Author: Farkas Laura

The world’s largest insurer, American International Group (AIG), caused a market scare on Thursday as investors worried about its sub-prime exposure and debt exposure, but bounced back later in the day and on Friday when analysts quelled concerns.     “The speculation that AIG had overexposure to sub-prime loans really drove us down hard,” said… Continue reading AIG Stock Dips and Recoups over Sub-prime Effect on Profits

With the devastating effects of the wildfires in Southern California, A.M. Best Co. has begun to assess the potential financial impact this event may have on the property/casualty and reinsurance industry. While awaiting information from affected entities, A.M. Best is evaluating potential market share exposure based on a number of different industry loss scenarios. While… Continue reading A.M. Best Comments on Potential Impact of California Wildfires on the P/C Industry

The House on Thursday passed a revised bill to provide health insurance for 10 million children, once again defying a veto threat from President Bush. But supporters did not have enough votes to override the promised veto.The bill was approved by a vote of 265 to 142, less than the two-thirds needed to override a… Continue reading House Passes a Revised SCHIP Bill; President Says It’s More of the Same

In the San Diego community of Rancho Santa Fe, where the median home price is $2.4 million, American International Group Inc (AIG), the world’s largest insurer, provides a Wildfire Protection Unit in which a fire-retardant is sprayed on homes threatened by fire. “What we’re trying to do here is provide our policyholders an additional level… Continue reading High-end AIG Clients Have Additional Level of Service, Wildfire Protection

Countrywide, the nation’s largest mortgage lender, reported its first quarterly loss in 25 years in the third quarter on $2.27 billion in mortgage losses and write-downs and soaring credit-loss reserves. The lender posted a net loss of $1.2 billion, or $2.85 a share, compared with year-earlier net income of $648 million, or $1.03 a share.… Continue reading First Quarterly Loss for Countrywide, Plan to Return to Profitability Underway

The Hartford Financial Services Group, Inc. one of the nation’s largest diversified financial companies, today reported third quarter 2007 net income of $851 million, or $2.68 per diluted share. The Hartford’s core earnings in the third quarter of 2007 were $1.06 billion, or $3.33 per diluted share. In the third quarter of 2007, net realized… Continue reading Hartford Posts Increase in Third-Quarter Earnings

Washington Mutual, Inc. on Thursday announced it will provide special assistance to help customers and residents living in federally declared disaster areas affected by the fires in Southern California.    The company’s disaster relief program includes alternate loan payment plans and suspension of late charges and credit reporting on loans. Customers affected by the fire… Continue reading WAMu to Provide Financial Assistance to Help So CA Residents, Customers

The wildfires ravaging large swaths of Southern California are likely to cost insurers between $900 million and $1.6 billion, making them among the most expensive in the region’s history, according to analysis by Risk Management Solutions (RMS), the world’s leading provider of products and services for catastrophe risk management. If the wildfires continue to spread… Continue reading RMS Estimates CA Wildfires Could Cost Insurers Up to $1.6 Billion

Bipartisan legislation introduced by Rep. Doris Matsui (D-Calif.) and Rep. Mario Diaz-Balart (R-Fla.) will provide a financial incentive to states who adopt tougher building codes, a concept supported by the Property Casualty Insurers Association of America (PCI). The Safe Building Codes Act of 2007 will not only encourage smarter and stronger construction that can withstand… Continue reading PCI Supports Bipartisan Building Codes Legislation

The Bush administration, looking for a compromise on State Children’s Health Insurance Program (SCHIP), shifted its position on a major area of disagreement with Congress over a children’s health-insurance bill. Health and Human Services Secretary Michael Leavitt said the administration would be willing to support letting states cover health-care for children in families earning as… Continue reading Administration Looking for Compromise on Kids Health Insurance Bill