Author: Farkas Laura

Auto insurance premiums in New York are on the rise again after two years of declines, despite fewer accidents and a drop in auto travel due to pain at the gas pump. New York drivers, already paying the second-highest premiums in the nation and dealing with unprecedented gasoline prices, are seeing red – and not… Continue reading NY Auto Rates Surge Again

The number of ailing banks that have been put on probation continues to grow, according to the Federal Reserve and the Office of the Comptroller of the Currency, two of the primary bank regulators in the nation.     The regulators have issued memorandums of understanding to shaky banks – more this year so far… Continue reading Feds Put More Banks on Probation

Standard & Poor’s Ratings Services has placed its ‘BBB+’ counterparty credit rating on Aon Corp. on CreditWatch with negative implications, following the announcement that Aon has “signed a definitive agreement to acquire unrated, U.K.-domiciled (Bermuda incorporated) reinsurance and risk intermediary Benfield Group Ltd.”    “The rating action reflects the uncertainty regarding the transaction’s effects on… Continue reading S&P Places Aon on CreditWatch/Negative

While surplus lines insurers outperformed the property/casualty industry in underwriting and operating performance in 2007, the softening market and more aggressive competition portend deterioration in profitability as premium levels decline. Absent a catastrophe that curtails the incursion of standard market insurers and the new offshore market, the surplus lines industry’s market share is expected to… Continue reading A.M. Best Special Report: Surplus Lines Results Remain Strong, As Competitors Grab at Market Share

Tomorrow, the the U.S. Census Bureau will release its annual estimate of the number of people without health insurance, and the figure is almost certain to be part of the upcoming election landscape. And, according to study, Americans who lack health insurance will spend about $30 billion out of pocket on medical care this year,… Continue reading Uninsureds to Spend $30B on Health Care, Census Bureau to Release Study Tuesday

While looking for a broader solution to high business costs that are causing doctors to leave New York, Governor David Paterson has decided to freeze medical malpractice insurance rates for a year. The freeze heads off a scheduled surcharge due in June 2009 that could have increased some physicians’ rates by as much as 30… Continue reading NY Governor Freezes Malpractice Rates for One Year

Tropical Storm Fay continued to soak Florida on Friday, making its third landfall in the Sunshine State in five days, accompanied by heavy rain and 45 mph winds. As of then, catastrophe modelers did not have estimates of insured losses, but most agreed that the storm would not reach hurricane status as it continued its… Continue reading FL Claims Still Unknown as a Result of Fay

A Michigan Court of Appeals ruling on Friday to prohibit the use of credit-based insurance scoring could increase insurance premiums and have a negative effect on consumers, says the Property Casualty Insurers Association of America (PCI) in a press release sent out today.    The PCI strongly disagrees with the decision in the Insurance Institute… Continue reading PCI: MI Ruling Against Credit-Based Scoring May Result in Higher Rates

Vanessa Wittman has been named New York-based Marsh & McLennan Cos. Inc.’s (MMC) executive vice president and CFO, the third person named to the position in three years. A spokesperson for MMC says Wittman succeeds Matthew B. Bartley, who was named CFO of MMC in September 2006 and now is leaving the company. Bartley succeeded… Continue reading Marsh & McLennan Names New CFO

According to a joint economic study by Sonecon L.L.C. and the American Enterprise Institute, natural catastrophe legislation that is pending Congressional vote, if approved, would cost taxpayers billions of dollars and displace smoothly operating private and reinsurance arrangements should the U.S. be buffeted by another heavy hurricane season like the one witnessed in 2005. The… Continue reading Study Says Proposed Catastrophe Legislation Could Cost Taxpayers Billions