Daily Quote: “If I fail, it will be for lack of ability, and not of purpose." -- Abraham Lincoln
1. Ex-Tyco CEO seeks documents in legal fee dispute NEW YORK, June 1 (Reuters) - A lawyer for former Tyco International Ltd. (TYC.N:) CEO Dennis Kozlowski is asking a state court to force insurance broker Willis Group Holdings Ltd. (WSH.N:) to turn over documents in a spat over the $25 million in legal fees the executive has spent on his defense. Kozlowski, who was found guilty in June 2005 for his role in looting $600 million from Tyco, argues in court documents that insurers should pay his legal bills under a 2001 directors and officers liability policy. The former chief executive needs the Willis documents to "present a complete case" in arbitration proceedings in London against Corporate Officers and Directors Assurance Ltd. (CODA), according to court papers filed in New York Supreme Court last week. CODA issued the policy to Kozlowski's former employer, Tyco, the papers added. The Bermuda-based unit of Willis, which was the broker for the policy, has so far not responded to Kozlowski's requests for the documents, the documents showed. A spokesman for Willis did not immediately return a call seeking comment. Kozlowski is serving a sentence of up to 25 years at a state prison in Fishkill, New York. © Reuters 2006. All Rights Reserved. Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 2. India's HDFC to end JV with insurer Chubb - paper NEW DELHI, June 1 (Reuters) - India's Housing Development Finance Corp. Ltd. (HDFC.BO:) is looking to end its non-life insurance joint venture with Chubb Corp. (CB.N:), the Economic Times reported on Thursday. HDFC has expressed its intention to walk out of HDFC Chubb General Insurance Co. Ltd., a 4-year-old partnership in which it holds a 74 percent stake, due to a differences in the risk appetites of the two partners, the paper said. Chubb holds the remaining 26 percent, it said. "Chubb has a low appetite for risk in the Indian market. This has been a bone of contention ... and acted as a barrier for the JV's rapid rollout," the business daily said, quoting unnamed sources. Company officials could not be immediately reached for comment. © Reuters 2006. All Rights Reserved. Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 3. Allstate Reaches Settlement in Texas Insurance Scoring Lawsuit NORTHBROOK, Ill.--(BUSINESS WIRE)--June 2, 2006--Allstate Insurance Co. and plaintiffs in the case of Jose DeHoyos, et. al. vs. Allstate Insurance Co., et. al. have reached a settlement agreement, which was preliminarily approved today by United States District Judge Fred Biery. The case, filed in 2001 in U.S. District
Court, Western District of Texas San Antonio division, was brought by
seven individual Allstate customers seeking to represent a nationwide
class of African-American and Hispanic individuals who were issued
automobile and/or homeowners insurance policies by Allstate-affiliated
companies. The plaintiffs claim that they were discriminated against in
violation of federal civil rights laws, including the Fair Housing Act,
by allegedly being charged higher premiums based on Allstate's use of
information from their credit reports. The court has made no rulings on
the merits of any of plaintiff's claims, and Allstate denies that it in
any way discriminates against minorities in the pricing of insurance
policies. Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 4. $500K in Insurance Contributions to CA Assembly Kills Health Reform Bill; 7 Politicians Duck Public Accountability by Refusing to Vote SANTA MONICA, Calif., June 1 /U.S. Newswire/ -- A half million dollars in campaign contributions and heavy lobbying by the insurance industry late last night killed a bill in the Assembly to prevent the sale of "junk" health insurance in California. According to an analysis by the Foundation for Taxpayer and Consumer Rights (FTCR), the health insurance industry made $497,578 in campaign contributions to state Assembly Members since 2005. Seven members of the California Assembly, all of whom took money from the insurance industry, refused to vote on the bill. By declining to vote, legislators hope to avoid scrutiny for protecting the insurance industry and its powerful lobby at the expense of patient protections, said the nonprofit, nonpartisan FTCR. A lawmaker's abstention has the same effect on legislation as voting "no" because a bill needs a majority of the full Assembly to vote "yes" in order to pass. FTCR said politicians who failed to vote deserve more scrutiny than those who voted, because a non-vote is an attempt to deceive constituents. "Legislators who voted 'no' on this common sense measure put the interests of insurers above those of patients in their districts but at least they took a public position on the bill," said Jerry Flanagan of FTCR. "Those who skipped out on the vote, even though they were in the Capitol, are substituting cowardice for taking a stand on important issues." AB 2281, by Assembly Member Wilma Chan (D-Oakland), would have prevented the sale in California of health policies that do not limit a patient's out-of-pocket expenses in the event of medical catastrophe. During testimony on the bill, Dana Christensen of Playa Del Rey told how such a policy left her with nearly a half- million dollars in medical debt when her husband died of bone cancer. See her story and other examples of such policyholders at: http://www.consumerwatchdog.org/healthcare/AHP/. "The insurance industry is just as happy with a non-vote as with a 'no' vote," said Flanagan. "By taking a walk on key votes, politicians escape the taint of bowing to special interests and just as effectively kill the bill." Chan's bill, although it received a majority from those who did vote, fell short of the 41-vote majority of all members required for passage in the Assembly. An award-winning study by the University of Southern California School of Policy, Planning and Development found that "non-voting" played a role in the outcome of more than two-thirds of the bills defeated in the California legislature and was the deciding factor in the defeat of more than one-third of those bills. Read the study, "Out for the Count; An Analysis of Nonvoting in the California Legislature": http://ftcr.grassroots.com/ resources/Nonvoting_final.pdf. Such death of legislation by non-voting is increasingly common in the Legislature, said FTCR. "The practice is a rejection of democracy," said Flanagan. "Lawmakers who decline to vote are refusing to stand on behalf of the voters who elected them." The nonvoting on Chan's health insurance bill is further evidence of the need to take corrupting corporate power out of state government, said FTCR, and the most effective tool is the Clean Money Elections Initiative headed for the ballot this November. The initiative, sponsored by the California Nurses Association, would publicly fund the campaigns of candidates who voluntarily participate. Similar public funding has diminished the perception of corruption in Arizona and Maine state elections, said FTCR. See this link for more on the initiative. http://www.consumerwatchdog.org/advocacy/cleanmoneyinitiative/ List of Non-Voters on AB 2281:
The Foundation for Taxpayer and Consumer Rights is California's leading nonpartisan and nonprofit consumer watchdog organization. For more information, visit them on the Web at: http://www.ConsumerWatchdog.org. http://www.usnewswire.com/ © 2006 U.S. Newswire Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 5. DOL: Trustees of Stockton, Calif., Employee Stock Ownership Plan to Restore More Than $1.2 Million to Plan To: National Desk Contact: Gloria Della, 202-693-8664, or David James, 202-693-4676, both of the U.S. Department of Labor SAN FRANCISCO, June 1 /U.S. Newswire/ -- The U. S. Department of Labor (DOL) has obtained a settlement agreement requiring the trustees of the Western Spray Painting Inc. employee stock ownership plan (ESOP), located in Stockton, Calif., to pay approximately $1.2 million in restitution to the plan and $236,667 in civil monetary penalties to the federal government. The settlement resolves a lawsuit against trustees Mark S. Singleton, Jill Singleton and Carolyn B. Bennett for alleged violations of the Employee Retirement Income Security Act (ERISA) in connection with improper stock purchases with assets of the plan. In addition to the restitution, the trustees are permanently barred from serving in a future fiduciary capacity for any plans governed by the ERISA. The defendants also waive their right to receive benefits from the ESOP. "This administration has a strong track record in protecting the benefits promised to America's workers," said U.S. Labor Secretary Elaine L. Chao. "This agreement restores more than $1.2 million to be distributed to workers and retirees." The DOL lawsuit, filed Dec. 23, 2002, in Federal District Court for the Eastern District of California, alleged that the Singletons and Bennett improperly used plan assets to purchase company stock at prices in excess of the stock's actual value. They also allegedly used ESOP assets rather than corporate money to purchase stock and repay a stock acquisition debt of the employer. Western Spray Painting Inc. produced liquid and powder coating for metal and plastic parts. Before the improper stock purchase, the plan had assets of exactly $1,157,441 in cash, cash equivalents and employer stock. Today, the plan has only $180,519 in cash, in addition to the now-worthless stock. Currently, there are 236 participants in the plan. In fiscal year 2005, the DOL's Employee Benefits Security Administration (EBSA) achieved monetary results of $1.7 billion related to the pension, 401(k), health and other benefits for millions of American workers and their families. This case was investigated by EBSA's San Francisco regional office. Employers and workers can reach the regional office at 415-975-4600 or through EBSA's toll-free number 866-444-EBSA (3272) for help with problems relating to private-sector retirement and health plans. U.S. v. Singleton Civil Action No. S-02-2722 http://www.usnewswire.com/ Return to Headlines - - Print Article / Read Entire Article / E-Mail Article
6. Policyowners for Demutualization of Mutual Life Insurers Editor's Note: The attached information was received in an e-mail and is included in INSURANCE NEWSCAST as information for interested parites. Dear Walt, A policyowner-friendly website, http://policyownersfordemutualization.blogspot.com, has been launched and it reveals per policy payouts if the largest 11 remaining mutual life insurance organizations demutualize. The estimated payouts range from an astonishing $31,940 for every whole life policy issued by Pacific Life to a low of $592 for each non-whole life policy issued by Guardian Life or Berkshire Life. Potential per policy demutualization distributions are shown for policies issued by the following life insurance companies which are still mutual organizations: Acacia Life, Ameritas Life, Berkshire Life, Columbus Life, Connecticut Mutual, Guardian Life, Lafayette Life, Massachusetts Mutual, Minnesota Life, National Life of Vermont, New York Life Insurance Company, Northwestern Mutual, Ohio National Life, Pacific Life, Penn Mutual Life, Union Central Life of Cincinnati, and Western-Southern Life. Amounts are shown for policies originally issued by these 17 life insurance companies with separate amounts shown for whole life policies and all other policies. The differing amounts were calculated based on the 20% fixed and 80% variable allocation used in the John Hancock demutualization. The amount of wealth that would be created if all these companies demutualized exceeds $125 billion and would be shared by the owners of more than 20 million policies issued by these companies. This sizeable amount of wealth is within the reach of policyowners and it seems likely to capture their attention. The information provided by this website could well ignite policyowner-inspired movements to encourage demutualization. Knowledgeable policyowners undoubtedly favor demutualization and receipt of their financial windfall over unwittingly bequeathing their thousands of dollars to the life insurance company itself, which is what is guaranteed to happen if their insurer does not demutualize. Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 7. TowerGroup: Wi-Fi Security Threats for Financial Institutions FINANCIAL INSTITUTIONS MUST DO BETTER JOB OF ACKNOWLEDGING AND MITIGATING WI-FI SECURITY THREATS BOSTON, MA (TowerGroup Annual Conference), June 2, 2006 - While most financial services institutions are extremely effective when it comes to protecting their wired communication networks, few today give wireless network access - and in particular wireless local area networks (LAN), or Wi-Fi - the same level of security and attention. New research from TowerGroup underscores that as increasing occurrences of data theft hit the financial services industry, Wi-Fi, if not properly managed, will emerge as a channel of significant threat to reputation and customer trust. "The first and perhaps the most onerous threat from Wi-Fi for financial institutions is rooted in faulty corporate IT strategy," said Bob Egan, research director of the TowerGroup Emerging Technologies practice and co-author of the research. "Institutions that choose not to support Wi-Fi officially are not immune to security threats via Wi-Fi technology. Though they may choose not to purchase and support devices like laptops with embedded Wi-Fi capability, employees may still own and use such devices." Highlights of the research include:
Egan noted that while administrative tools to block Wi-Fi capability exist (e.g., tools that disable add-on Wi-Fi peripherals, such as PC cards and USB adaptors), this avoidance mentality is difficult to enforce and overlooks or ignores the remaining threats to security. "Wi-Fi is dramatically changing the face of communication. Institutions must be prepared to change their information security policies and practices to respond to the reality that Wi-Fi devices employees are using on their premises may serve as unintended points of entry for security intrusions to their networks," he said. "Remediation against Wi-Fi security risks starts with an acknowledgement that the risks exist," said Josh Kessler, analyst in the Emerging Technologies practice at TowerGroup and co-author of the research. "A forward-looking IT strategy combined with the right systems will enable an institution to benefit from Wi-Fi's advantages of flexible access and ubiquitous connectivity - while striking a balance between the cost of ownership requirements of an institution and its security responsibilities." A host of issues related to enterprise mobility are being discussed today in a panel titled "Mobility: Navigating the Options and Making Hard Choices" at the 2006 TowerGroup Financial Services Business & Technology Conference & Exhibition, being held in Boston. More than 600 financial services industry professionals are attending the event, themed "Differentiation - Execution - Results." The new TowerGroup report co-authored by Egan and Kessler and titled, "Wi-Fi Security: The Threats are Ruthless, the Solutions are Available, Are YOU Protected?," is available to qualified members of the press for review. To request copies or to arrange an interview with Egan or Kessler, please contact Jorge Lavina at +1.212.455.8041 or jlavina@cooperkatz.com. www.towergroup.com Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 8. Hub International Announces Exercise of Over-Allotment Option by Underwriters CHICAGO--(BUSINESS WIRE)--June 2, 2006--Hub International Limited (NYSE:HBG)(TSX:HBG) announced today that the underwriters have exercised in full the over-allotment option granted to the underwriters as part of Hub's recent public offering of 4,000,000 common shares. The underwriters will purchase an additional 600,000 common shares at a public offering price of $26.25 per share, for additional net proceeds of $15,042,000 after underwriters' discount and commissions, but before offering expenses. The closing of the purchase of the over-allotment shares is expected to occur June 9, 2006, subject to customary closing conditions. Including the initial 4,000,000 common shares issued on May 24, 2006, upon closing of the purchase of the over-allotment shares, Hub will have sold 4,600,000 common shares for total gross proceeds of $120,750,000 and total net proceeds of $115,322,000 after underwriters' discount and commissions, but before offering expenses. Stephens Inc. and Wachovia Securities acted as joint book-running managers for the offering and Cochran Caronia Waller; Ferris, Baker Watts Incorporated; and Keefe, Bruyette & Woods acted as co-managers. www.hubinternational.com Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 9. CIGNA Behavioral Health Launches Disaster Resource Center EDEN PRAIRIE, Minn., June 1, 2006 /PRNewswire/ -- With today's official start to the Atlantic hurricane season, there is significant focus on public awareness for disaster preparedness. To help businesses and families plan for emergencies and address the related psychological aspects of the stress and uncertainty of preparing for disasters, CIGNA Behavioral Health (CBH) today announced the creation of its Disaster Resource Center. This online information center offers tools such as preparation tips, coping and communication techniques, government and community resources, and emergency contact numbers. CBH's Disaster Resource Center is free and can be accessed at http://www.cignabehavioral.com. Information is available for businesses as well as for consumers. Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 10. Morris, Manning & Martin Ranks Among Top Law Firms for Captive Insurance Atlanta (June 1, 2006)—Morris, Manning & Martin, LLP is named one of the top captive insurance law firms by Reactions magazine’s Captive Survey 2006. The survey, published in the May issue of Reactions, recognized six “Best Captive Law Firms,” only three of which are located in the United States. “We have been handling all legal aspects of captives, including tax, for a number of years and are pleased to have this recognition from the international insurance community,” says Robert H. “Skip” Myers, Jr., a Partner in Morris, Manning & Martin’s Insurance Group. The survey predicts that the number of companies offering captive insurance is on the rise due to the increased instability of the traditional insurance industry. According to www.Captive.com, companies are finding that captive insurance has the potential to reduce the expense of risk management, stabilize pricing, provide coverage for areas previously uncovered, boost cash flow benefits and reduce government regulations and obstacles. Companies are also finding that captive insurance provides customized insurance plans and streamline claims handling processes. They are also taking notice of the increased access to reinsurers through captives. According to the survey, implementing captive insurance programs is easier than ever, especially for small and medium-sized companies. Morris, Manning & Martin has emerged as a leading firm to offer guidance and legal counsel in this specialized area. Myers has become an important resource for companies seeking insight into captive insurance issues by leading seminars, association meetings and conferences. He has published numerous articles on captive insurance issues. His practice also includes the areas of insurance regulation, antitrust and trade association law. Morris, Manning & Martin, LLP, ( www.mmmlaw.com ) enjoys national prominence for its corporate finance, securities, litigation, technology, telecommunications, insurance, healthcare, environmental and real estate practices. The firm has offices in Atlanta, Washington, D.C., Charlotte, Raleigh-Durham and Princeton. Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 11. Federal Court Dismisses Lawsuit against DTCC NEW YORK--(BUSINESS WIRE)--June 2, 2006--The Depository Trust & Clearing Corporation (DTCC) announced today that by order entered May 31, 2006, the United States District Court for the District of Nevada, Las Vegas, has dismissed Whistler Investment, Inc.'s lawsuit against DTCC and its subsidiaries. The dismissal was "with prejudice," meaning that Whistler may not seek to amend its complaint. In granting DTCC's motion to dismiss, the court agreed with DTCC that clearing and settlement rules promulgated by DTCC's subsidiaries and approved by the U.S. Securities and Exchange Commission (SEC) cannot be challenged under state law. Because DTCC's Stock Borrow Program (SBP), the target of the lawsuit, is explicitly approved by and subject to the ongoing oversight of the SEC, the legal challenge is barred by the Supremacy Clause of the U.S. Constitution, on grounds of both "field" and "conflicts" preemption. This order is the fourth time in the last year that a court has ruled that plaintiffs are not permitted to sue DTCC or its subsidiaries for carrying out functions that are regulated and overseen by the SEC. These are among a number of suits that have been brought, largely by bulletin board traded companies, who seek to blame their poor stock performance and failed business models on DTCC and the national market system for clearance and settlement. To date, except for one case where DTCC's dismissal motion is pending, all of the cases either have been dismissed by the courts or withdrawn by the plaintiffs. In February 2006, the SEC filed a "friend of the court" brief in support of DTCC in one of the dismissed cases, Nanopierce Technologies Inc. v. DTCC, urging the Supreme Court of Nevada to affirm the lower court decision dismissing the case. The Nanopierce case, which makes identical claims to those in the Whistler action, is pending on appeal before the Supreme Court of Nevada. The SEC brief can be accessed at: http://www.sec.gov/litigation/briefs/nanopiercesecbrief.pdf. Additionally, in a May 12, 2006 follow-up letter to the Supreme Court of Nevada the SEC wrote, "Plaintiffs' claims are preempted because evaluating these claims of alleged defects has been entrusted by Congress to the (SEC), not to state courts." In its letter to the Nevada court, the SEC stated, "The (SEC) found that the clearance and settlement system complies with the requirements of the Exchange Act when it approved the system more than twenty years ago, and it has continued to be of that view as it has exercised oversight responsibility ever since." The SEC also stated that it "has adopted Regulation SHO for the purpose of preventing abusive naked short selling, and if it concludes that further steps are required, it will take them." "The court's decision and the forceful statements made by the SEC underscore what DTCC has been saying since this misguided litigation campaign began," said Thompson. "Short selling and naked short selling are trading strategies and are not connected to the post-trade clearance and settlement of securities transactions. There is nothing in DTCC's operating procedures, activities or conduct that justifies these frivolous suits." In the Whistler case, DTCC has sought to impose monetary sanctions against the plaintiffs' counsel for having brought frivolous litigation. That application will be pursued vigorously before Judge Jones. www.dtcc.com Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 12. State Fund Files an Average 10 Percent Premium Decrease Filing Marks Sixth Consecutive Decrease; Cumulative 44 Percent Decrease Since 2004 SAN FRANCISCO, June 1 /PRNewswire/ -- Today State Compensation Insurance Fund filed its sixth consecutive rate reduction, reflecting an average collectible premium decrease of 10 percent on new and renewal workers' compensation policies with an effective date on or after July 1, 2006. The filing also continues an additional 10 percent workplace safety credit for small employers (premium between $1,000 and $75,000 annually) with superior safety records. Rates for State Fund policyholders have steadily fallen since July 2003, and now reflect a cumulative savings of 44 percent below pre-2004 rate levels. Contributing to the 10 percent reduction in collectible premium is a 6 percent reduction in manual rates. Policyholders renewing in July through December 2006 will see an average decrease of 24.4 percent below their expiring policies resulting from the combined effect of a 16 percent decrease taken in January 2006 as well as this 10 percent decrease effective on July 1st. www.scif.com Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 13. INSURANCE COMMISSIONER JOHN GARAMENDI ANNOUNCES EXPANSION OF LOW COST AUTOMOBILE INSURANCE PROGRAM TO EIGHT ADDITIONAL COUNTIES EFFECTIVE JUNE 1, 2006 - Added to the list of counties where the Low Cost Auto Program is now available: Contra Costa, Imperial, Kern, Sacramento, San Joaquin, San Mateo, Santa Clara, Stanislaus. Eligible motorists from a total of 16 counties will now be able to take advantage of this affordable program. SACRAMENTO – Insurance Commissioner John Garamendi announced today that the California Low Cost Automobile Insurance Program is now available to eligible low-income good drivers in Contra Costa, Imperial, Kern, Sacramento, San Joaquin, San Mateo, Santa Clara, and Stanislaus counties effective June 1. The announcement follows approval of emergency regulations that set rates for the state-required liability insurance for each of the eight counties. The rates are currently less than $400 annually. "More than 3 million motorists drive on California roads every day without auto insurance," said Commissioner Garamendi. "This program is vital to reducing the number of uninsured motorists. The program is an affordable option and allows uninsured drivers the peace of mind of operating within the law. Why risk driving without insurance when you can afford it?" The California Low Cost Automobile Insurance program was created in 1999 to provide low income good drivers with access to affordable automobile insurance. The program started as a pilot program available only in Los Angeles and San Francisco counties. However, with the additional counties permitted by SB 20, eligible motorists from a total of 16 counties statewide are now able to take advantage of the program. Since its inception, over 25,500 policies have been issued. Program policies are issued by California licensed insurers and the program is administered by the California Automobile Assigned Risk Plan. Rates are set in each county so that premiums are sufficient to cover losses and expenses in each county. To be eligible for the program, applicants must be a "good driver" – no more than one at-fault property damage only accident, or one point for a moving violation in the past three years; and no at-fault accident involving bodily injury or death in the past three years; and no felony or misdemeanor conviction for a violation of the Vehicle Code.") Additionally, family income cannot exceed 250 percent of the federal poverty level ($24,500 for a single person, $33,000 for two persons and $50,000 for a family of four). The value of an insured vehicle must not exceed $20,000. For more information about the program, call 1-866-60-AUTO-1 (1-866-602-8861) Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 14. Washington Dental Service Introduces New Dental Program for Uninsured Individuals and Families SEATTLE, June 1 /PRNewswire/ -- Responding to the growing need for affordable dental care by more than two million people in Washington state without dental insurance, Washington Dental Service is introducing a new dental access program, Delta Dental Patient Direct. Delta Dental Patient Direct offers access to a large network of credentialed dentists who have agreed to provide services at pre-set reduced fees covering most types of dental care. Delta Dental Patient Direct offers up to 25 percent savings on many common procedures. The annual fee for Delta Dental Patient Direct is $89 for individuals and $124 for families with no hidden costs. Because Delta Dental Patient Direct is not insurance, there are no waiting periods, claim forms, maximums or deductibles. Members pay the dentist directly at the reduced, set fee for immediate savings. Visit www.patientdirect.net for more information or call 1-800-456-5927. Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 15. Kansas City Life, American Republic sign agreement for American Republic agents to sell Kansas City Life products KANSAS CITY, Mo. – Kansas City Life Insurance Company and American Republic Insurance Company, based in Des Moines, Iowa, have signed a Master General Agent and Marketing Agreement under which American Republic agents will market Kansas City Life’s life insurance products. The marketing agreement provides for sales of Kansas City Life’s competitive term, universal life and traditional whole life products through American Republic’s nearly 600 career sales representatives. It is a powerful addition to the product portfolio of American Republic career sales representatives making them a full-service insurance provider, taking care of their customers’ needs and further building customer relationships. www.kclife.com www.americanrepublic.com Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 16. Fiserv PRO Financial Solutions Enable Insurers to Achieve Aggressive Business Objectives Chicago, June 1, 2006— Fiserv Insurance Solutions, a unit of Fiserv, Inc. (Nasdaq: FISV), announces that the following insurance organizations recently signed contracts for its PRO Financial general ledger and accounts payable solutions:
Each of these insurers purchased additional integrated financial solutions from Fiserv to address its annual statement reporting, automated disbursements and/or compliance reporting. www.fiservinsurance.com Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 17. SCI Companies Enables Businesses to Offer Customized Disability Benefits to Employees Tampa, FL (PRWEB via HRMarketer) June 1, 2006 -- SCI, a national leading Professional Employer Organization (PEO), announced today that effective immediately, it is adding employer-paid short-term disability (STD) and long-term disability (LTD) insurance plans to its existing voluntary benefits offerings through Jefferson Pilot Financial. The new STD and LTD plans will be offered at a discounted rate based on the client’s employee census and nature of business. The discounted rate requires a 100% employer contribution towards the coverage for all active full-time employees working 30 or more hours per week and does not require evidence of insurability. www.scicompanies.com Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 18. Securian Launches Innovative Annuity Using NaviSys Home Office® SecureLink fixed indexed annuity offers fixed interest based on equity index performance with a minimum interest rate guarantee EDISON, NJ (June 1, 2006) — NaviSys, Inc., the market leader in front-to back-office solutions for life insurers, today announced that Securian Financial Group, Inc. is using NaviSys Home Office® to support a new annuity product. SecureLink is a fixed indexed annuity offering fixed interest based on equity index performance with a minimum interest rate guarantee. NaviSys Home Office is a next-generation, rules-based policy administration solution that enables insurers to quickly launch and efficiently administer the full range of life insurance and annuity products.www.securian.com www.navisys.com Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 19. Florida Department of Financial Services Launches Spanish-Language Website; Major State Agency Helps Hispanic Residents Prepare for Hurricane Season and More TALLAHASSEE, Fla. & COCONUT CREEK, Fla.--(BUSINESS WIRE)--May 31, 2006--Tom Gallagher, Florida's chief financial officer, today announced the launch of a Spanish-language version of the Department of Financial Services' (DFS) consumer website to better serve Florida's growing Hispanic population. The department used MotionPoint Corporation's proprietary TransMotion(R) technology and service to deploy its Spanish website. "Nearly three million Hispanics call Florida home and need access to information that impacts their financial well-being and future," Gallagher said. "Following the 2004 and 2005 hurricanes, we had the opportunity to help thousands of Spanish-speaking residents, and many asked to get more information on insurance and financial issues in Spanish. My hope is that launching this new technology before the start of the hurricane season will ensure a greater number of Floridians are better protected and prepared if a disaster strikes." Gallagher said that his department is among the first statewide government agencies in Florida to dynamically and comprehensively launch its site in Spanish. The Spanish site can be accessed by clicking on the "En Espanol" tab on the DFS homepage at www.fldfs.com. www.motionpoint.com Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 20. INSURANCE NEWSCAST "Pictures Of The Day" -- Sponsored By:
22. As the Critical Illness Market is Hit by Rising Prices and Negative Publicity, Advisors Need to Look to Income Protection as an Alternative Product to Fulfil Customers' Protection Needs DUBLIN, Ireland--(BUSINESS WIRE)--May 31, 2006--Research and Markets ( http://www.researchandmarkets.com/reports/c37815 ) has announced the addition of "UK Critical Illness and Income Protection 2006" to their offering. Examines the markets for Critical Illness and Income Protection in the UK, looking at the relative sizes of the markets and assessing the future of these protection products Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 23. Investing: Keeping your (many) portfolios in check Mon May 29, 2006 11:14am ET - By Linda Stern - WASHINGTON (Reuters) - It's not unusual for a working couple to have six or seven different investment portfolios, even if they don't have very much money. There's his IRA and 401(k), and her IRA and 401(k), and perhaps a couple of Roth IRAs and a college savings account or two and a family emergency fund. Maybe that makes you feel like a Gates or Buffett, but they have one advantage you don't (besides the money): A stable of financial professionals making sure that all of their moving pieces work together. Unless you've turned all the family investments over to the same tax-savvy and investment-skilled adviser, you probably have to do some of that coordinating yourself. It's worth the effort. You can save a significant amount of money in transaction costs and taxes if you view all the family portfolios as one big space instead of lots of little ones. © Reuters 2006. All Rights Reserved. Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 24. EMPLOYERS DIRECT SELECTS GUIDEWIRE POLICYCENTER AND GUIDEWIRE BILLINGCENTER TO SUPPORT EFFICIENCY AND GROWTH LAS VEGAS, NV, May 23, 2006 – Employers Direct Insurance Company, a specialty California workers’ compensation insurance carrier, and Guidewire Software®, a leading provider of solutions to property and casualty and workers’ compensation insurers, today announced that Employers Direct has chosen to complete its adoption of the entire Guidewire Insurance Suite with its selection of Guidewire PolicyCenter™ and Guidewire BillingCenter™. www.EmployersDirect.com www.guidewire.com Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 25. M&A driving Global Enterprise adoption of IT Infrastructure Library London, 25 May 2006 Results from research undertaken by independent market analyst Datamonitor (DTM.L) into global enterprise adoption of ITIL (IT Infrastructure Library) initiatives, reveal M&A is the principal catalyst driving enterprise ITIL-based implementations forward. Datamonitor's CIO Agenda MarketWatch study also uncovered several surprises. For instance, while regulatory compliance has been cited as instigator of numerous IT reengineering projects, in this sample, it proved only a minor factor. Furthermore, while much attention has been directed to the importance of documenting ROI (return on investment) to green light IT initiatives, it was only a minor factor here. Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 26. Insurity and Microsoft Align to Advance Insurance Software and Services LAS VEGAS (ACORD/LOMA Insurance System Forum) – May 22, 2006 – Insurity, a ChoicePoint® (NYSE: CPS) company, and Microsoft today announced a multiyear strategic alliance to more closely align future software development, along with joint marketing and sales activities globally. The partnership will accelerate the pace of business-process innovation by combining Insurity’s industry-leading Insurance Decisions solutions and services with the latest Microsoft technology, including the Microsoft .NET Framework and Windows Server System. Insurers, third party administrators and managing general agencies will benefit from the alliance through the combination of Insurity’s industry-technology expertise powered by a Microsoft platform that increases the strategic value of their existing IT investments, while reducing complexity and cost. About 100 Insurity customers – including many top-20 carriers – are expected to migrate to Insurity’s Insurance Decisions platform, based on Microsoft .NET architecture, during the next two years. www.insurity.com www.choicepoint.com Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 27. AIR Worldwide Provides Modeling Support for Mexico Earthquake Catastrophe Bond BOSTON, May 23, 2006 – AIR Worldwide Corporation (AIR) performed the risk modeling and analysis in support of an innovative catastrophe bond issued by the Mexican government’s finance ministry. This is the first catastrophe bond risk analysis performed by AIR for a sovereign government and marks the first time a Latin American government has turned to the capital markets to cover potential catastrophe costs. AIR’s risk analysis supported a three-year, $450 million transfer of risk that included the $160 million cat bond. The bond provides catastrophe cover to the Mexican government for financing emergency costs if an earthquake of moment magnitude 7.5 or 8 hits regions near Mexico City or along the Pacific Coast. “The bond issued by the Mexican government is a landmark transaction that can be used as a model for catastrophe loss protection for developing countries in Latin America and around the world,” said S. Ming Lee, executive vice president at AIR. “The Mexican Ministry of Finance deserves recognition for driving this strategic approach to emergency management preparedness, which will provide Mexico with the financial resources to respond immediately after a devastating earthquake.” The Mexican government decided to embark on the catastrophe bond after an extensive earthquake risk analysis conducted by AIR. AIR quantified the value of the entire inventory of structures in the country, including residential, commercial, public buildings, hospitals, and schools. Using its earthquake model for Mexico, AIR estimated both potential costs resulting from future earthquake scenarios and costs the government could incur from emergency response. “The modeling analysis for Mexico was different from the typical analysis we conduct for the insurance industry,” continued Lee. “Since the bond is designed to help the government respond with emergency services and rebuilding in the immediate aftermath of a devastating earthquake, it is parametric, which means that it triggers immediately following an earthquake that meets the defined parameters. There is no threshold for losses, which is a more common structure for cat bonds issued by insurers and reinsurers.” www.air-worldwide.com Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 28. ACORD Releases Single Business Data/Information Dictionary LAS VEGAS, NV - May 22, 2006 - ACORD released today the first component of the ACORD Standards Framework, an initial content release (ICR) of the Single Business Data/Information Dictionary. The Dictionary was one of the objectives outlined in the ACORD Standards Strategy (March 2006). The Dictionary brings together three groups of information: The insurance business terms from three ACORD domain standards (Life & Annuity, Property & Casualty/Surety, and Reinsurance/Large Commercial). The business terms from the IBM intellectual property contribution. A portion of the harmonized data dictionary released by ACORD, eEG7 and CSIO last year. This is the first release of the Dictionary and contains over 10,000 identified business terms, definitions and mappings. Where possible, there has been a preliminary data harmonization to a single element name and definition for concepts such as "coverage", "party", or "claim". The goal is to issue the full harmonized dictionary in the third quarter for validation and review by the membership. www.acord.org Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 29. Fiserv and Scene Genesis Team Up to Deliver a Claims Solution Linking Appraisers, Carriers and Repair Facilities Fiserv Customers to Eliminate Faxes and Emails, Speed Settlements LAS VEGAS (ACORD/LOMA Insurance System Forum)—May 22, 2006–Fiserv Insurance Solutions, a unit of Fiserv, Inc. (Nasdaq: FISV), and Scene Genesis Inc. (SGI) today unveiled a strategic alliance to provide integration for processing auto and property insurance claims more efficiently. The combination of Fiserv and Scene Genesis solutions enables insurance carriers to eliminate faxes, emails and physical mail between the field and claim offices. www.scenegenesis.com www.fiserv.com Return to Headlines - - Print Article / Read Entire Article / E-Mail Article
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