The Senate plans to vote today on the Genetic Information Nondiscrimination Act, which would make it it illegal for employers and insurance companies to deny applicants jobs and health care coverage because DNA tests show they are genetically disposed to a disease. Supporters of the Act said the House also is likely to give quick… Continue reading Bill to Ban Genetic Discrimination Up for Vote
Author: Farkas Laura
Allstate Posts Sharp Decline in Profits
The nation’s largest publicly traded home and car insurer, Allstate Corp, reported a whopping 77 percent drop in first-quarter net income, affected by write-downs in its investments and larger-than-expected catastrophe losses. Northbrook, Illinois-based Allstate said it was forced to write down the value of fixed-income securities by $347 million due to instability in the global… Continue reading Allstate Posts Sharp Decline in Profits
Drop in Income for Travelers, Too
Travelers Cos. reported first-quarter net income of $967 million, or $1.54 a shares compared with $1.09 billion, or $1.56 a share a year earlier, an 8 percent on a 12 percent dip in investment income, although the insurer did boost its operating earnings guidance for the year. Travelers Chairman and Chief Executive Jay Fishman said,… Continue reading Drop in Income for Travelers, Too
First-Quarter Profit Down for Aetna
Hartford, Connecticut-based Aetna Inc. posted a decline in first-quarter profit but membership growth and higher premium rates pushed the health insurer’s revenue higher, surpassing expectations on Wall Street. According to Aetna, earnings for the period amounted to $431.6 million, or 85 cents per share, in the three months ended March 31 compared with year-ago earnings… Continue reading First-Quarter Profit Down for Aetna
BB&T Insurance Services to Buy UnionBanc
The nation’s seventh largest insurance brokerage, BB&T Insurance Services, announced an agreement to purchase California-based UnionBanc Insurance Services Inc., a subsidiary of Union Bank of California, N.A. Terms of the deal were not disclosed. The purchase would extend Raleigh, North Carolina-based BB&T Corporation’s insurance operations in California, where it already has a presence through wholesale… Continue reading BB&T Insurance Services to Buy UnionBanc
Safeco Placed on Ratings Review
Acquisitions such as the Liberty Mutual’s purchase of Safeco Corp — and especially those with 51-percent premiums as is the case in this purchase — may come with yet more unexpected consequences. For example, based on the agreement in principle for the acquisition of Safeco by Liberty Mutual, A.M. Best Co. has placed Safeco and… Continue reading Safeco Placed on Ratings Review
Are More Insurance Company Sales, Acquisitions on the Horizon?
Might Liberty Mutual Group’s $6.2 billion purchase of Safeco Corp mean that more sales and acquisitions to come in the insurance sector? Yes, according to Matthew Josefowicz, director of the insurance practice at research and advisory firm Novarica. “Although property/casualty insurers had their second strong year in 2007 in terms of underwriting results, achieving top-line… Continue reading Are More Insurance Company Sales, Acquisitions on the Horizon?
Liberty Mutual Purchase of Safeco Has Ripple Effect
Liberty Mutual Group of Boston’s $6.2 billion purchase of Seattle, Washington-based Safeco Insurance will mean the city of Seattle will lose a Fortune 500 corporate giant, an 85-year-old iconic headquarters building that towers over the University District (sold two years ago, which some say was a portent of things to come), and jobs on both… Continue reading Liberty Mutual Purchase of Safeco Has Ripple Effect
Liberty Mutual to Buy Safeco for $6.2B
Today Liberty Mutual Group announced that it would buy property and casualty insurer Safeco for $6.2 billion in a deal that would make Liberty Mutual the fifth-largest U.S. property and casualty insurer. Each share of Safeco will be exchanged for $68.25 cash, nearly a 51 percent premium over Safeco’s closing stock price of $45.23… Continue reading Liberty Mutual to Buy Safeco for $6.2B
Multibillion Bid for Australian Insurer Extended
Australia’s largest property and casualty insurer, QBE Insurance Group Ltd., has extended its A$7.7 billion ($7.3 billion) takeover offer for Insurance Australia Group Ltd. through May 5. Insurance Australia has been a target for takeover by QBE CEO Frank O’Halloran after it posted three straight years of declining profits. QBE’s offer, comprised of cash… Continue reading Multibillion Bid for Australian Insurer Extended