Recently, the Iowa Insurance Commissioner, Susan E. Voss, issued Bulletin 08-13, which establishes new guidelines for permissible advertising and gifts that will not constitute a prohibited rebate under Iowa Code 507B. Earlier rebating guidelines were more restrictive, and disallowed the offering of any goods or services that were not specifically incorporated as part of the policy contract and made a part of the pricing of the policy.
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Regulatory
State Farm Wins Appeal in Rate Dispute
By Troutman Pepper Locke on
Posted in Regulatory, United States
Last Friday, a Texas state appeals court ruled that the Texas Department of Insurance (“TDI”) was not empowered to issue a disciplinary order against State Farm Lloyds in connection with a dispute between the parties relating to the insurer’s rates. The appellate decision is the latest development in a clash between the parties that began in 2003 with the passage of a law requiring insurance companies in Texas to file their rates with the TDI for review.
UK: Financial Services Authority (FSA) Fines Liverpool Victoria Banking Services Limited (LVBS) £840,000 for Regulatory Failings in the Sale of Payment Protection Insurance (PPI) Policies
By Troutman Pepper Locke on
The FSA has fined LVBS for regulatory failings in the sales processes for PPI policies. (See: Final Notice and Press Release) The penalty was imposed in respect of PPI offered to customers who telephoned LVBS seeking unsecured personal loans between 14 January 2005 and 8 August 2007. …
Read More UK: Financial Services Authority (FSA) Fines Liverpool Victoria Banking Services Limited (LVBS) £840,000 for Regulatory Failings in the Sale of Payment Protection Insurance (PPI) Policies
New York to Hold Joint Hearing on Out-of-Network Coverage
By Troutman Pepper Locke on
On October 7, 2008, the New York Insurance Department and New York Department of Health will be holding a joint meeting to address out-of-network insurance coverage. The hearing will be held in response to numerous consumer complaints regarding bills from specialists whom the consumers did not know were out-of-network.
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UK/US: Aon to Acquire Benfield Group Limited
By Troutman Pepper Locke on
On 22 August 2008, Aon Corporation (Aon) and Benfield Group Limited (Benfield) announced that the boards of both companies had unanimously approved an agreement under which Aon will acquire Benfield for £3.50 per share in cash and assume approximately £91 million of Benfield’s net debt, representing an enterprise value of £935 million ($1.75 billion) on a fully diluted basis. …
Read More UK/US: Aon to Acquire Benfield Group Limited
Allstate Agrees to Resolve Litigation with Florida Insurance Commission by Paying Fine, Decreasing Rates and Writing More Homeowners Insurance in Florida
By Troutman Pepper Locke on
On Friday, August 15, 2008, Florida Insurance Commissioner Kevin McCarty announced that the Office of Insurance Regulation (OIR) had reached a limited agreement with the Allstate Companies (Allstate). …
Read More Allstate Agrees to Resolve Litigation with Florida Insurance Commission by Paying Fine, Decreasing Rates and Writing More Homeowners Insurance in Florida
Costa Rica Opens Insurance Market to Competition
By Troutman Pepper Locke on
Costa Rican President Dr. Oscar Arias Sanchez recently signed into law the new Ley Reguladora del Mercado de Seguros, thereby ending the Instituto Nacional de Seguros’ (INS) more than eighty-year-old monopoly over the Costa Rican insurance business. The Consejo Nacional de Supervision del Sistema Financiero (CONASSIF) is charged with establishing an insurance regulatory authority and implementing the other mandates of the new law. …
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New York Imposes Additional Charitable Gift Annuity Requirements
By Troutman Pepper Locke on
In response to concerns over the adequacy of reserves held by some charitable gift annuity programs, the New York State Insurance Department issued a notice imposing additional requirements for such reserves.
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Bermuda Monetary Authority Announces New Rules on Insurance Solvency for Class 4, Reclassification of Class 3 and New Class of SPVs
By Troutman Pepper Locke on
Following the recent passing of the Insurance Amendment Act 2008, the Bermuda Monetary Authority (BMA) has announced that it will introduce the Bermuda Solvency Capital Requirement (BSCR), an enhanced solvency regime to apply to Bermuda’s Class 4 reinsurers. The BSCR is intended to establish risk-based capital adequacy standards for high impact reinsurers. …
Read More Bermuda Monetary Authority Announces New Rules on Insurance Solvency for Class 4, Reclassification of Class 3 and New Class of SPVs
Special Assembly Approves New Proposed Ecuadorian Constitution
By Troutman Pepper Locke on
Posted in Latin American Developments, Regulatory
A special assembly dominated by members of President Rafael Correa’s Alianza PAIS party recently approved a proposed new Ecuadorian constitution that would grant the president broad political and economic powers. The proposed new constitution now faces a national public vote scheduled for September 28, 2008. …
Read More Special Assembly Approves New Proposed Ecuadorian Constitution