Author: Farkas Laura

In an area that has been among the brightest spots in the U.S. economy recently, torrential rain and widespread floods in the Midwest are threatening to reverse this. Meat processor Tyson Foods Inc. is temporarily suspending work at two Iowa plants, while farm-equipment maker Deere & Co. was forced by rising rivers to evacuate a… Continue reading Floods in Midwest a Threat to Area’s Economy

According to a new study by Conning Research & Consulting, property/casualty insurers are competing aggressively for the small commercial market, which is worth $95 billion in premiums. “The small commercial market has become increasingly competitive in recent years because more insurers have entered or expanded their footprint in this market,” said Clint Harris, analyst at… Continue reading Conning Study: Regional Carriers Competing for Small Commercial Market, Worth $95B

As the company re-evaluates its business strategy, MBIA Inc. has decided not to contribute the $900 million it raised through the sale of shares in February to its bond-insurance unit. The unit was downgraded from AAA by Standard & Poor’s last week. The holding company will keep the money as it considers options for “supporting… Continue reading MBIA Evaluating Business Strategy, Reconsiders Capital Infusion in Insurance Unit

Lehman Brothers Holdings has demoted its chief financial officer, Erin Callan, and chief operating officer, Joseph Gregory.The company said Herbert “Bart” McDade will take over as president and COO and Ian Lowitt will succeed Callan in the CFO position. Callan and Gregory are expected to stay with the company in different capacities.    The news… Continue reading Top Changes at Lehman’s after Huge Losses

The world’s second-biggest insurance broker, Aon Corp., is in acquisition mode as insurance rates drop, according to Chief Executive Officer Gregory Case.     “Aon is in a very privileged position right now,” Case said yesterday in an interview in Chicago. “We’re going to continue to make acquisitions.”     The biggest insurance brokers are… Continue reading In the Soft Market Aon Sees Acquisition Opportunities

First it was the fishermen in France and Spain who went on strike, protesting the soaring price of fuel. Now tens of thousands of Spanish truck drivers have begun an indefinite strike over the soaring price of diesel, which has risen by 20% this year.    After stopping work at midnight on Sunday, many disrupted… Continue reading Oil Prices Spark Strikes in France, Spain

Around the world inflation worries are heating up and jolting financial markets in the process. On Tuesday, China’s stock market was the latest to feel the blow, with the benchmark Shanghai Composite Index tumbling by 7.7%, to its lowest close this year. The drop came after the government announced steps to remove cash from the… Continue reading Inflation Worries Felt Globally

The acquisition of HBA Insurance Group by Brown & Brown was announced yesterday as the trend toward industry consolidation continues. Miami-based HBA, an agency that places commercial insurance, employee benefits and personal lines coverage, reported $18.6 million in revenues last year. HBA will operate under its own name as a part of Daytona Beach, Fla.-based… Continue reading Another Insurance Acquisition as Brown & Brown Buys HBA

llinois Insurance Director Michael T. McRaith, on behalf of the National Association of Insurance Commissioners (NAIC), testified yesterday before the U.S. House Subcommittee on Capital Markets, Insurance and Government Sponsored Enterprises about H.R. 5840, the Insurance Information Act of 2008.     H.R. 5840 would establish the Office of Insurance Information (OII) within the U.S.… Continue reading NAIC Also Weighs in on Federal Office of Insurance Information; Gives Conditional Support

David A. Sampson, president and CEO of the Property Casualty Insurers Association of America, on Tuesday told a Congressional subcommittee that legislation to establish a federal insurance information office needs additional clarity.      In his testimony before the House Financial Services Subcommittee on Capital Markets, Insurance and Government Sponsored Enterprises, Sampson praised the subcommittee and… Continue reading PCI Wants Further Clarity in Establishing Federal Insurance Information Office