August 9, 2017
The Federal Emergency Management Agency (FEMA) has extended the deadline for policyholders to respond to its offers under the Superstorm Sandy flood insurance claims review process. Lack of responses Last month, FEMA sent out a letter notifying policyholders, many of whom had been offered money from the claims review, but had yet to respond, that their cases would become inactive if they did not...
August 2, 2017
On Tuesday, August 1, 2017, Delaware Governor John Carney signed into law House Substitute 1 for House Bill 80 (HS 1 for HB 80), a consumer fairness bill that targets unfair discriminatory practices by automobile and homeowners insurance companies to determine premium costs. “Insurance rates should be fair,” stated Delaware Insurance Commissioner Trinidad Navarro in a press release issued by the...
August 2, 2017
Wells Fargo will reimburse $80 million to car loan borrowers who were wrongly charged by the bank for insurance, it said late Thursday. The 570,000 borrowers had car loans with Wells Fargo but, because “there was no evidence” that they had car insurance, the bank would buy insurance on their behalf and bill them for it. The insurance was called CPI, or collateral protection insurance, protecting...
July 20, 2017
Insurance giant Farmers has been ordered to refund money, pay a penalty, and change its pricing practices in Minnesota by Insurance Commissioner Mike Rothman after the state’s Commerce Department found that the company charged higher auto insurance premiums to drivers who did not own their homes. Auto insurance premiums cannot be tied to customers’ homeownership status under Minnesota law. As......
June 29, 2017
New York’s top financial regulator is investigating life insurers’ use of big data, complicating the industry’s efforts to boost sales by forgoing medical examinations in favor of algorithms for sizing up risk. New York’s top financial regulator is investigating life insurers’ use of big data, complicating the industry’s efforts to boost sales by forgoing medical examinations in favor of......
June 22, 2017
The House Financial Services Committee advanced five flood insurance proposals on Wednesday, adding to the two bills it passed last week. The House measures seek to reform and reauthorize the National Flood Insurance Program (NFIP), which is set to expire on September 30, for five years. The latest bills seek to address claims issues and questions about oversight of the Write Your Own Program...
June 22, 2017
The House Financial Services Committee advanced five flood insurance proposals on Wednesday, adding to the two bills it passed last week . The House measures seek to reform and reauthorize the National Flood Insurance Program (NFIP), which is set to expire on September 30, for five years. The latest bills seek to address claims issues and questions about oversight of the Write Your Own Program...
June 22, 2017
Courts around the country will have their hands full with key insurance issues over the next six months, with the California Supreme Court considering whether a company's negligent supervision of an employee is an accidental occurrence and the New York high court weighing the scope of a reinsurer's coverage obligations. Here, Law360 takes a look at five major insurance disputes to watch in the...
June 19, 2017
The first half of 2017 was rife with major insurance law rulings, with the Texas Supreme Court issuing key guidance on the requirements for maintaining statutory claims against insurers for deceptive practices, and with Washington's high court limiting policyholders' ability to sue for bad faith and curtailing carriers' capacity to rely on policy exclusions. Here, Law360 examines five significant...
June 18, 2017
The House Financial Services Committee on Thursday passed two bills to reform the National Flood Insurance Program (NFIP). One is a broad reform proposal that seeks to encourage more private insurance and move the program toward actuarial-based rates, while the other addresses premium credits for mitigation efforts and underwriting of urban properties. Committee Chairman Rep. Jeb Hensarling (R...