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1. NYMEX and Gallagher Re to Launch Property Damage Risk Futures and Options Contracts NEW YORK and LONDON, Dec. 14 /PRNewswire-FirstCall/ -- The New York Mercantile Exchange, Inc. (NYMEX; NYSE: NMX) and Gallagher Re, the specialist reinsurance intermediary and advisory firm, today announced that they have reached an agreement whereby NYMEX will list for trading and clear Property Damage Risk contracts, subject to regulatory approval by the Commodity Futures Trading Commission (CFTC). These contracts will allow the 'real time' electronic trading of property damage risk exposures, including hurricane risk through a cleared futures exchange. The contracts will be financially settled against the 'Re-Ex Index', which will be created by Gallagher Re. The contracts will be traded and cleared electronically through the NYMEX ClearPort(R) and CME Globex(R) platforms, virtually around-the-clock. Property Claims Services(R) (PCS(R)), internationally recognised as the market authority on property losses from catastrophes in the US, has agreed to supply the data which will be used to create the 'Re-Ex Index' upon which the contracts are based. Additionally, the 'Re-Ex Index' will be provided to NYMEX on a daily basis to state those losses greater than US$25m as estimated by PCS(R). The record losses caused by Hurricanes Katrina, Rita and Wilma in 2005, in particular, have been the catalyst in creating a well documented shortage of insurance and reinsurance capacity for 'Natural Perils' exposures, particularly hurricane risk. The requirement for protection against such catastrophe risk is at a record high due to the combination of changing weather patterns, recent loss activity and the consequent change in industry peril modelling, rating agency criteria and solvency requirements. The Property Damage Risk contracts will provide access to trading of these risks in the capital markets in the form of a brand new cleared derivative instrument which is not currently available. For the first time insurance and reinsurance risk will be actively traded on a 'real time' basis through an exchange offering clearing house facilities. It is intended that the contracts will create a liquid market environment for the trading of property damage risk and facilitate the introduction of new capacity into the market. Larry Tucker, Managing Partner of Gallagher Re's UK based operations and leader of the project team said, "Despite the relatively benign hurricane season this year, demand for property damage cover continues to vastly outstrip supply and the way in which reinsurance contracts are currently negotiated, which has remained virtually unchanged for decades, serves only to frustrate that process. Against this backdrop, the market has seen an increasing presence of the capital markets, particularly hedge funds, within the reinsurance space challenging existing methods by providing cover directly such as collateralised reinsurance contracts and cat bonds. "These Property Damage Risk contracts have been designed to bring the transparency, immediacy and liquidity of the capital markets to the insurance sector; providing effective ways of protecting against property catastrophe risk and providing the supplier with a more efficient mechanism in the form of ISDA-based contracts. At the same time, the contracts will provide participants with the opportunity to trade a new asset class which has little or no correlation to other exchange traded position or asset classes." James E. Newsome, NYMEX President and Chief Executive Officer, "NYMEX has a proven track record of bringing new risk management products to the marketplace. We see the Property Damage Risk futures as a complement to the energy complex which will provide an additional avenue for our customers to hedge their risk from an ever-changing climate. NYMEX is equally excited about the potential to create a viable and innovative trading medium for these products." Commenting on its agreement with Gallagher Re, Gary Kerney, Assistant Vice President of PCS(R), said, "We are delighted to support this development by providing PCS data, which is recognised as one of the most respected reflections of insured US property catastrophe insurance losses. We believe that the Property Damage Risk contracts' goal of capturing the convergence between the reinsurance and capital markets can help satisfy the requirements for greater transparency and efficiency in the reinsurance marketplace." A patent application is pending for the business method used in trading and the contracts themselves. Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 2. MMC Amends By-Laws to Provide for Majority Voting in Director Elections NEW YORK--(BUSINESS WIRE)--Marsh & McLennan Companies, Inc. (MMC) today announced that its board of directors has amended MMC’s by-laws to adopt a majority voting standard for the election of directors. The new standard is effective immediately and will apply to MMC’s annual meeting of stockholders in May 2007. In an uncontested election of directors, a director nominee will be elected or re-elected only if the number of votes cast “for” exceeds the number of votes cast “against” the nominee. In contested elections, where there are more nominees than board seats to be filled, directors will continue to be elected by a plurality of the votes cast. To support the operation of MMC’s majority voting standard, the board of directors has also amended MMC’s guidelines for corporate governance. Under the amended guidelines, an incumbent director who fails to receive a majority vote when standing for re-election must offer to resign. The board will determine within 90 days whether to accept the resignation and will publicly disclose its decision. Stephen R. Hardis, MMC’s independent chairman, said: “The adoption of a majority voting by-law is the latest in a series of governance enhancements implemented by the board over the last two years.” The amended versions of MMC's by-laws and guidelines for corporate governance are available at www.mmc.com. Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 3. The Price is Wrong: Most Americans Significantly Underestimate Health Care Costs, Survey Shows Former White House Health Policy Advisor Says More Price Transparency Needed NORTH RICHLAND HILLS, Texas--(BUSINESS WIRE)--More than 70 percent of U.S. consumers say they know little or nothing about how much their doctors charge compared to other doctors, according to a survey sponsored by HealthMarkets, a leading provider of affordable health and life insurance to individuals, the self-employed and small businesses. When it comes to Americans estimating the cost of health care, usually, the price is wrong – because the estimate is too low. Most adults (65 percent) think that, in general, a high-priced doctor in the U.S. charges two or three times as much for the same procedure as a low-priced doctor. In fact, a review of HealthMarkets data for several selected procedures shows that some doctors charge nearly 10 times what others charge for the same procedure. “Most Americans have no idea how much health care costs or how much it varies from one provider to another,” HealthMarkets President and CEO William J. Gedwed said. “If consumers are going to effectively manage their health care dollars, they need to know how much things will cost them.” The survey found few people have a sense of how much health care can cost, or how much costs can vary from one doctor to another. For example:
The survey found strong demand for tools that provide greater transparency for health care services. Almost 70 percent of people said it would be useful to have online data comparing health care providers. Roy Ramthun, a former senior health policy advisor at the White House, said a lack of price transparency is one reason health care costs rise faster than inflation year after year. “As consumers watch health care costs rise, they are eager to take more control over their health care decisions and spending,” Ramthun said. “Fortunately, some companies, such as HealthMarkets, are making great strides in helping consumers shop wisely for health care.” HealthMarkets offers price and quality transparency tools that provide members detailed information on more than 430,000 medical professionals, 4,000 hospitals and medical centers, and 26,000 other resources, such as labs, MRI centers, medical equipment providers and home health care centers. HealthMarkets tools also provide price transparency for more than 20,000 procedures and services, from a routine check-up to a specialist visit to a surgical procedure. No other insurance company offers more price transparency information. The tools, offered in the company’s CareOne Select Plans, are being rolled out nationwide and currently are sold in Alabama, Arizona, Georgia, Illinois, Michigan, Missouri, Mississippi and Texas. They are sold by HealthMarkets subsidiaries The MEGA Life and Health Insurance Company and Mid-West National Life Insurance Company of Tennessee. Other findings of the survey include:
“Health care is taking a bigger and bigger bite out of family budgets, forcing people to make very difficult decisions,” Gedwed said. “We are committed to making health care as affordable as possible, and price transparency is one step in the right direction. We know that when consumers have better information, they become more prudent health care shoppers.” www.healthmarkets.com Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 4. Prudential Responds to ‘Retirement Revolution’ with Innovative, Patent-Pending Guaranteed-Income Product IncomeFlexSM Defined Contribution Plan Feature Delivers Lifetime Income, Flexibility, and Growth Potential NEWARK, N.J.--(BUSINESS WIRE)--With American workers turning 60 at the rate of one every eight seconds, Prudential Retirement, a business of Prudential Financial (NYSE:PRU), has responded to the pending “retirement revolution” by introducing Prudential IncomeFlexSM, a new patent-pending defined contribution plan feature that combines the security of lifetime income with the opportunity to capture market upswings and the flexibility to control fund assets. With Prudential IncomeFlex, plan participants select from five distinct investment funds—ranging from conservative to more aggressive—and can transfer all or part of their defined contribution plan assets into their chosen fund to receive the product’s benefits. Each fund has a “market value” that fluctuates with performance as the participant builds an “income base” that provides the foundation for a guaranteed lifetime paycheck. “As America’s 76 million Baby Boomers edge closer to retirement, they need to determine how best to convert their hard-earned retirement savings into a ‘paycheck’ that will last throughout their retirements. IncomeFlex addresses these changing expectations and needs of Baby Boomers by offering a guaranteed lifetime income solution with exceptional flexibility and control,” said John Y. Kim, president, Prudential Retirement. www.prudential.com Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 5. Fidelity sued over retirement plan management fees Thu Dec 14, 2006 12:08pm ET BOSTON (Reuters) - Fidelity Investments is being sued by workers at Deere & Co. (DE.N: ) who claim the world's largest mutual fund company charged them "unreasonable" fees and expenses to manage their retirement savings. Four Deere workers sued their employer plus Fidelity, which acts as a trustee and record keeper for the farm equipment maker's 401(k) plan. The plaintiffs have asked a federal judge to rule that this suit, filed in U.S. District Court for the Western District of Wisconsin last week, can include thousands of other participants in the 401(k) plan as part of a class action. The suit charges the defendants assessed plan participants expenses that "were, or are, unreasonable and/or not incurred solely for the benefit of Plan participants." They argue that administrative fees and expenses can weigh on participants' returns and that "even seemingly small reductions in a participant's return in one year may substantially impair his or her accumulated savings at retirement." The suit also charges that Deere and Fidelity engaged in so-called revenue sharing where the mutual fund firm administering the plans shares some the fees it charges with the customer. The Deere employees said they were not told about the revenue sharing. Millions of Americans are relying more heavily on 401(k) plans to save for retirement as company pension plans are becoming increasingly scarce. Fidelity is a powerhouse in the industry, administering 401(k) plans for roughly 10.9 million people and managing roughly $662.3 billion in record-kept 401(k) plans. Spokesman Vin Loporchio of Fidelity said, "We disagree with many of the factual and legal assertions in the complaint and we intend to defend against the suit vigorously." Privately-held Fidelity as a rule does not comment on ongoing litigation and Loporchio said he could not elaborate on what steps the firm may take next. Jerome Schlichter, whose law firm Schlichter, Bogard & Denton filed this suit and has filed others against firms that administer 401 (k) plans, was not immediately available to comment. In the $10 trillion mutual fund industry, Fidelity is generally known for charging what industry analysts have called relatively low fees. © Reuters 2006. All Rights Reserved. Return to Headlines - - Print Article / Read Entire Article / E-Mail Article
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Newsletter In The World For a fraction of the cost of other mediums, INSURANCE NEWSCAST can help build your brand and generate marketing leads within the entire insurance industry, providing three ways for future clients to contact you; via telephone, via e-mail, and via your website. Your company's products and services can be displayed at the top of this newsletter where it is the first thing seen by over 350,000 subscribers - your potential future clients. To request a media kit, send an e-mail to wpodgurski@aol.com call 888-282-1765 or click here to read the media kit online. YOU HAVE MARKETING CHOICES; Trade Shows, Direct Mail, Magazine Ads and Telemarketing, just to name a few. Consider INSURANCE NEWSCAST as a branding and lead-generating supplement to your other marketing efforts. An INSURANCE NEWSCAST ad placement will deliver your message to 350,000 INSURANCE NEWSCAST subscribers identifying your company, products, and services, and providing your telephone number, hyper-linked e-mail address and hyper-linked website URL... and at a fraction of the cost of other marketing options. 6. Food and Commercial Workers Union Leader Raises Concerns over Healthy Americans Act WASHINGTON, Dec. 12 /U.S. Newswire/ -- The president of the 1.3 million member United Food and Commercial Workers Union (UFCW) and the only labor representative serving on the Citizens Health Care Working Group, Joe Hansen, praised Senator Ron Wyden (D-OR) today for his leadership in the effort for health care reform. Both Hansen and Wyden supported recommendations of the Citizens Health Care Working Group (CHCWG) for a complete overhaul of the current system and to provide affordable, quality care for all Americans. The Working Group is a congressionally- mandated, non-partisan citizens panel created under the sponsorship of Wyden and Orrin Hatch (R-UT). CHCWG conducted community meetings in more than 50 locations across the country to tap the values, vision and ideas of a cross section of America. While praising Wyden's commitment to reform, Hansen raised concerns over the potential impact of the Healthy Americans Act on the working middle class. The Wyden-sponsored bill replaces the current employment-based system that provides health care coverage to the majority of working families with an individual mandate that places responsibility for purchasing health insurance on workers and their families. "Working middle class families could have a greater financial burden under the proposed reform than they do under the current system. Affordability is the central issue for working families who are already struggling just to make ends meet. UFCW members cannot support any proposal that could potentially raise costs for workers," according to Hansen. Under the bill's provisions, individuals would be required to purchase private health insurance as employers phased out current health care coverage. Workers would be required to pay premium costs based on family income and could possibly receive a subsidy from the government. Employers would also contribute to funds in each state that would provide the financing mechanism for the new system. Employers currently offering health insurance would have a dramatic reduction in their costs. The complicated formula for setting the premium costs for workers that includes tax deductions as well potential subsidies, however, leaves unclear the financial impact on workers with employment-based plans. "Workers sacrificed millions of dollars in wages in hard bargaining for health care benefits. Workers walked picket lines for months in struggles to protect their health care. This plan ends the employers' obligation for what workers won, and gives the employers a financial windfall without assuring workers that the employers' windfall does not become the workers' burden," said Hansen. The union leader pointed to the work of the CHCWG as a basis for any reform proposal. In September, the Working Group issued essential principles for making health care accessible, quality and affordable health care, including:
"The Working Group principles reflect an American main street consensus on reform. At the center of our reform principles is protecting our families from out-of-control costs that threaten the financial stability of the working middle class. That has to be the starting and ending point for any reform. The Healthy Americans Act raises workers' concerns over the reform measure's impact on their families' budgets," said Hansen. http://www.usnewswire.com/ /© 2006 U.S. Newswire 202-347-2770/ Contact: Jim Papian or Jill Cashen, 202-466-1564, both of United Food and Commercial Workers Union Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 7. Dr. Jacob Hacker Discusses Growing Economic Insecurity at 'The Great Risk Shift' Book Event Author's Bold Plan for Health Care for All Dominates Discussion WASHINGTON, Dec. 13 /U.S. Newswire/ -- Yale University professor and author Dr. Jacob Hacker discussed the growing economic insecurity facing working families yesterday at a packed briefing to talk about his new book, "The Great Risk Shift." The event was sponsored by the Campaign for America's Future. Dr. Hacker's book describes the increased responsibilities corporations and governments have shifted onto the shoulders of individuals regarding health care, retirement, education and recovery from job loss in America. "Our leaders say our economy is strong and getting stronger, but for most Americans it has only grown more insecure," said Dr. Hacker. "They speak about an ownership society, private savings accounts and how we will be free to choose. The ownership society is like offering a lead weight to a drowning man on the assumption that now he will have a real incentive to learn how to swim." Dr. Hacker's book contains a broad outline of a bold, new plan to provide health care coverage for all Americans as a key step to creating an economy that works for working people. With the health care crisis in America driving growing insecurity, Dr. Hacker's proposal would rapidly get all Americans covered. The Campaign for America's Future helped Dr. Hacker develop his health care proposal, which would guarantee choice through either traditional private insurance or a new public system that would provide coverage for all. A complete, detailed version of the plan will be published in January by the Economic Policy Institute as part of their Agenda for Shared Prosperity project. Campaign for America's Future co-director Roger Hickey announced at today's event that his organization is working with a broad range of other groups to move a national debate around Dr. Hacker's plan. Hickey said his goal is to build a groundswell of support for Dr. Hacker's health plan because it is simple, easy to understand, comprehensive and affordable for all. "In an era of growing economic uncertainty, and with more and more risk shifting to individuals and families, now is the time to be talking about a new social contract," said Hickey. "If we want an economy where people are free to take risks and create wealth, we need to make sure people have more, not less, economic security." A post-election analysis by the Campaign for America's Future found that beyond the president's failed war policy in Iraq, the midterm elections were also about growing economic insecurity. Editor's Note: For more information about Dr. Hacker's new book, "The Great Risk Shift," please visit http://www.thegreatriskshift.com. To learn more about Dr. Hacker's health care plan, read his op-ed at http://www.tompaine.com http://www.usnewswire.com/ /© 2006 U.S. Newswire 202-347-2770/ Contact: Toby Chaudhuri or Noreen Nielsen, 202-955-5665, both of the Campaign for America's Future Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 8. Health insurer BUPA to pull out of Ireland DUBLIN, Dec 14 (Reuters) - Global health insurer BUPA is shutting its business in Ireland, the group said on Thursday following a decision by the Irish High Court last month requiring it to make payments to its main competitor. The High Court ruled on Nov. 23 that BUPA would have to make so-called "risk equalisation" payments to the state-owned health insurer VHI to compensate for VHI's older client base. Risk equalisation is a process by which insurers with a higher number of elderly customers who tend to make more claims are compensated by insurers with fewer elderly customers. The Irish government says risk equalisation is necessary to support its policy of charging all policyholders the same irrespective of age or health status. "The government regrets BUPA's decision to leave the Irish market and the loss of jobs resulting from that decision," Minister for Health Mary Harney said in a statement. "BUPA has advised that its members will be covered for the duration of their existing contracts," she added, saying the government acknowledged the concerns BUPA has emphasised for the staff of its Irish operation. BUPA, which entered the Irish market in 1997, said the judgment would have required it to make payments to VHI that would be more than twice BUPA Ireland's estimated surpluses over the same period. "This is a decision taken with considerable regret," Chief Executive Val Gooding said in a statement. Gooding said the group had made extensive efforts over a long period, and in the past week, to find an arrangement that would allow it to remain in the market. "In all of our discussions with the government, we have emphasised consistently that the level of RES payments being proposed would make our Irish business unviable. We have been left with no choice but to close," Gooding said. BUPA Ireland has 300 staff and 475,000 customers. BUPA estimated the cost of withdrawing from Ireland, including legal costs, at 13 million pounds ($25.55 million). © Reuters 2006. All Rights Reserved. Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 9. Commerce Insurance and AAA Southern New England Enter Into Twenty Year Agreement WEBSTER, Mass.--(BUSINESS WIRE)--The Commerce Insurance Company (“Commerce Insurance”) today announced that it has entered into a long-term marketing agreement with AAA Southern New England (“AAA SNE”) that extends the two organizations’ business partnership to a minimum of twenty years, further enhancing the successful relationship that Commerce Insurance and AAA SNE have enjoyed for many years. “This agreement speaks clearly to the quality and strength of the business relationship between Commerce Insurance and AAA Southern New England,” said Gerald Fels, President, Chief Executive Officer and Chairman of the Board of The Commerce Group, Inc. “Our two organizations are making a long-term commitment to each other, and to the many AAA members who will continue to enjoy the benefits of this partnership for a generation or more.” AAA SNE has been an agent of Commerce Insurance since 1984 and the two organizations have sponsored a successful affinity discount marketing program to AAA members in Massachusetts since 1995. Members currently receive a discount of five percent on their Massachusetts automobile insurance premiums written through the program. The program insures more than 500,000 policyholders in Massachusetts of the more than 1.2 million AAA member households in the state. The program is marketed through independent agents who represent Commerce Insurance in Massachusetts, including AAA owned agencies. Under the terms of the agreement, which may extend beyond the initial twenty year term, Commerce Insurance will act as the exclusive underwriter for the AAA Group Marketing Program. For the duration of the agreement, Commerce Insurance will enjoy the exclusive right to sell AAA-branded automobile insurance products and the exclusive use of the AAA Emblem for the purpose of marketing its automobile insurance products in AAA SNE’s Massachusetts operating territory. Beyond Massachusetts, AAA SNE and Commerce Group jointly own American Commerce Insurance Company, which writes similar programs in ten other states throughout the country, primarily through relationships with other AAA organizations. Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 10. Gartner Consulting’s Worldwide IT Benchmarking Group Says Large Organizations Revise IT Spending Forecasts to 2.8% Growth for 2007 STAMFORD, Conn.--(BUSINESS WIRE)--Organizations with more than $1 billion in revenue have reforecast their IT spending increase for 2007 to 2.8 percent, according to a new Gartner Consulting Worldwide IT Benchmark Report. These spending projections are down from research collected by Gartner during the first half of 2006. At that time, IT spending for 2007 was forecast to grow at 6 percent. “A number of factors have combined to force enterprises to lower their IT spending forecasts from the first half of 2006,” said Jed Rubin, director, Gartner Consulting. “Looking back at the distribution of spending in 2006, enterprises spent more to support core business operations. This includes spending to support increasingly complex infrastructure and applications requirements, rising energy costs, regulatory requirements and other non-discretionary spending to keep the business running. This increased ‘run the business’ spending has consumed budget resources that were originally earmarked for more strategic and transformational investment. IT leaders are now planning to optimize their spending in these areas in the year to come.” According to the report, growth and transformation remain the top priorities for enterprises in 2007, but any new investments need to be funded by a significant reduction in existing ‘run-the-business’ spending. To support these priorities, IT organizations will subsequently need to reduce their ‘run the business’ budgets by nearly five percent in 2007. More information on the survey can be obtained by listening to the Worldwide IT Benchmark Service New Trends & Findings for 2007 teleconference: Strategic Performance Management and Measurement:http://www.gartner.com/teleconferences/asset_161183_75.jsp www.gartner.com Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 11. Live 24-Hour Help Line Expanded to Help Uninsured Georgia Residents Obtain Health Coverage Help Line, Free Brochure Detailing Health Care Options Are Part of Campaign to Reduce Georgia's 1.4 Million With No Health Insurance SAN JOSE, Calif., Dec. 14 /PRNewswire/ -- After discovering that nearly one-third of Georgia's uninsured are eligible for government health insurance but aren't enrolled, the Foundation for Health Coverage Education (FHCE) has expanded its Uninsured Help Line (800-234-1317) and other services to offer Georgia residents information about eligibility and facilitate access to available coverage. It is also running public service announcements on local radio stations as part of its informational campaign in Georgia. "Research shows that many Georgians are eligible for health care programs, but they're either unaware of them or need help signing up," said Philip Lebherz, founder of FHCE. "This service provides live counselors to help simplify the eligibility and enrollment process in order to help more people obtain the coverage they need." www.coverageforall.org Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 12. LifeSecure Insurance Company Announces Acquisition of Texas-Based Shell Company Rapidly Increases Access to New Markets BRIGHTON, Mich., Dec. 14 /PRNewswire-FirstCall/ -- LifeSecure Insurance Company today announced the completion of the purchase of Columbia Universal Life, a Texas-based company with licenses to sell insurance products in 41 states and Washington D.C. The purchase price for the transaction was not disclosed. "We are quite pleased to complete this acquisition which will be instrumental in our strategy to expand quickly into other states. This purchase greatly increases the company's access to a much larger number of markets for our long term care insurance product and, very possibly, additional products we may offer in the future," said Lisa Wendt, president and CEO of LifeSecure Insurance Company, in announcing the acquisition. In addition to enabling territorial expansion, Wendt also said that the acquisition will help to establish the company's brand name on a more national scale and most likely lead to additional partnerships with large producer groups which conduct business in many states. LifeSecure Insurance Company exclusively offers a new generation of long term care insurance coverage. The company is focused on providing understandable, affordable coverage and high-levels of customer service and support. LifeSecure's long term care insurance coverage is sold through a statewide network of independent insurance brokers and agents and financial planners. LifeSecure Insurance Company is a wholly owned subsidiary of Michigan Blue Cross Blue Shield. For additional information visit http://www.YourLifeSecure.com. Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 13. Summit Business Media announces the acquisition of Judy Diamond Associates New York, NY, December 13, 2006 – William F. Reilly, Chairman and CEO of Summit Business Media, announced today the acquisition of Judy Diamond Associates (JDA). JDA is a leading provider of information and database tools for the insurance and financial services industries. The company’s product line is based on comprehensive data sets of health insurance and pension plans held by corporations, as well as information on plan sponsors (the companies who offer benefit plans) and the brokers who sell them. Principal products include the American Directory of Group Insurance Plans, Broker/Carrier Market Share Data, The King of Pension Funds and the Employer Identification Number Finder. www.sbmediallc.com www.highlinemedia.com www.wppartners.com Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 14. Commerce Banc Insurance Services Grows Premium Volume to $1 Billion CHERRY HILL, N.J., Dec. 13 /PRNewswire-FirstCall/ -- Commerce Banc Insurance Services, a wholly-owned subsidiary of Commerce Bancorp, Inc., announced today that premium volume for the brokerage has reached the $1 billion milestone. "This is a very significant accomplishment in the life of Commerce Banc Insurance Services," said Commerce Banc Insurance Services Chairman and CEO George E. Norcross, III. "Growing our premium volume to $1 billion is a great tribute to the outstanding work of the Commerce team members who have played a vital role in helping us build our agency. Throughout the past decade, we have grown steadily from a start-up operation in South Jersey to one of the nation's most successful insurance brokerages." During Commerce Banc Insurance Services' first full year of operation in 1997, premium volume reached $180 million. In 1997, the agency was first ranked 58th on Business Insurance Magazine's list of the 100 largest U.S. insurance brokers. In 2006, Commerce Banc Insurance Services was ranked 23rd on Business Insurance's annual list of the 100 largest U.S. insurance brokers based on its 2005 reported revenues. Since its inception, Commerce Banc Insurance Services has expanded steadily by way of strong internal growth and the implementation of a carefully planned acquisition strategy. To date, Commerce Bancorp, Inc. has completed a total of 17 acquisitions. www.commerceonline.com Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 15. REGULATORS ADOPT REO PROPOSAL Reinsurance Evaluation Office Plan Amends U.S. Reinsurance Collateral Requirements SAN ANTONIO (Dec. 13, 2006) – The Financial Condition (E) Committee of the National Association of Insurance Commissioners (NAIC) on Tuesday adopted a proposal from its Reinsurance Task Force, which recommends that the current regulatory framework for the supervision of reinsurance be amended to focus on broad–based risk and credit criteria, and not solely on U.S. licensure status. www.naic.org Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 16. 2006 ‘Judicial Hellholes’ Include West Virginia, South Florida, Southeast Texas and Three Illinois Counties Los Angeles, San Francisco, Philadelphia, Rhode Island, Delaware, New Jersey & Several Other Jurisdictions Also Cited for ‘Unfair and Unbalanced’ Civil Courts WASHINGTON, DC, December 14, 2006 – Naming the entire state of West Virginia, South Florida, Southeast Texas and three notoriously plaintiff-friendly counties in Illinois, the American Tort Reform Foundation (ATRF) yesterday released its annual Judicial Hellholes ® report, shining a bright spotlight on “America’s worst jurisdictions in which to face a lawsuit.” American Tort Reform Association president Sherman Joyce explained to a gathering of reporters in Washington that “Judicial Hellholes are places where judges systematically apply laws and court procedures in an unfair and unbalanced manner, generally against defendants, in civil lawsuits. “What many will find interesting about this year’s report is that the top six Hellholes are in states that recently enacted significant tort reforms, yet a handful of judges are either ignoring those reforms or otherwise abusing their discretion to distort cases in favor of plaintiffs.” Joyce acknowledged that the Judicial Hellholes 2006 report “cites some repeat offenders, but we also single out some first-timers on our ‘Watch List’ and among the ‘Dishonorable Mentions.’ And the report’s ‘Points of Light’ include several jurisdictions that have considerably improved civil justice, particularly when it comes to containing scandalous asbestos litigation.” ATRA general counsel Victor Schwartz noted that the fifth annual Hellholes report highlights several important trends. “Overall, the type of extraordinary and blatant unfairness that sparked the Judicial Hellholes project and characterized the report over the past few years has decreased across-the-board,” Schwartz said. “This improvement is a shared result of shining the spotlight on litigation abuse and the wise corrections by both the judicial and legislative branches of state governments. “Thanks to actions by some local judges and rulings by the Illinois Supreme Court,” continued Schwartz, “perhaps the most encouraging improvement can be found in perennial Hellhole Madison County, Illinois.” “But make no mistake, the danger of regression persists and is very real,” Schwartz cautioned. “New leadership at the organization formerly known as the Association of Trial Lawyers of America has pledged to undertake a massive political and public relations campaign. We’re already seeing a post-election effort to rollback reasonable reforms and undermine the fairness and predictability of our civil justice system. Expect personal injury lawyers to fight for expansions of liability with so-called ‘consumer protection’ lawsuits and public nuisance actions, among other troubling tactics.” Joyce and Schwartz went on to discuss in detail the report’s rationale for citing the various jurisdictions as it does. All those details are available in the full Judicial Hellholes 2006 report posted at www.atra.org. Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 17. AIA APPLAUDS MASSACHUSETTS ASSIGNED RISK PLAN BOSTON, Dec. 13, 2006 – The assigned risk plan being implemented by Massachusetts Insurance Commissioner Julianne Bowler will provide a fair and transparent system for insuring high risk drivers, according to the American Insurance Association (AIA). “The residual market system has become a roadblock to writing auto insurance in the Commonwealth,” said John Murphy, AIA vice president, Northeast Region. “It favors some insurers over others.” Murphy pointed out that the attorney general concluded months ago that the current system does not meet the statutory mandate for a fair and equitable sharing of residual market losses. "AIA looks forward to the implementation of the assigned risk plan in January. It will send an important positive signal that Massachusetts is serious about normalizing its auto insurance system,” added Murphy. “Fixing the residual market by establishing an assigned risk plan is a critical first step in auto reform. AIA believes further reform to re-introduce competition is also needed to create a vibrant auto insurance market that will benefit consumers. We hope Governor Patrick will embrace this effort to give consumers greater price and product choice,” said Murphy. “This plan is the result of years of deliberate planning, hearings and review. It brings Massachusetts in to the mainstream with a system already in place in 43 other states,” added Murphy. www.aiadc.org Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 18. MapInfo® Location Intelligence Keeps James River Insurance One Step Ahead of Storms MapInfo Enables James River to Enhance Response Time to Claims in Aftermath of Hurricane Katrina and Other Natural Disasters TROY, N.Y.--(BUSINESS WIRE)--MapInfo Corporation (NASDAQ: MAPS), the leading global provider of location intelligence solutions, today announced that James River Insurance Company, an Excess and Surplus Lines insurance company, has implemented MapInfo location intelligence solutions to improve its underwriting practices, analyze potential catastrophe patterns and enhance its catastrophe management and claims response practices. James River turned to MapInfo location intelligence to enhance its underwriting practices. With location intelligence, underwriters can look at a specific area or “catastrophe zone” on a digital map, see how much business is concentrated within a 25 mile buffer zone and get a clear, succinct picture of the potential risk. In the aftermath of Hurricane Katrina, MapInfo location intelligence proved invaluable to James River’s underwriting efforts. By downloading the projected paths of a storm from the National Oceanic & Atmospheric Administration (NOAA) and overlaying them on a map with the locations of its insured properties, James River was able to clearly determine the probable losses associated with the event. This practice worked so well that claims adjustors actually got to some locations before the insured or before the agent knew there was a claim. The company also knew from its estimates that it would need to supplement its staff with independent inspectors and adjustors and this early insight enabled James River to strike contracts well before its competition. www.mapinfo.com Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 19. The Ohio Casualty Insurance Company Selects Guidewire ClaimCenter FAIRFIELD, Ohio & SAN MATEO, Calif.--(BUSINESS WIRE)--The Ohio Casualty Insurance Company (Ohio Casualty), headquartered in Fairfield, OH, and Guidewire Software®, a leading provider of solutions to property and casualty insurers, today announced that Ohio Casualty has selected Guidewire’s industry leading ClaimCenter system. Guidewire ClaimCenter will support Ohio Casualty’s end-to-end claims process for personal and commercial lines of business and will replace the company’s existing claims system through a phased deployment over the next 20 to 36 months. www.ocas.com www.guidewire.com Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 20. INSURANCE NEWSCAST "Pictures Of The Day" -- Sponsored By:
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21. Max Re Capital Ltd. to Establish a U.S.-Based Excess and Surplus Lines Platform to Be Headed by Stephen J. Vaccaro, Jr. as President and CEO HAMILTON, Bermuda--(BUSINESS WIRE)--Max Re Capital Ltd. (NASDAQ: MXRE; BSX: MXRE BH) today announced plans to establish a U.S.-based excess and surplus lines platform that will complement the company’s existing insurance and reinsurance operations based in Bermuda and Dublin, Ireland. The proposed new subsidiary, which Max Re Capital intends to launch in the first quarter of 2007, will be named Max Specialty Insurance Company (“Max Specialty”) and will be based in Richmond, Virginia, with regional offices in Atlanta, San Francisco and Philadelphia. www.maxre.bm Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 22. The Hartford Now Selling Personal Insurance Through Independent Agents in West Virginia HARTFORD, Conn.--(BUSINESS WIRE)--More than 1.8 million people live in West Virginia, according to U.S. Census Bureau estimates. Recent data indicates that they drive roughly 1.4 million registered vehicles and reside in some 867,000 houses, condos and apartments throughout the state. To help insure these citizens on the road or in their homes, The Hartford Financial Services Group, Inc. (NYSE: HIG), one of the nation’s leading providers of investment and insurance products, announced that it has entered the personal lines independent agency market in West Virginia. Presence in the market means that drivers, homeowners, and renters in the Mountain State can now look to The Hartford when shopping for personal insurance through an agent. The West Virginia Offices of the Insurance Commissioner officially welcomed The Hartford to the market, noting that another major personal lines carrier in the state is a good thing for consumers and will provide them with more choice. www.thehartford.com Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 23. New Westfield Financial, Inc. Increases Maximum Purchase Limitation and Commences Syndicated Offering WESTFIELD, Mass.--(BUSINESS WIRE)--New Westfield Financial, Inc. (the “Company”), the proposed holding company for Westfield Bank and successor company for Westfield Financial, Inc. (AMEX: WFD), today announced that the subscription offering and community offering portion of its second step conversion concluded on December 12, 2006. More than 2,457 orders from depositors were received in the subscription offering, and more than 305 orders were received in the community offering, totaling 9,861,832 shares. These orders will be maintained by the Company, with interest on subscribers’ funds continuing to accrue until completion of the offering. Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 24. Assured Guaranty Ltd. Announces $150 Million Enhanced Junior Subordinated Debentures Pricing HAMILTON, Bermuda--(BUSINESS WIRE)--Assured Guaranty Ltd. (NYSE:AGO) (“Assured Guaranty” or the “Company”) has announced that its subsidiary, Assured Guaranty US Holdings Inc., has priced its $150 million Series A Enhanced Junior Subordinated Debentures due 2066. The debentures will pay a fixed 6.40% rate of interest until December 15, 2016 and pay a floating rate based on three month LIBOR plus a margin of 2.38% with quarterly resets thereafter. As previously announced, the Company plans to use the proceeds of this offering to repurchase 5.7 million common shares of Assured Guaranty from a subsidiary of ACE Limited. www.assuredguaranty.com Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 25. EmployeeMall Now Offers GuardedID® Anti-Keylogging Software To Protect Its Private and Public Sector Member Employees EDISON, N.J. & BETTENDORF, Iowa--(BUSINESS WIRE)--StrikeForce Technologies (OTCBB:SKFT) and the Fraud Resource Group announced today that EmployeeMall.com is now offering the online identity theft prevention software, GuardedID®, for purchase though its Employee Benefit Discount Program. EmployeeMall, a privately held California corporation, has been providing employee discount programs to both private and public sector employees since 1997. The discount programs act as a complement to existing employee benefit packages and serve to stretch an employee's payroll dollar. “Employee benefits are more than 401ks and health insurance, they can also include discount programs to reward and recognize the value that company workers are delivering on a daily basis,” said Tom Messick, CEO of EmployeeMall. “GuardedID® is an excellent example of a great product that protects employees’ financial and credit standing so the overall benefit to the worker and the organization they are employed by is obvious,” he added. www.strikeforcetech.com www.TrustedCustomer.com Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 26. CCC Information Services Inc. Announces Multi-Year Renewal Agreement With OneBeacon Insurance Group CHICAGO, Dec. 14 /PRNewswire/ -- CCC Information Services Inc. ("CCCIS") announced that OneBeacon Insurance Group has signed a multi-yearagreement to extend access to CCCIS' automated claims tools. OneBeacon is among the top 50 property and casualty insurers in the nation, according to the Ward Group - a national monitor of the American insurance industry - and is rated A (excellent) by A.M. Best. www.cccis.com Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 27. Darwin Professional Underwriters Targets Tech//404(R) for Health Care Organizations Breakthrough Insurance Liability Product Addresses Threats to Network Security and Data Privacy Losses for Health Care Organizations FARMINGTON, Conn., Dec. 14 /PRNewswire-FirstCall/ -- Darwin Professional Underwriters, Inc., (Darwin) (NYSE: DR), a leading specialty insurance company, today announced the expansion of Tech//404(R), an innovative liability product for health care organizations, in response to increasing exposure to network security and data privacy losses. Tech//404 for health care organizations is the first specialty liability insurance product to address the exposures of both technology and enterprise information risk in a single, comprehensive insurance policy. While much attention to date has focused on data theft in technology and financial service companies, other industries, such as health care, are increasing their data risk profile at an alarming rate. With the introduction of electronic medical records (EMR's) and software enabled medical care, hospitals themselves are becoming their own data warehouses with a much greater sensitivity to network intrusions and network interruptions. www.darwinpro.com Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 28. Notice Regarding AEGON Delistings From Frankfurt and Zurich Stock Exchanges THE HAGUE, Netherlands, December 14 /PRNewswire-FirstCall/ -- As previously announced on November 9, 2006, the secondary listing of AEGON N.V. (NYSE:AEG) common shares on the Frankfurt Stock Exchange in Germany and on the SWX Swiss Exchange in Zurich, Switzerland will be discontinued. The last day of trading for AEGON N.V. common shares on both exchanges will be Monday March 12, 2007 and the delisting is immediately effective after this date. AEGON decided to discontinue the listing of its shares on the Frankfurt and SWX Swiss exchanges due to continued low trading volumes. AEGON shares will remain listed on Euronext Amsterdam, the New York Stock Exchange, the London Stock Exchange and the Tokyo Stock Exchange. www.aegon.com Return to Headlines - - Print Article / Read Entire Article / E-Mail Article
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