Business Insurance back issues from February 2008:
Gaining traction; Sour economy is not hindering the slow, steady growth of benefits captives.(Cover Focus: Alternative Risk Focus)
Feb 01, 2008; ... Byline: Meg Fletcher The recent downturn in the U.S. economy is not expected to have a significant effect on the willingness of large employers to consider reinsuring employee benefits through their captives, industry experts say. Interest in adding reinsurance of ...
Sustaining success and job security.(Last Word)(environmental aspects of insurance industry)
Feb 01, 2008; ... Byline: Peter Breitstone "I say the Earth belongs to each generation. No generation can contract debts greater than may be paid during the course of its own existence'' -Thomas Jefferson-Sept. 6, 1789 Sustainability is a global concept requiring that economic ...
Wrestling with the R word.(First Word)(economic aspects of recessions)(Viewpoint essay)
Feb 01, 2008; ... Byline: Rodd Zolkos Probably because I spend so much time working with them, wrestling them and generally trying to coax them to do my journalistic bidding, I have a certain interest in words. I enjoy discussion of word choice or nuance, or analysis of the language ...
IRISK applies ERM for mid-market, small companies.(Industry News)(Brief article)
Feb 01, 2008 ... WEST CHESTER, Pa.-A new independent risk management consulting firm, IRISK Solutions, plans to apply an enterprise risk management approach to serving small to middle-market companies with gross annual premiums of $50,000 to $1 million. West Chester, Pa.-based IRISK will provide ...
On the move.(Joseph M. McSweeny appointed at Marsh Inc.)(Robert Brown appointed at Aon Corp.)(John A. Beckman appointed at CNA Financial Corp.)
Feb 01, 2008 ... New York-based Marsh Inc. has made several appointments as part of a global reorganization. Joseph M. McSweeny, former chairman of Willis Risk Solutions, was named president of Marsh's U.S./Canada division. Mr. McSweeny had been on the faculty of St. Thomas Aquinas College since 2005 ....
BIMA endorses ICCIE educational designation.(Industry News)(Bermuda Insurance Management Association.)(Brief article)
Feb 01, 2008 ... HAMILTON, Bermuda-The Bermuda Insurance Management Assn. has endorsed the Associate in Captive Insurance designation offered by the International Center for Captive Insurance Education. The ACI program is the only professional designation for the captive insurance industry ....
Edwards Angell, Kendall Freeman team to work both sides of Atlantic.(Industry News)(Edwards Angell Palmer & Dodge LLP merges with Kendall Freeman )(Brief article)
Feb 01, 2008 ... NEW YORK-U.S. law firm Edwards Angell Palmer & Dodge has merged with the Kendall Freeman firm of London. The firm will operate as Edwards Angell Palmer & Dodge L.L.P. in the U.S. and Edwards Angell Palmer & Dodge U.K. L.L.P. in London. Edwards Angell said the merger ...
USA Risk Group taps into Barbados with majority stake in MIMS International.(Industry News)(Brief article)
Feb 01, 2008 ... MONTPELIER, Vt.-Independent alternative risk market service provider USA Risk Group has expanded into Barbados, purchasing a majority ownership in MIMS International (Barbados) Ltd. Martin Hole, principal officer of MIMS, will remain as head of the Barbados office, which will be ...
Confie Seguros aimed at Hispanic buyers.(Industry News)(partnerships between Genstar Capital L.L.C. and Cypress Corp.)(Brief article)
Feb 01, 2008 ... SAN FRANCISCO-A private equity firm and a California broker have partnered to form a platform to consolidate insurance brokerages focusing primarily on Hispanic buyers. San Francisco-based investment firm Genstar Capital L.L.C. has partnered with Cypress, Calif.-based Westline ...
MEMIC exec named chair of ACORD board.(Industry News)(Maine Employers' Mutual Insurance Co. )(Brief article)
Feb 01, 2008 ... PEARL RIVER, N.Y.-John Leonard, president and chief executive officer of the MEMIC Group, has been named the 2008 chairman of the ACORD board. It is the second time Mr. Leonard has chaired the board of the Pearl River, N.Y.-based Assn. for Cooperative Operations Research and ...
Beazley aims to connect specialty lines to brand.(Industry News)(Beazley Group PLC)(Brief article)
Feb 01, 2008 ... LONDON-Beazley Group P.L.C. is embarking on a rebranding effort that the London-based company said it hopes will emphasize the creativity of its various business areas while linking those teams to the broader Beazley brand. The current Beazley logo is being replaced with a line ...
History repeating itself with soft market cycle; PROPERTY/CASUALTY INSURANCE JOINT INDUSTRY FORUM.(Feature: Gatherings)(ACE Ltd.)
Feb 01, 2008; ... Byline: Rodd Zolkos NEW YORK-The current softening phase of the insurance pricing cycle will pressure insurers' financial performance this year, according to some industry executives, and, despite some suggestions to the contrary, is not markedly different from pricing cycles of ...
IN focus.(mangement of captive insurance companies)
Feb 01, 2008 ... For many captive insurance and other alternative risk transfer arrangements, fronting insurance is an essential ingredient to make the program work. Sometimes, however, ART program parent companies find it difficult to find the necessary fronting coverage. Here's a look at some of the key ...
Risk laboratory; Florida's experiment with collateral waivers could pay rewards; or backfire.(Feature: Trends)
Feb 01, 2008; ... Byline: Meg Fletcher Florida may become the first U.S. state to effectively waive collateral requirements for the most financially secure non-U.S. reinsurers. Backers of the idea say it would increase reinsurance capacity in the catastrophe-prone state and should ...
Soft power; Reinsurance market conditions give captives strategic options.(Cover Focus: Alternative Risk Focus)
Feb 01, 2008; ... Byline: Rodd Zolkos While soft market conditions might prompt owners of some alternative risk transfer entities to turn back to the traditional market for coverage, for many, a long-term risk financing strategy remains the chief consideration. And those same soft ...
Three questions.(Industry News)(opinions of Leonard Crouse about trends in captive insurance industry )(Interview)
Feb 01, 2008; ... Leonard Crouse, Vermont's top captive insurance regulator for the past 18 years, announced last month that he'll be retiring from his position as Vermont's deputy commissioner of captive insurance June 1. During Mr. Crouse's tenure in Vermont, the state licensed more than 600 captives, and ...
AIR finds pattern in hurricanes' genesis, landfall.(Industry News)(Air Worldwide Corp.)(Brief article)
Feb 01, 2008 ... BOSTON-New research by risk modeling firm AIR Worldwide Corp. shows that where a hurricane begins can significantly affect the likelihood of it making landfall in North America. According to Boston-based AIR, the study shows that using only Atlantic basin hurricane activity as a ...
Change, while painful, brightens road to future.(Tech Focus)(trading of insurance industry done electronically)
Feb 01, 2008; ... Byline: Alex Letts New Year, New Hope. In October 2006, it was suggested that 15% of that season's London treaty reinsurance would be traded electronically at renewals. My prediction was proved hopelessly optimistic as fewer than 1,000 placements were traded in 2006 renewals ...
AI Risk launches LexExpress cover for small fleets.(Industry News)(AI Risk Specialists Insurance Inc.)(Brief article)
Feb 01, 2008 ... NEW YORK-AI Risk Specialists Insurance Inc., a brokerage subsidiary of New York-based American International Group Inc., has introduced LexExpress, excess auto liability insurance coverage developed to address the needs of small to midsize trucking fleets. LexExpress provides ...
The quote.(Industry News)
Feb 01, 2008 ... "I don't think that the threat of a recession will decrease the need for captives.' -NANCY GRAY, ...
Lloyd's-like insurance exchange gets fresh scrutiny in N.Y.(Cover Focus: Alternative Risk Focus)(New York Insurance Exchange)
Feb 01, 2008; ... Byline: Meg Fletcher NEW YORK-New York Insurance Superintendent Eric Dinallo says the time is right to consider reviving the New York Insurance Exchange, a reinsurance marketplace that had early success but later shut down and took 18 years to pay its secured claims. ...
Learn from past mistakes to find success in the future.(Cover Focus: Alternative Risk Focus)(New York Insurance Exchange)
Feb 01, 2008; ... Byline: Meg Fletcher Exploring why the New York Insurance Exchange failed to meet its potential during the 1980s may provide some insight into how such an exchange should operate in a proposed revival, sources say. The NYIE opened in March 1980 "to great fanfare and ...
Sierra purchase raises monopoly worries.(News)(UnitedHealth Group Inc. acquires Sierra Health Services Inc.)(Brief article)
Feb 04, 2008; ... Byline: Gloria Gonzalez UnitedHealth Group Inc. has yet to receive federal approval for its proposed $2.6 billion acquisition of Sierra Health Services Inc., leading observers to believe that federal regulators have concerns about the company's consolidated share of the Las ...
Big employers retool retiree medical; Health account-based plans seen as way to stabilize costs over long term.(News)
Feb 04, 2008; ... Byline: JERRY GEISEL WASHINGTON-Some of the nation's largest employers are taking new approaches to providing health care coverage to retired workers that avoid the extremes of benefit-rich plans that over the long run are unaffordable or not providing coverage at all. ...
Trading saga began with bet on insurer.(End Page)(Jerome Kerviel a rogue trader )(Brief article)
Feb 04, 2008 ... Even a rogue remembers his first time. Jerome Kerviel, the so-called rogue trader who lost $7.2 billion for France's Societe Generale, recalls his first big bet, and it involved a German insurer. The trade that started him on the path to billions in losses came when ...
In brief.(News)(Family and Medical Leave Act for the military personnel)(Eliot Spitzer signed a new legislation workers compensation rates)(Cephalon Inc. has received tentative approval )
Feb 04, 2008 ... Bush signs measure to expand FMLA President Bush has signed legislation that expands the Family and Medical Leave Act for family members of those in the military. The law gives employees who are close relatives of a military service member who is seriously ill or injured up to ...
A four-corners strategy; Questions & answers.(Sector Briefing: Sports & Leisure)(Warren Harper of Marsh Ltd.)(Interview)
Feb 04, 2008; ... Byline: Michael Bradford When it comes to managing risks of major sporting events, the Olympic Games are among the most challenging competitions to safeguard. Warren Harper had that responsibility as risk manager for the 1996 Olympics in Atlanta. Late last year, he was named to ...
Duperreault to lead MMC; Former ACE chief seen as good choice to get firm back on track.(News)(Brian Duperreault joins Marsh & McLennan Companies Inc.of ACE Ltd)
Feb 04, 2008; ... Byline: SALLY ROBERTS NEW YORK-The hiring of industry veteran Brian Duperreault as the new president and chief executive officer of Marsh & McLennan Cos. Inc. will help restore morale and growth at the struggling firm, observers say. The former ACE Ltd. CEO last week ...
Gallagher to sell reinsurance brokerage unit; Competitive market spurs effort to shed noncore operation.(News)(Arthur J. Gallagher and Co.)
Feb 04, 2008; ... Byline: ROBERTO CENICEROS ITASCA, Ill.-In an attempt to improve its earnings during the soft market and focus more on its core brokerage business, Arthur J. Gallagher & Co.'s announced last week that it will sell its global reinsurance operations. Analysts welcomed ...
On the web.(American International Group Inc. and Gen R cases )(Brief article)
Feb 04, 2008 ... GEN RE/AIG TRIAL: Complete Gen Re/AIG trial coverage online The criminal fraud trial of five former executives of Gen Re and American International Group began Jan. 7 in federal court in Hartford, Conn. The case centers on a finite reinsurance deal between Gen Re and AIG that ...
Internet outage may spark claims; Various policies could offer coverage for disruptions to Asian businesses.(International News)
Feb 04, 2008; ... Byline: MARK A. HOFMANN Business interruption implications of last week's disruption of the Internet throughout the Middle East and Asia depend on the speed of service restoration and the details of individual insurance policies responding to the outage, observers say. ...
ADA reform measure would widen definition of 'disability'; Opponents of bill say change would weaken protections.(News)(Americans With Disabilities Act)(ADA Restoration Act)
Feb 04, 2008 ... Byline: MARK A. HOFMANN WASHINGTON-An effort to strengthen the Americans With Disabilities Act could actually dilute its effectiveness, according to some observers. That's because the ADA Restoration Act, which is co-sponsored by more than half of the members of the ...
New MMC chief to bring years of experience to job.(News)(Marsh & McLennan Companies Inc.'s Brian Duperreault )(Brief article)
Feb 04, 2008; ... Byline: Sally Roberts Before joining ACE Ltd. in 1994, Brian Duperreault spent more than 20 years at American International Group Inc. and held numerous positions. He eventually rose to become executive vp of AIG Foreign General Insurance and chairman and chief executive officer ...
Judge has no taste for Jell-O injury suit.(End Page)(Avram Wisnia files case on New York University's food services)(Brief article)
Feb 04, 2008 ... A former New York University student found that he had zero "wiggle room'' last week when a judge dismissed his $1 million Jell-O wrestling lawsuit. Avram Wisnia sued NYU in 2005 and sought $1 million for the broken hip he suffered while Jell-O wrestling during an on-campus ...
Managing risks taken to the extreme; Sports tourism companies often forgo coverage, even when available.(Sector Briefing: Sports & Leisure)
Feb 04, 2008; ... Byline: LOUISE ESOLA Because those signing up for extreme sports vacations have a lot more to lose than their luggage, tourism and adventure companies that offer such trips rely on a mixed bag of risk management strategies to shield themselves from the lawsuits and perils of ...
UP CLOSE Frederic Goldstein.(Comings & Goings)(U.S. Preventive Medicine Inc.)(Brief article)
Feb 04, 2008 ... NEW JOB TITLE: President and chief operating officer of U.S. Preventive Medicine Inc. in Dallas. START DATE: Jan. 1 BEFORE THE PROMOTION: President and CEO of U.S. Care Management Inc., a USPM subsidiary. VITAL STATISTICS: Education: Master of Science in ...
Comings & goings.(Cees van der Slikke of Willis Group Holdings Ltd.)(Timothy L. Berns of Cottingham & Butler )(Edgewood Partners Insurance Center has named Jim Halbleib)
Feb 04, 2008 ... BROKERS: Willis Group Holdings Ltd. has named Cees van der Slikke executive vp and managing partner of the Calgary, Alberta, office for the company's energy business in Canada. Before his promotion, he was national business leader of energy in Calgary. Dubuque, ...
Subprime loans crisis casts a long shadow.(Commentary)(Viewpoint essay)
Feb 04, 2008; ... Byline: Punxsutawney Phil Groundhog Day, a day devoted to the spectacle of me being forcibly dragged from the comfort of my cozy home, also seems a suitable occasion to write about the subject of the subprime mortgage debacle. What's the connection between little old ...
Beware consequences of broadening ADA.(Opinions)(Americans With Disabilities Act's)(Brief article)
Feb 04, 2008 ... IT'S EASY to understand why more than half of the House members have signed on to cosponsor the ADA Restoration Act. According to its backers, the measure is necessary to restore the scope of the Americans With Disabilities Act's protections to those envisioned by its drafters ...
Humana phone line for adults, not seniors.(End Page)(Humana Inc.)(Brief article)
Feb 04, 2008 ... Medicare and phone sex have nothing to do with one another, yet their paths still seem to cross every now and again. For Louisville, Ky.-based Humana Inc., the entanglement can't end soon enough. The health insurer recently sent out a letter intending to inform ...
Health clubs weigh liability risks as interest in fitness grows; Waivers help, but have been rejected in some California courts.(Sector Briefing: Sports & Leisure)
Feb 04, 2008; ... Byline: LOUISE ESOLA As individuals strive to lead healthier lifestyles, health clubs and fitness centers have sprouted nationwide. But with growth, new risks are created, and the clubs are businesses already wrought with liability potholes, according to experts. A ...
UnitedHealth hit with $3.5M fine in California; PacifiCare cited in claims, provider violations.(News)(PacifiCare of California)
Feb 04, 2008; ... Byline: GLORIA GONZALEZ SAN FRANCISCO-A record fine against a unit of UnitedHealth Group Inc. highlights service problems that the company has acknowledged have hurt its commercial membership base. While California regulators are unlikely to obtain $1.3 billion in ...
California should try other reform ideas.(Opinions)(political aspects of health care reforms)(Brief article)
Feb 04, 2008 ... ENACTING HEALTH CARE reform at the state level to achieve universal coverage-or something close to it-is a tough business. Only two states-Massachusetts and Vermont-have accomplished that in recent years, while many others have failed. The most recent failure, as we ...
Canadian high court to hear appeal of pension expenses case.(International News)(Ontario. Court of Appeal)
Feb 04, 2008; ... Byline: GLORIA GONZALEZ OTTAWA-The Supreme Court of Canada has agreed to hear an appeal of a key pension decision that was favorable to plan sponsors. The Supreme Court last week said it would hear an appeal of the Kerry (Canada) Inc. vs. DCA Employees Pension ...
Lloyd's sees slight dip in capacity for 2008.(International News)(Lloyd's of London)(Brief article)
Feb 04, 2008 ... Byline: SARAH VEYSEY LONDON-Lloyd's of London had underwriting capacity of 15.95 billion pounds ($31.61 billion) on Jan. 1, the market announced last week. That capacity, which will be underwritten by 75 syndicates managed by 46 managing agents, is a slight reduction ...
Firm considers options after stock fraud award; Rare securities verdict puts Apollo on hook for massive damages.(News)(cases of Apollo Group Inc.)
Feb 04, 2008; ... Byline: DAVE LENCKUS PHOENIX-The final judgment that a federal judge issued last week on the huge securities fraud damages that a jury awarded investors in a major for-profit higher education organization gives the company until next week to decide its next move. The ...
Judge details rules for damages payments.(News)(cases of Apollo Group Inc.)(Brief article)
Feb 04, 2008; ... Byline: Dave Lenckus PHOENIX-The final ruling in the securities fraud class action suit against Apollo Group Inc. contains provisions that could increase damages that some investors recover and decrease damages for other investors. A jury on Jan. 16 awarded $5.55 per ...
Medical research on diet, stress is sweet news for junk food fans.(End Page)(Report)(Brief article)
Feb 04, 2008 ... New research suggests that while junk food might bulk people up, it also may help calm them down in times of turmoil. Baby lab rats separated from their mothers experienced less stress and agitation when they were given food high in fat and sugar than did those fed a healthy ...
NBGH supports mandate for individuals.(News)(National Business Group on Health)(Brief article)
Feb 04, 2008; ... Byline: Joanne Wojcik WASHINGTON-The National Business Group on Health, a consortium of around 300 of the nation's largest employers, has come out in support of legislation that would require individuals to buy health insurance coverage for themselves and their dependent ...
Appeals court upholds arbitration agreement; Consultant's pact with client ruled retroactive.(News)(cases of Watson Wyatt Worldwide with SBC Holdings Inc.)
Feb 04, 2008; ... Byline: DAVE LENCKUS CINCINNATI-Watson Wyatt World-wide may compel a client to arbitrate its multimillion-dollar professional services claim against the consultant, even though the consultant's error occurred before the two companies signed an arbitration agreement, a federal ...
AIG settles more broker pay probes; Insurer pays $12.5 million to end investigations in 10 jurisdictions.(News)(American International Group Inc.)(Brief article)
Feb 04, 2008; ... Byline: SALLY ROBERTS NEW YORK-American International Group Inc. has agreed to pay $12.5 million to 10 jurisdictions to settle allegations associated with industrywide investigations into producer compensation and insurance placement practices. Regulators in Florida, ...
Credibility of witness attacked by defense; Existence of alleged AIG side deal questioned.(News)(cases of General Re Corp. with American International Group Inc.)
Feb 04, 2008; ... Byline: DOUGLAS McLEOD HARTFORD, Conn.-Defense attorneys' cross-examination of a key government witness in the General Re Corp. finite reinsurance trial last week revealed common themes but also differences-some subtle and some stark-in the positions of the five executives on ...
Cost concerns doom Calif. health reforms; Senate panel fails to pass 'play or pay' measure.(News)
Feb 04, 2008; ... Byline: JOANNE WOJCIK SACRAMENTO, Calif.-A play-or-pay health reform measure in California proved to be the wrong bill in the wrong place at the wrong time, observers say. The California reform bill, which died last week in the state Senate's 11-member Health ...
Off-field risks top concern for Olympics; Organizers of London games tackle numerous exposures in preparation for 2012.(Sector Briefing: Sports & Leisure)
Feb 04, 2008; ... Byline: MICHAEL BRADFORD Organizers of large sporting events are well-equipped to deal with the traditional property/casualty exposures they face before and during the competition, but they are on less solid footing when it comes to risks they face off the field and after the ...
Large sports events find coverage for increased terrorism threats; Established market offers organizers insurance options for risk.(Sector Briefing: Sports & Leisure)
Feb 04, 2008; ... Byline: MICHAEL BRADFORD Experience is one thing London has in its favor when it comes to terrorism insurance and security for the 2012 Olympic Games, which it is hosting. A city that suffered attacks by the Irish Republican Army for decades, dealt with deadly July ...
Online Poll at www.businessinsurance.com.(Opinions)
Feb 04, 2008 ... Is a federal backstop for natural catastrophe risks needed? 75%: No 25%: Yes Next week's poll: Will FMLA expansion for family members of ...
SECTOR SNAPSHOT: Sports & leisure.(Sector Briefing: Sports & Leisure)(Brief article)
Feb 04, 2008 ... Sports & Leisure includes a wide variety of companies and service providers in a growing sector of the global economy. Information provided by Advisen Ltd. offers insights into the insurance purchasing practices of various organizations, including ...
Judge in dispute serves up some poetic justice.(End Page)(Brief article)
Feb 11, 2008 ... A state appellate court waxed poetic in overturning a jury's $2.35 million defamation award sparked by a carpenters union's limerick about a nonunion Antioch, Ill.-based homebuilder. The case began in May 2006, when John Maki, owner of J. Maki Construction Co., filed suit ...
Nearly one-quarter of employers offer voluntary life cover; Programs paid by employees usually supplement a basic life insurance program paid by their employer.(Benefits Management)
Feb 11, 2008; ... Byline: LOUISE KERTESZ Although growth in the voluntary life insurance market has remained essentially flat for several years, many employers continue to offer the programs as a way to enhance their benefit plans without the extra cost. The percentage of employers ...
Disability buyer, provider strategies shifting as employer budgets tighten; Insurers experiment with new designs to encourage employees to enroll.(Benefits Management)
Feb 11, 2008; ... Byline: ROBERTO CENICEROS Employers are reshaping their voluntary short- and long-term disability offerings with the hope of providing an attractive package while using their limited funds to address rising health insurance costs, observers say. One way employers are ...
Benefits menu boosted by mix of voluntary options.(Benefits Management)
Feb 11, 2008; ... Byline: JUDY GREENWALD More U.S. employers are offering voluntary benefits to their employees for two main reasons: the growing cost of health care, which has led employers to shift costs to voluntary benefits, and the desire to attract and retain employees, experts say. ...
California court complicates lawsuit settlements.(Perspective)
Feb 11, 2008; ... Byline: John E. Heintz A recent decision by a California Court of Appeal has made it a whole lot harder for policyholders to settle lawsuits when insurers have denied coverage. In Aerojet-General Corp. vs. Commercial Union Insurance Co., the court held that even if ...
Industry awaits federal review of regulation; Treasury set to reveal reform proposals for financial services.(News)
Feb 11, 2008; ... Byline: MARK A. HOFMANN NEW YORK-Insurance industry observers are divided over what practical impact the Treasury Department's upcoming broad blueprint for financial services regulation reform is likely to have. A high-ranking Treasury official said last week that the ...
'My life. My card.' My slogan! says plaintiff.(End Page)
Feb 11, 2008 ... A consultant who claims he coined American Express Co.'s "My life. My card.'' advertising tagline cannot claim it is his slogan, his trademark, a federal appeals court says. New York-based American Express does not have to stop using the slogan even if the consultant developed ...
California misguided in RRG regulation bid.(Opinions)(risk retention groups)(Brief article)
Feb 11, 2008 ... Many years ago, naively it appears, we thought the issue of how risk retention groups were to be regulated was settled. Simply put, after meeting the licensing requirements of one state, risk retention groups could provide coverage to member-owners in any state, with minimal ...