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1. Highmark and Independence Blue Cross Agree to Combine - Combination Will Generate Over $1 Billion in Economic Benefits PITTSBURGH and PHILADELPHIA, March 28, 2007 /PRNewswire via COMTEX/ -- The boards of directors of Highmark Inc. and Independence Blue Cross (IBC) announced today that they have approved an agreement to combine the two organizations. The new company, which will maintain dual headquarters in Pittsburgh and Philadelphia with regional presence and operating locations throughout the Commonwealth, will generate more than $1 billion in economic benefits to provide access to affordable, high-quality health care coverage for Pennsylvanians. Combining the substantial talents and resources of both organizations will also allow the new company to better serve its customers and providers and to help improve health care quality. The new, combined company will have the resources to:
Copyright (C) 2007 PR Newswire. All rights reserved Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 2. Pennsylvania Insurance Department Comments on Proposed Merger of Independence Blue Cross and Highmark Public comment will be accepted on any plan that may be submitted HARRISBURG, Pa., March 28 /PRNewswire-USNewswire/ -- Acting Pennsylvania Insurance Commissioner Randy Rohrbaugh today reacted to the announcement from the boards of Highmark Blue Shield and Independence Blue Cross of their intent to combine their operations. "Our highest priority is to see that consumers would be protected in this type of transaction," Rohrbaugh said. "As soon as any filings are presented to us, the public portion of those filings will be made publicly available -- but we have not received any filings related to this transaction as of yet. "Because we want the review process to be as transparent as possible, we would most likely hold informational hearings in different regions of the commonwealth. We do believe that public input would be a necessary and integral part of our evaluation process." Rohrbaugh noted that current state law limits the scope of the department's authority to review transactions of this type for the Blue plans. In a typical insurance company transaction, the department would look at specific standards related to solvency, business plans and management, as well as the impact the transaction would have on competition and the consumer. Under current law, Pennsylvania's Blue Plans and fraternal benefit societies are exempted from those standards of review at the holding company level. "That is why Governor Rendell strongly supports the passage of House Bill 112 and Senate Bill 550 -- measures that will ensure the appropriate level of oversight in transactions such as this," Rohrbaugh said. "Adding the Blue Plans to the Insurance Holding Companies Act, will enhance our examination of these types of transactions and strengthen our ability to protect health insurance consumers." Once available, consumers can view plan applications and supplemental documents online, log onto the Insurance Department's website http://www.insurance.state.pa.us. Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 3. PA Hospitals Respond to IBC-Highmark Merger Announcement HARRISBURG, Pa., March 28 /PRNewswire/ -- The Hospital & Healthsystem Association of Pennsylvania (HAP) today issued the following statement from President and CEO Carolyn F. Scanlan in response to today's announcement by Highmark Blue Cross Blue Shield and Independence Blue Cross on their plan to consolidate or merge: "Pennsylvania hospitals and health systems have been monitoring the potential for a merger of Highmark Blue Cross Blue Shield and Independence Blue Cross. Such a merger has significant implications for hospitals and, more importantly, for the patients and communities that hospitals serve. "Like others, hospitals and health systems have many questions and concerns about the proposed merger or consolidation and its implications for Pennsylvania, as we have witnessed insurer consolidation across the nation. "Hospitals and health systems will participate in the regulatory approval processes at the state and federal levels. We will be looking for detailed analyses and information about the proposed new company to enable informed participation on the impact of the proposed merger on communities, patients, hospitals, and other health care providers across the state. An open and transparent process by all parties in regard to all aspects of the merger is essential." www.haponline.org Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 4. Capital BlueCross Comments on Proposed IBC Takeover HARRISBURG, Pa., March 28 /PRNewswire/ -- Capital BlueCross issued the following statement in response to the proposed takeover of IBC by Highmark, approved by their respective Boards of Directors today: "We at Capital BlueCross are focused on our mission and service to our members in Central Pennsylvania and the Lehigh Valley, a region we have served for over 70 years. Because we are part of the fabric of this region, we are recognized as the health insurance leader by the people of the communities we serve. In fact, Capital BlueCross successfully competes in our communities every day against companies headquartered outside of this region, by delivering customer service that is rated among the best in the nation, at outstanding value. This development does nothing to change our mission or our commitment to our communities. "Just the leak of the possibility of a takeover led to a firestorm of protest by others, including immediate calls for investigation from the Pennsylvania legislature. Given the inevitable adverse effects of the proposed combination, we expect it will be scrutinized for its long-term effect on, among other things, health care prices, costs and access; competition; and local control over health care decisions. Experience demonstrates that the state's health care system provides affordable, high quality health care when there is more competition, not less. "Like everyone else, we don't yet know all of the details of the proposed takeover plan, but we will study them carefully when they are made public and take whatever actions are appropriate consistent with our mission and to protect the interests of our constituents." www.capbluecross.com Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 5. CUSO Financial Services, LP Makes Record Profit Distribution to Credit Union Limited Partners SAN DIEGO--(BUSINESS WIRE)--CUSO Financial Services, LP, (CFS) a full-service broker dealer and registered investment adviser that provides customized investment and insurance solutions exclusively to the credit union industry, announced today that a record $4 million of its $6 million 2006 net income was distributed to credit union limited partners on March 2. CFS, founded in 1997, is a limited partnership that shares ownership with many of the 100+ credit unions with which it works through the sale of limited partnership units. CFS has seen both its revenue and profits increase consistently since inception and dramatically so over the past four years. As an example of this solid performance by a company whose star continues to rise, CFS’ annual revenue increased from $47 million in 2003 to $79 million in 2006 while net profits jumped from $1.7 million in 2003 to $6 million in 2006. Partnership distributions have risen from a $750,000 share of ’03 profits to a $4 million allocation of 2006 net income. This increase in distributions represents a 68 percent annual growth rate. The strong performance in 2006 can be attributed to the credit unions’ continued adoption of the “keystone components” that CFS has advocated for several years. Keystone components are the best practices that CFS sees as being common to the most successful credit union investment programs. www.cusonet.com Return to Headlines - - Print Article / Read Entire Article / E-Mail Article
6. Lloyd's of London 2006 pretax profit 3.7 bln stg Thu Mar 29, 2007 2:41AM EDT LONDON, March 29 (Reuters) - The Lloyd's of London insurance market said on Thursday that it made a pretax profit of 3.7 billion pounds ($7.27 billion) in 2006, thanks to high prices and low catastrophe claims. Lloyd's, which made a pretax loss of 103 million pounds in 2005 after being hit by huge claims from the string of major hurricanes that hit the United States and Caribbean, swung back to profit due to buoyant market conditions after the storms. "2006 was an excellent year for Lloyd's and the market has performed well. During the year, we benefited from strong underwriting conditions and an exceptionally low level of catastrophes," Lloyd's Chairman Peter Levene said in a statement. Lloyd's [LOL.UL], the world's oldest and largest insurance market, said it would be unrealistic however to expect such low levels of claims this year and that the market must concentrate on its focus of underwriting for profit. The market said it saw its central assets, which are crucial to underpinning its credit ratings, rise by nearly 15 percent in 2006 to 1.5 billion pounds. ($1=.5090 Pound) (C) Reuters 2007. All rights reserved. Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 7. White and Williams Coverage Attorney Addresses the Difficulty of Predicting the Outcome of Coverage Disputes Randy J. Maniloff of Philadelphia's White and Williams, LLP has published "Coverage Litigation And The Magic 8-Ball; Difficulties In Predicting The Outcome Of Coverage Disputes" in the March 27th issue of Mealey's Litigation Report: Insurance. The article explores reasons why the body of coverage case law is so enormous and growing larger by the day. It also examines the various and sometimes conflicting rules of insurance policy interpretation. The article concludes that, as a result of this combination of factors, it has become increasingly difficult to predict the outcome of coverage disputes. The article was presented at the Brokers and Reinsurance Markets Association Committee Rendezvous in Naples, Florida on March 26. A copy of the article can be accessed here. http://www.insurancebroadcasting.com/IN0327cm.pdf. For additional information, contact Randy J. Maniloff at 215-864-6311 or Maniloffr@whiteandwilliams.com. Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 8. NAVA Reports Fourth Quarter Variable Annuity Industry Data RESTON, Va.--(BUSINESS WIRE)--NAVA announced today fourth quarter results for the variable annuity industry. The combined net assets of U.S. variable annuities increased 5.1 percent to $1.36 trillion at the end of the fourth quarter, as compared to the end of the third quarter of 2006. Net assets increased by 14.3 percent relative to the fourth quarter one year ago. Total variable annuity premium flow, or total sales, for the fourth quarter was $40.4 billion, a 17.2 percent increase from fourth quarter 2005. Fourth quarter net flows of $5.2 billion show an decrease of 10.3 percent from the fourth quarter 2005 net flows of $5.8 billion. The mix in premiums for the fourth quarter showed 59.1 percent of the total premium flow was in qualified plans and 40.9 percent in non-qualified plans. Total premium flow, or total sales, for 2006 was $157.3 billion, an 18.2 percent increase from the prior year’s 12-month sales of $133.1 billion. Net Flows for 2006 were $29.8 billion, or 18.9 percent of total flows. This reflects a 45.4 percent increase in net flows as compared with last year. The mix of net assets by asset class showed that $819.4 billion, or 60.4 percent of assets, was held in equity accounts at the end of last year. This is an increase of 18.5 percent as compared with 2005 when $691.0 billion, or 58.2 percent of assets, was held in equity accounts. The mix also shows that $257.8 billion, or 19 percent of assets, was held in fixed accounts, which is a decrease of 4.7 percent as compared to 2005. Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 9. Health Care Reconsidered: Options for Change A Two-Part Series on Health Care Policy Part One: Affordability and Effectiveness Tuesday, April 10, 2007 9:30 a.m. - 12:30 p.m. The Brookings Institution Falk Auditorium 1775 Massachusetts Avenue, NW Washington, DC WASHINGTON, March 28 /PRNewswire-USNewswire/ -- The Hamilton Project at the Brookings Institution was launched last year to advance an economic strategy to restore America's promise of opportunity, prosperity and growth- and inject new policy options from leading thinkers across the country into the national economic debate. To further this mission the project has commissioned significant work in the area of health policy and will release two sets of papers this year. On April 10, The Hamilton Project will launch the first of the two-part series focusing on making health care more affordable while improving its effectiveness. A panel of experts from the business, labor and policy communities, including Andrew Stern, president of the Service Employees International Union (SEIU), and Ronald Williams, Aetna chief executive officer and president, will address the challenges of providing affordable, quality health care in the United States. A second panel will highlight three new discussion papers addressing key areas of health care reform. Proposals include improving the affordability of insurance and effectiveness of health spending through income-related cost sharing; policy options for fixing the Medicare prescription drug benefit, including simplifying consumer choice, improving benefit design and closing the gap or "donut hole" in coverage that consumers now face; and restructuring the financing of preventive health care services to promote health and improve efficiency. Robert E. Rubin, former treasury secretary and Hamilton Project advisory council member, will provide opening remarks. The second health care policy forum in the series is scheduled for summer 2007 and will highlight a range of policy proposals for achieving the goal of universal health care coverage for all Americans. RSVP: Please call the Brookings Office of Communications, 202-797-6105, or visit http://www.onlinepressroom.net/brookings/ A Brookings Institution Hamilton Project Forum Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 10. AARP Teams With Iowa Business, Industry, Education and Labor to Spur Action on Health Care, Long-Term Financial Security Diverse groups join national debate on critical domestic issues; New AARP Survey shows strong support for change DES MOINES, Iowa, March 28 /PRNewswire-USNewswire/ -- America's largest advocacy organization, with 38 million members including 380,000 Iowans, today announced its national, grassroots issues campaign is beginning in Iowa as part of the January 2008 caucuses. AARP CEO Bill Novelli, former Iowa Governor Terry Branstad (R-Lake Mills), and leaders of the state's business, industry, education and labor communities joined together at the Iowa State Capitol to launch "Divided We Fail, Together We Can Do Anything." The diverse "Divided We Fail" alliance will work together in Iowa over the next 10 months, leading up to the caucuses on January 14, 2008, to urge action from elected leaders on the issues of health and long-term financial security. This is the first grassroots operation publicly underway as part of AARP's national effort with the Business Roundtable and Service Employees International Union (SEIU). More information about these efforts can be found at the newly launched website, http://www.dividedwefail.org and on the Iowa AARP webpage at http://www.aarp.org/ia. Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 11. INSURANCE COMMISSIONER STEVE POIZNER ORDERS AUDIT OF STATE COMPENSATION INSURANCE FUND (SCIF) Poizner orders top-to-bottom review, citing “serious governance and management issues” Commissioner issues strong recommendations for structural and operational changes Sacramento - Today, California Insurance Commissioner Steve Poizner ordered an Audit of the State Compensation Insurance Fund (SCIF), amid serious questions regarding the corporate governance and management of the organization. The audit follows the firing of two key members of the fund just days ago. “Today, I am ordering an Audit of SCIF,” said Commissioner Poizner. “This audit will be an independent, thorough, top-to-bottom examination of SCIF to include a review of matter relating to the recent dismissals, as well as all aspects of the organization and its governance.” In addition to the Audit, Commissioner Poizner also issued strong directives to SCIF regarding both structural and operational changes. The Commissioner called upon SCIF to respond to his call to action within 14 days or face formal regulatory action, which could include a public hearing. “California’s businesses and injured workers depend upon SCIF to serve as a healthy, functioning organization,” said Poizner. “Anything less than full public accountability and transparency is wholly unacceptable.” Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 12. Moody's: Five Principles for Reinsurance Sidecars New York, March 28, 2007 -- Reinsurance sidecars and catastrophe bonds are both used to transfer catastrophe risks to the capital markets. But sidecars differ from catastrophe bonds when it comes to risks to investors, according to a new report by Moody's Investors Service, and no where is this more evident than in Florida, where recent legislative reforms will impact sidecars and cat bonds very differently. As the report explains, such impacts can only be understood in light of the core differences between these two types of vehicles. "Sidecars differ from cat bonds in three important ways," notes Kevin Lee, author of the report. First, sidecars reimburse their sponsors for actual losses incurred -- that is, on an indemnity basis -- whereas most cat bonds today employ non-indemnity, index triggers. Secondly, sidecars allow for equity interests, which means direct negotiation between equity investors and sponsors. Thirdly, sidecars generally use quota share arrangements, while cat bonds use excess-of-loss agreements, to transfer risk from sponsors to investors. "Each of these differences," notes Mr. Lee, "has important ramifications for investors -- and for Moody's rating approach." The report illustrates these differences by introducing five principles for analyzing sidecars: - Principle #1: Cat modeling is done by math, business is done by people. Sidecars are a mix of both. - Principle #2: Structural features regulate behavior. - Principle #3: Sidecars and cat bonds are not the same when it comes to risk. - Principle #4: "Risk of change" in premium levels affects sidecars. - Principle #5: Cat curves embed 'risk on risk': Our Four C's. For those new to sidecars, the report also includes a sidebar on these vehicles and how Moody's rates them. Furthermore, investors of traditional cat (re)insurance companies and sidecar participants alike will find Principle #5 useful, as it describes Moody's approach to evaluating a company's catastrophe portfolio and modeling practices. The report is titled "Reinsurance Sidecars: Moody's Five Principles." Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 13. Citigroup expands in China Thu Mar 29, 2007 8:39am ET BEIJING (Reuters) - Citigroup Inc.(C.N: ) plans to double its number of branches in China this year to more than 30, Chairman and Chief Executive Charles Prince said on Thursday. Citi was among the first batch of four foreign banks that won approval on March 20 to incorporate as local banks, allowing them for the first time to do business with Chinese households, which have amassed $2 trillion in savings. Prince, who is on an Asian tour, told reporters that local incorporation was a milestone. "We intend to accelerate our network expansion with the aim of reaching more than 30 outlets by the end of 2007," he said. "China is crucial to our long-term ambitions." Citigroup, which now has 16 outlets on the mainland, has said it plans to hire about 1,000 staff in China this year, taking its workforce to around 4,000. Prince declined to comment on media reports that Citigroup might cut 15,000 jobs as shareholders demand better performance and a higher stock price. Prince also declined comment on Dutch bank ABN AMRO Holding NV (AAH.AS: ), which is in talks to be taken over by Britain's Barclays (BARC.L: ). Citigroup had been seen by analysts as a possible counterbidder for ABN AMRO, but sources familiar with the matter said on Wednesday that Barclays had hired Citi as an adviser, effectively ruling the U.S. group out of contention. Citigroup, one of the first foreign banks to do business in China more than a century ago, has already said it plans to open a branch in Hangzhou, the capital of thriving Zhejiang province, next month. Prince reaffirmed that Citigroup was "very interested" in China's brokerage sector, which is highly regulated by the government. As well as its own branches in China, Citi has minority stakes in two regional lenders, which Prince said were making good progress. Last year, a consortium led by Citigroup bought control of Guangdong Development Bank (GDB) in a $3.1 billion deal, beating rival bidders including Societe Generale (SOGN.PA: ). In 2003, it bought a nearly 5 percent share of Shanghai Pudong Development Bank (600000.SS: ) for $72 million, a stake it aims to increase to nearly 20 percent this year. Citigroup China Chief Executive Richard Stanley told reporters that staff training would be a priority at GDB, which accumulated a high ratio of non-performing loans under its previous owner, Guangdong's provincial government. © Reuters 2007. All Rights Reserved. Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 14. Chesnara to explore cash return By John Bowker LONDON, March 29 (Reuters) - British life assurer Chesnara Plc (CSN.L: ) will look at returning cash to shareholders if it has not made an acquisition by the end of 2007, Chief Executive Graham Kettleborough said on Thursday. The company -- which specialises in the management of closed life funds -- has failed to successfully execute an acquisition strategy for most of the past two years, and has admitted that the time to hand the cash back is approaching. "If we haven't done one (an acquisition) by the end of this year, shareholders should be asking questions," Kettleborough said in a telephone interview. "We are closed book managers, not cash managers, so we are not going to invest in anything speculative," he added. "We will have to look at how we can return cash in the second half." ((Reporting By John Bowker, editing by Mike Elliott/David Cowell, ($1=.5090 Pound) (C) Reuters 2007. All rights reserved. Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 15. New Data Confirms That Doctors Were Price-Gouged By the Insurance Industry During This Decade NEW YORK, March 28 /PRNewswire-USNewswire/ -- Americans for Insurance Reform (AIR) announced today the release of Stable Losses/Unstable Rates 2007, a new study that examines fresh insurance industry data to determine what caused the most recent medical malpractice insurance crisis for doctors. The full study can be found at: http://insurance-reform.org. The study by AIR, a coalition of over 100 consumer and public interest groups representing more than 50 million people, finds that the insurancecrisis that hit doctors between 2001 and 2004 was not caused by claims, payouts or legal system excesses as the insurance industry claimed. Rather, according to the industry's own data:
Study author J. Robert Hunter, Director of Insurance for the Consumer Federation of America, former Federal Insurance Administrator and Texas Insurance Commissioner, said: ''This report is proof positive that the huge medical malpractice insurance rate increases between 2000 and 2003 were not related to a jump in claims. Rather, as in the mid-1970s and mid-1980s, they were simply the result of insurance industry economics, supplemented by insurer hype intended to divert attention away from the mismanagement by insurers that caused the crisis.'' Co-author Joanne Doroshow, Executive Director of the Center for Justice & Democracy, said, ''This report shows that the real reasons medical malpractice insurance rates rose so dramatically for doctors during this decade was market forces and dropping interest rates, not because of a sudden increase in medical malpractice jury awards or payouts. These periodic insurance crises will continue to occur unless lawmakers take steps to reform the insurance industry. State lawmakers must strengthen state insurance regulatory laws and Congress must repeal the decades-old McCarran Ferguson Act, which exempts the insurance industry from anti-trust laws." Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 16. State Street Appointed as Sole Global Custodian for the Largest Life Insurance Company in Mainland China State Street To Provide Full Suite of Investment Services to China Life’s Foreign Currency Insurance Funds that Invest Overseas State Street’s Appointment is the First Offshore Insurance Investment Fund Awarded as a Jointly Serviced Mandate in Mainland China BEIJING & HONG KONG--(BUSINESS WIRE)--State Street Corporation (NYSE: STT), the world’s leading provider of financial services to institutional investors, today announced that it has been appointed by Bank of China (BOC) to jointly service the foreign currency insurance funds of China Life Insurance Company Limited (China Life), the largest life insurance company and one of the largest institutional investors in Mainland China. The appointment is significant given that China Life’s foreign currency insurance funds are one of the largest among all insurance companies in Mainland China. www.statestreet.com Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 17. Are You Protected Against Floods? MetLife Auto & Home® provides tips and resources about flood damage WARWICK, R.I.--(BUSINESS WIRE)--With the arrival of spring, hard rains fall and snow-packs melt, increasing the likelihood of flooding across the country. Flooding is nature’s most common natural disaster, affecting tens of thousands of homeowners and renters nationally each year and causing over $2 billion in property damage annually in the United States, according to the latest statistics from the Federal Emergency Management Agency (FEMA). “People are often surprised to discover that flooding could happen to them, and, unfortunately, some are unaware that water damage due to flooding isn’t covered by standard homeowners insurance policies,” said Franklin Reid, assistant vice president, who oversees MetLife Auto & Home’s flood program. “Flooding occurs in all 50 states in the United States, and up to 25 percent of all flood claims actually come from people living in low-to-moderate-risk zones. However, flood insurance is usually relatively inexpensive, and can easily be purchased for a home or business, to cover both your building and contents, subject to policy limitations.” For more information about flood preparation, MetLife Auto & Home has established a flood web site, available at www.metlifeflood.com. The comprehensive site was developed with information from FEMA, and is designed to help educate consumers about flood risks and promote awareness of the benefits of flood insurance. In addition to providing flood insurance protection basics, the site provides consumers with the ability to view sample policies and determine whether their communities participate in the National Flood Insurance Program. Additional flood preparedness information is available at www.lifeadvice.com (choose “Disaster Preparation”). This material is based on information from the National Weather Service, the Federal Emergency Management Agency, and the American Red Cross. In addition to offering ways to prepare for a flood, the site provides information on what to do after a flood occurs, what types of damages are generally covered under an insurance contract, and helpful links offering additional resources. Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 18. Willis Group Holdings Limited Announces Accelerated Share Repurchase of $400 Million of Common Shares NEW YORK--(BUSINESS WIRE)--Willis Group Holdings Limited (NYSE: WSH), the global insurance broker, announced today that it has entered into an agreement to purchase approximately 10.2 million shares of its common stock from J.P. Morgan Securities Inc. using an accelerated stock repurchase program for an initial purchase price of $400 million. This repurchase is part of Willis’ previously announced stock repurchase program. www.willis.com Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 19. Phillip Wasserman of Phillip Roy Financial announces Equity Index Annuity white paper SARASOTA, Fla.--(BUSINESS WIRE)--Phillip Wasserman, one of the nation’s leading experts in life insurance and annuities, and president of Phillip Roy Financial Services, one of the leading firms in retirement income planning and sellers of annuities and life insurance, is announcing a new white paper on equity index annuities. "Equity index annuities are one of the fastest growing segments of the insurance and financial planning markets and can be very complex. Most of the articles written on them are by people who don’t have any understanding of how they work. They can be very effective in preserving capital and increasing one’s savings to combat inflation. The newest ones also allow for greatly increased income. This white paper will help planners and the public alike to understand and make use of equity index annuities,” Phillip Wasserman says. 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. WeatherBill Expands Financial Capability; Announces Risk Capital Agreement with Nephila Capital SAN FRANCISCO, March 29 /PRNewswire/ -- WeatherBill, the world's only online weather risk management service, announced today that the company has entered into a financial risk agreement with the Nimbus Weather Fund, which is managed by Nephila Capital, a leading fund manager in catastrophe reinsurance and weather risk. Under the terms of the agreement, Nimbus will provide risk capacity and collateral to WeatherBill to support Weather Contracts sold to customers. Following the announcement, WeatherBill automatically expanded limits for individual Weather Contracts and will now price contract limits in a range from $1 up to $50 million or more. "Offering contracts across a comprehensive range of limits allows us to fully serve all businesses that may be vulnerable to financial impact from weather," said Friedberg. "Agriculture, Construction, Energy, Sports & Leisure, Transportation, Travel and Retail will benefit immediately from the increased size of secure coverage from our new relationship with one of the world's leading weather risk funds." WeatherBill, Inc.provides the only online service that allows businesses to protect revenue and control costs from the impact of bad weather. Founded by David Friedberg and several other former key members of the Google team, WeatherBill, Inc. is funded by New Enterprise Associates and Index Ventures.www.weatherbill.com Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 22. Tri-City Mental Health Center Pays More Than $550,000 to Settle False Claims Allegations, Reports U.S. Attorney BOSTON, March 28 /PRNewswire-USNewswire/ -- A not-for-profit, mental health and social services provider with several facilities located in suburbs north of Boston has paid $556,687 to the state Medicaid Program and the Massachusetts Department of Mental Health (DMH) to settle allegations they billed the program for services they allegedly never rendered. In addition to payment of the settlement, Tri-City Mental Health Center has entered into a compliance program under the terms of today's agreement with United States Attorney Michael J. Sullivan, Massachusetts Attorney General Martha Coakley, and the Office of Inspector General for the U.S. Department of Health and Human Services (OIG-HHS). Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 23. Harris Launches the Harris Health Savings Account CHICAGO, March 28 /PRNewswire/ -- Harris is pleased to announce the launch of the Harris Health Savings Account (HSA), which provides individuals with High Deductible Health Plans a way to use tax-deferred dollars to pay for qualified medical expenses. Health Savings Accounts differ from traditional medical flexible spending programs in a few ways:
Detailed information on the IRS rules governing HSAs, including contribution limits and a list of qualified medical expenses can be found at the U.S. Treasury website at: http://www.treas.gov/offices/public-affairs/hsa Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 24. AHIP Collaborates with Centers for Disease Control On Pandemic Planning Tool for Health Insurance Plans Pandemic Checklist Part of Broad Preparedness Effort among Health Insurers WASHINGTON, March 28 /PRNewswire-USNewswire/ -- The Centers for Disease Control and Prevention (CDC) recently released and posted to the government's pandemic flu web site (http://www.pandemicflu.gov) a new planning tool for health insurers that it developed in collaboration with America's Health Insurance Plans (AHIP) and its member companies. Modeled after similar checklists for the workplace, communities, and the health sector, the pandemic checklist is part of a broad preparedness effort within the health plan community that has included:
The just released final version of the "Health Insurer Pandemic Influenza Planning Checklist" has been available to insurers in draft as they have developed and refined their preparedness plans. It provides step-by-step guidance for companies to use as they constantly update their plans for:
"Events that occurred early in this new century -- the 9/11 attacks on our nation, the subsequent anthrax attacks, Hurricanes Katrina and Rita, SARS, and the emergence of a new strain of avian influenza -- prompted a renewed emphasis within our community on preparedness for the full range of disasters," said AHIP President and CEO Karen Ignagni. "In the face of a disaster, health insurers must be ready to serve their members and work with public health agencies and key stakeholders to promote the best response possible," she said. Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 25. Health Access Program Provides $6 Million in Uninsured Care in 2006 Community practitioners provide nearly 476,000 patient visits in high-need areas ROSEBORO, N.C., March 28 /PRNewswire-USNewswire/ -- When family physicians Amy and Shawn Howerton see new patients in the Sampson County town of Roseboro, the first question they usually get is: "Are you staying?" It's not an idle question in Roseboro, which, like many rural communities in North Carolina, has pressing medical needs but a shortage of health care providers. The Howertons arrived from Ohio in September 2005, attracted by the family atmosphere of the town and by the Community Practitioner Program, which recruits health professionals to high-need areas in the state. "When we arrived, we found that people had struggled to get access to basic health care here for several years," said Dr. Amy Howerton. "People are afraid to come see us and form a relationship at times because it seems that everyone leaves Roseboro. We're pleased that we're able to provide care to patients in their own hometown." In 2006, participants in the Community Practitioner Program - developed and directed by the N.C. Medical Society Foundation (NCMS Foundation) - provided nearly 476,000 primary care patient visits in underserved communities like Roseboro, a 12 percent increase over the previous year. Their care for the uninsured alone was valued at nearly $6.4 million. www.ncmsfoundation.org www.bcbsnc.com/foundation Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 26. Stockholders of Horizon Health Corporation Approve Merger Agreement with Psychiatric Solutions, Inc LEWISVILLE, Texas--(BUSINESS WIRE)-- Horizon Health Corporation (NASDAQ: HORC) (“Horizon Health”) today announced that its stockholders, at a special meeting held on March 28, 2007, voted to adopt the merger agreement pursuant to which Psychiatric Solutions, Inc. (NASDAQ: PSYS) (“PSI”) will acquire Horizon Health in a transaction valued at approximately $426 million, including the assumption or repayment of approximately $105 million of debt. Under the terms of the merger agreement, Horizon Health stockholders will receive $20 in cash for each share of Horizon Health common stock they hold. www.horizonhealth.com Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 27. Blue Cross and Blue Shield of Florida Offers Full Suite of Health Care Research Tools in Spanish JACKSONVILLE, Fla., March 29 /PRNewswire/ -- With Florida's population growing more diverse, the ability to communicate with people from different cultures has become an important part of serving customers. As a result, Blue Cross and Blue Shield of Florida (BCBSF) is now offering a full suite of decision support tools through WebMD, including Healthcare Advisor, Physician Selection Advisor, Hospital Advisor and Treatment Cost Advisor in Spanish to accommodate the needs of Hispanic Floridians enrolled in BlueOptions and BlueChoice products. www.bcbsfl.com Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 28. Enrollment Hits 18,000 for Blue Care Network's Healthy Blue Living Product SOUTHFIELD, Mich., March 29 /PRNewswire/ -- The new Healthy Blue Living(SM) health care product is a hit in Michigan. In a little over five months, more than 250 employers ranging in size from large to small have chosen Blue Care Network of Michigan's innovative health care product. About 18,000 Michigan employees now have coverage that rewards people for living healthier and can save employers an average of 10 percent in premiums. The product became available October 2006. "Judging by the enthusiastic response to Healthy Blue Living, many employers are eager for a product that emphasizes wellness and employee accountability," said Jeanne Carlson, BCN president and CEO. "Employees and their physicians are embracing the concept as well." Healthy Blue Living encourages employees and their spouses to commit to healthy lifestyles with support from their primary care physicians and BCN. In addition to better health, the rewards for that commitment are lower copayments and deductibles. www.MiBCN.com Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 29. Strategic Management Issues to Be Discussed at Life Insurance Conference ATLANTA, SCHAUMBURG, Ill., WASHINGTON and WINDSOR, Conn., March 28 /PRNewswire/ -- Organic growth, stratification of service and outsourcing for bottom-line results are just some of the strategic management issues to be discussed at the Life Insurance Conference, April 16-18, 2007 at the Westin Peachtree Plaza in Atlanta, GA.. Organic growth is difficult for the mature life insurance industry to achieve. The Life Insurance Conference will discuss growth strategies gleaned from other industries and show how they can be applied to the insurance arena. Often, a small percentage of a life insurance company's producers/agents provides the majority of business. Many companies are now grouping producers into high and low-volume segments. The conference will show how some companies provide preferential service to high-volume producers and how such segmentation can succeed across the industry. In addition, attendees will learn the latest trends in outsourcing and how effective use of this tactic can help an insurance company to focus on its core business issues and increase the bottom line. Sponsored by LIMRA, LOMA, SOA and ACLI, The Life Insurance Conference is the fastest-growing, most comprehensive forum in the industry. More than 600 attendees will convene in Atlanta to examine current issues and develop strategies for the future. For more information, visit http://www.loma.org/lifeconference.asp. Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 30. Governor Rendell Says PHMC Will Promote Expansion of Children's Health Insurance Program to Cover All Kids Pennsylvania Trail of History(R) sites to feature special admission for children on April 14 HARRISBURG, Pa., March 29 /PRNewswire-USNewswire/ -- Governor Edward G. Rendell today announced that the Children's Health Insurance Program (CHIP) is partnering with the Pennsylvania Historical and Museum Commission (PHMC) to raise awareness of the newly-expanded CHIP program.Under the partnership, PHMC will offer special admission to children at Pennsylvania Trail of History(R) sites on Saturday, April 14, 2007. The sites will admit two children free with the purchase of one adult admission. CHIP enrollment information will be available at all sites. www.governor.state.pa.us Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 31. Genworth Financial Announces Key Business Realignment Actions to Accelerate Growth and Achieve Cost Efficiencies RICHMOND, Va., March 29 /PRNewswire-FirstCall/ -- Genworth Financial, Inc. (NYSE: GNW) today announced several strategic steps to align high-growth business platforms and better position the company globally as the financial security company of choice for distributors and consumers. The company expects to make approximately $100 million of investments in these initiatives over two years. In addition, the company has identified approximately $220 million of cost savings and efficiencies over the same period. Net after-tax savings to the company are expected to be approximately $75 million over two years, and are consistent with the company's previously stated earnings outlook for 2007. Investment initiatives and details of efficiencies include:
Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 32. Imperial Systems, Inc. to Acquire Assets of Springfield Coach Industries Group, Inc. and Coach Financial Services, Inc. COOPER CITY, Fla.--(BUSINESS WIRE)--Coach Industries Group, Inc. ("Coach Industries") (OTCBB:CIGI), which offers an array of financial services to commercial fleet operators, including vehicle financing and specialty insurance products, today announced that Imperial Systems, Inc. (the “Purchaser”) has reached a definitive agreement to acquire the assets of Springfield Coach Industries Group, Inc. (the “Company”) and Coach Financial Services, Inc. (“CFS” and together with the Company collectively the “Seller”), both wholly-owned subsidiaries of Coach Industries Group, Inc. (“Coach”) for a total of $2.5 million, subject to terms satisfactory to Laurus Master Funds, LLC (“Laurus”). All of the $2,500,000 received from the Seller will be allocated to Laurus from Coach Industries, the principal creditor, thereby leaving a principal balance of $4,337,209 owed by the Coach Industries to Laurus. www.cigi.cc Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 33. State Auto’s Entry Into Texas Complete COLUMBUS, Ohio--(BUSINESS WIRE)--State Automobile Mutual Insurance Company, Columbus, Ohio, today completed the purchase of the Beacon Insurance Group of Wichita Falls, Texas. With the acquisition, Texas becomes State Auto’s 29th state of operation. Beacon writes approximately $50 million in direct written premium through more than 350 independent insurance agents in Arkansas and Texas. The transaction was announced on December 18, 2006. www.StateAuto.com Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 34. New Security Benefit Variable Annuity Allows Advisors to Offer A Fee-based, Low-cost, Simplified Retirement Investment Product TOPEKA, KS, March 27, 2007 -- An innovative new, fee-based variable annuity product designed specifically for representatives, financial planners and registered investment advisors was introduced today by Security Benefit Corporation. Marketed under the EliteDesignsSMbrand, the contract combines a low-cost variable annuity featuring an optional return of premium death benefit and optional state-of-the art living benefit.1 “For advisors looking to expand their fee-based business, this product will provide a means to do that within the variable annuity space,” said Doug Wolff, vice president, Business Development, Security Benefit. “With its low cost and transparency, EliteDesigns is ideal for the current compliance-rich environment.” www.securitybenefit.com Return to Headlines - - Print Article / Read Entire Article / E-Mail Article 35. Intellectual Property Insurance Services to Offer Increased Policy Limits LOUISVILLE, Ky., March 29 /PRNewswire/ -- Intellectual Property Insurance Services Corp. (IPISC) announced today that it now has policy limits available up to $5 million per claim and in the aggregate. This is an increase from available limits of $3 million. With new limits of $5 million, IPISC is now more able to provide value to larger companies.www.ipisc.com Return to Headlines - - Print Article / Read Entire Article / E-Mail Article
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