Author: Farkas Laura

House Majority Whip Rep. James Clyburn (D-S.C.) and Sen. Susan Collins (R-Maine) addressed 1,200 independent insurance agents and brokers at the Independent Insurance Agents & Brokers of America’s (the Big “I”) Legislative Conference & Convention last week.    Clyburn discussed the current financial crisis and the economic stimulus package. “We kept small businesses in mind….and… Continue reading Federal Insurance Regulation Among Issues Addressed at IIABA Conference

On Friday a Florida appeals court upheld a state regulator’s order suspending Allstate Corp from writing new insurance policies in Florida. In January the state’s Office of Insurance Regulation (OIR) suspended Allstate, stating it had not fully complied with a subpoena to testify about its property insurance business. Allstate immediately appealed and won a stay… Continue reading Allstate Suspension in FL Upheld by Appeals Court

According to a source familiar with the matter, U.S. private equity firm TPG and other investors are closer to striking a deal to invest around $5 billion in U.S. thrift Washington Mutual. The announcement could come as early as today. According to the report, the investment looks like it could be both a common- and… Continue reading WaMu Close to Receiving $5B in Investment Amid Heavy Mortgage Losses

The Wall Street Journal reported today that following criminal-fraud convictions of four former General Re executives earlier this year, federal prosecutors are pressuring Berkshire Hathaway Inc. to replace the chief executive of its reinsurance subsidiary, General Re Corp. According to people familiar with the matter, the removal of Joseph P. Brandon as CEO of General… Continue reading Berkshire Pressured to Replace CEO of Subsidiary Gen Re

In an interview in Spain’s “El Pais” newspaper published on Sunday, Former Federal Reserve Chairman Alan Greenspan state that there is more than a 50 percent chance the United States could go into recession. Yet, according to Greenspan, the U.S. has not yet entered recessionary state marked by sharp falls in orders, strong rises in… Continue reading Greenspan Tells Spain’s “El Pais” Newspaper U.S. Not In Recession Yet

Former President UBS AG and British investor Lugman Arnold is pushing for a break-up of the bank after the Swiss-based company posted $37.7 billion in debt securities write-downs, erasing more than half its market value in the past year.    Luqman Arnold’s activist-shareholder campaign for the UBS to break up marks a rematch with the… Continue reading UBS Former President Pushes for Bank Break-up Amid Losses

The National Association of Insurance Commissioners (NAIC) issued a press release yesterday in response to recent statements attributed to Marc Racicot, president of the American Insurance Association. The following is the release: “High-paid insurance lobbyists consistently criticize and attempt to undermine state insurance regulators for what they consider to be slow filing processes,” said Sandy… Continue reading NAIC Responds to AIA President Racicot

Government data indicates that for the third consecutive month U.S. employers cut payrolls, cutting 80,000 jobs in March, the biggest monthly job decline in five years as the economy headed south.    The Labor Department revised the first two months of the year’s job losses to a total of 152,000 from a previous estimate of… Continue reading US Sees 80,000 Job Losses in March, Biggest Decline in Five Years

Yesterday at the Senate Banking Committee the chief executives at Bear Stearns and JP Morgan Chase said Bear Stearns could not have been saved without the financial aid from the Federal Reserve, and that failing to rescue it would have been a disaster for the markets and the economy.     “The consequences would have… Continue reading Senate Committee Hears Fed’s Defense of Bear Stearns Deal

The weakening economy and credit crunch will have a muted impact on property/casualty insurers, Dr. Robert P. Hartwig, president of the Insurance Information Institute, told the Casualty Actuarial Society Ratemaking Seminar attendees.    In a general session, Hartwig noted that despite the slowdown in the U.S. economy, the property/casualty industry will be somewhat cushioned from… Continue reading Report: U.S. Economic Problems Should Have Muted Impact on Property/Casualty Insurers