measure of how new hires will write once they are hired. The National Claims Writing Test is available by license only. For more information about this test, call (516) 767-9590 or e-mail: garyblake@aol.com Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 17. INSURANCE COMMISSIONER JOHN GARAMENDI ANNOUNCES NEW ONLINE SERVICE FOR INSURANCE LICENSE RENEWALS AND CHANGE OF ADDRESS REQUESTS SACRAMENTO – In an ongoing commitment to improve service that benefits both consumers and the insurance industry, Insurance Commissioner John Garamendi announced Thursday a new online system that will allow licensees to renew licenses and change their address of record paper free. Prior to the new service, licensees filled out paper applications that were often prone to errors or omissions. That sometimes resulted in substantial delays for approvals. The new online service, however, will assist the licensee in completing the renewal application accurately to ensure that all required information is included. Go to www.insurance.ca.gov and click the “Online License Application” link. Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 18. Administration Promoting Prevention, Wellness And Fitness Recognizing value of informed consumers; making better personal health care choices Nashville, TN. February 17, 2006 When President George W. Bush joked with Wendy’s employees Wednesday that empowered health care consumers will choose more salads than triple-patty hamburgers, he hit the nail on the head, according to industry health and prevention experts. “We applaud President Bush and his commitment to greater consumer health care empowerment,” said Gregg Lehman,PhD, CEO of Gordian Health Solutions, a national population health management company. “The evidence is mounting to show that informed consumers who control their own health care spending are also more likely to make better personal health care choices.” Bush’s speech, which emphasized the rapid growth of consumer-directed health care plans and health savings accounts (HSAs), also pointed to a renewed emphasis on personal health and wellness. Using Wendy’s 9,000 employees enrolled in HSAs as an example, Bush noted, “when you're watching your own money, and you realize that if you take care of your body and you exercise and you don't do stupid things, you end up saving money.” He added that medical claims at Wendy’s have dropped by 17 percent since the company implemented HSAs, and the company’s overall health care costs rose only 1 percent last year—well below the double-digit increases many other companies experienced. The remarks coincided with the White House release of “Reforming Health Care for the 21st Century,” ( http://www.whitehouse.gov/stateoftheunion/2006/healthcare/#section14#section14 ) a 20-page plan for improving the nation’s health care system. One section of the report, entitled “Promoting Prevention, Wellness, and Fitness,” emphasizes the active role individuals must take to improve their own health status through exercise and chronic disease prevention. The plan outlines White House initiatives that champion vigorous exercise, help fund community-based chronic disease prevention efforts, encourage responsible eating, discourage the use of alcohol and tobacco, and prevent disease through screening and testing. “These efforts are positive steps to promoting healthier lifestyle choices for Americans,” Lehman said. “It is extremely appropriate that President Bush launched this initiative in a workplace setting. More and more employers have made the connection between better health and lower health care costs, and are taking positive steps to enhance employee wellness programs.” Gordian’s comprehensive population health management programs deliver a return on investment for their clients that ranges from $1.52 to $2.07 for every dollar spent. A new report from America’s Health Insurance Plans (AHIP) shows health insurance premiums are growing at a reduced rate—in part because of greater consumer engagement and a new emphasis on healthy lifestyles. Prepared by PricewaterhouseCoopers on behalf of AHIP, the study found that premiums increased 8.8 percent between 2004 and 2005--36 percent lower than the 13.7 percent increase in 2002. www.gordian-health.com Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 19. The Hartford Introduces New Hybrid Variable Universal Life Insurance Policy SIMSBURY, Conn. – The Hartford Financial Services Group, Inc. (NYSE: HIG) has introduced a new hybrid variable universal life insurance policy to provide consumers with guaranteed death benefit protection and the potential for tax-advantaged wealth accumulation. “Hartford Quantum II is our latest product within a new and innovative generation of life insurance policies that The Hartford has introduced to the market,” said John Vaccaro, vice president and chief marketing officer for The Hartford’s individual life division. “Consumers today first and foremost want guaranteed death benefit protection. But they also understand the need for tax-advantaged asset accumulation. Our new hybrid policy provides the opportunity for both.” Hartford Quantum II features a competitively priced no-lapse death benefit guarantee typically available in universal life insurance policies. The guarantee helps ensure that the policy will never lapse as long as sufficient premium is allocated to the policy’s Benefit Account and other guarantee requirements are met. The guarantees for Hartford Quantum II are based on the claims-paying abilities of The Hartford’s issuing company. Guaranteed death benefit protection is one of the most popular policy features in today’s life insurance market, Vaccaro pointed out. A 2005 LIMRA International survey, “Finding New Customers,” found 71 percent of consumers buying permanent life insurance coverage cited premium and death benefit guarantees as “very important.” In addition to guaranteed death benefit protection, Hartford Quantum II offers an Investment Account that gives policyholders the option of making additional premiums, providing them the potential to accumulate cash value through 51 investment options plus a Fixed Account. Policyholders can choose to allocate their net premiums within as many as 20 variable investment options. Cash value within the Investment Account, as well as the Benefit Account, accumulate tax deferred. www.thehartford.com Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 20. INSURANCE NEWSCAST "Pictures Of The Day"
View INSURANCE NEWSCAST "Sports Pictures Of The Day" 21. INSURANCE COMMISSIONER JOHN GARAMENDI ISSUES ACCUSATION AND SEEKS $14 MILLION PENALTY AGAINST ORANGE COAST TITLE COMPANY OVER ALLEGED ILLEGAL REBATE ACTIVITIES The Company is Accused of 2,442 Acts of Deceptive and Unfair Business Practices SANTA ANA – Insurance Commissioner John Garamendi announced Thursday that he has issued an accusation against Orange Coast Title Company (OCTC) seeking $14 million in civil penalties for 2,442 alleged violations of the insurance code. The California Department of Insurance (CDI) alleges that the company engaged in illegal rebate activities, unfair methods of competition, and deceptive acts or practices in the sale of title insurance. CDI launched an investigation in 2000 after receiving numerous complaints about the company’s actions. “Illegal rebates in the title insurance business cost policyholders more by snuffing out competition and inflating premiums,” said Commissioner John Garamendi. “My Department will continue its work to force all title insurance companies to operate within the law.” Orange Coast title sales representatives submitted receipts, invoices, and expense reports for reimbursement of the purchase of numerous items and perks totaling over $241,000. Items included gifts and gift certificates, spa treatments, tickets to movies and golf courses, televisions, DVD players, wedding gifts and lingerie, trips, and entertainment and catering expenses. Orange Coast Title does business in 58 counties across the state, operating as Orange Coast Title Company; Orange Coast Title Company of the Inland Empire; Orange Coast Title Company of Los Angeles, and California Title Company. Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 22. SBA Defies Court Ruling to Turn Over Key Records; Discrimination Lawsuit Breaks Code of Silence on VC Program - SBA’s $25 Billion SBIC Program Challenged- SBA has been sued in the first case of its kind for discrimination in their $25 Billion venture capital program-Small Business Investmenrt Company Program. SBA is defying a direct U.S District court order to turn over application data to black plaintiffs. SBA told the U.S. Appeals Court it did not have a deadline to turn over data despite a court order almost a year ago to do so. WASHINGTON, D.C. (PRWEB) February 16, 2006 -- Best known for its loan programs and disaster relief, the U.S. Small Business Administration has long operated the Small Business Investment Company program, a venture capital fund that has underwritten the start-ups of some of the country's most successful companies, including Federal Express, Outback Steakhouse, Callaway Golf, and Intel. SBIC licensees are able to use SBA's leverage of $2 for every $1 a firm raises to invest in new and expanding businesses. Apparently, however, SBA intends to reserve SBIC funds for companies run by white males, judging from the agency's persistent denial of minority applicants and its continued defiance of federal court orders to disclose documentation of its licensing practices and licensees. SBA has fought vigorously against revealing application profile data or applications on its 500 licensed firms, which a federal court ordered to be released in April 2005 in connection with a $100 million discrimination lawsuit filed in 2003 by Diamond Ventures, an Atlanta based firm (Diamond Ventures, LLC v Hector Baretto-Case # 03-1449GK). In 2002, the SBA refused to license Diamond's managers to operate a venture capital firm to invest in inner city, underserved, rural areas with a focus on women and minorities. www.diamondventuresllc.com Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 23. INSURANCE NEWSCAST "Book Of The Day" - Mastering the Complex Sale: How to Compete and Win When the Stakes are High! by Jeff Thull List Price: $24.95 - Price: $16.47 -- For
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