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Representative Biggert (R-IL) is set to unveil draft legislation to overhaul the U.S. National Flood Insurance Program (the “NFIP”).  The NFIP provides coverage to over 5 million homes for flood damage.  It is sold through more than 90 companies that collect premiums on behalf of the Federal Emergency Management Agency (“FEMA”) for a fee.  The premiums go to FEMA and are used to pay for claims. …
Read More Overhaul for National Flood Insurance Program on the Horizon

As part of the Financial Services Authority’s (FSA) steps to strengthen the regime relating to client asset protection, in October 2010 it produced Policy Statement 10/16, which set out its policy on Client Money and Asset Returns (CMAR).  The policy requires all UK-authorised firms who hold client money or client assets to provide returns to the FSA on a regular basis (dependent on the size of the firm), showing what client assets are held and how they are held. …
Read More UK: FSA issues Consultation Paper on Implementation of Client Money and Asset Return Policy

IBM’s latest super computer, dubbed Watson, recently triumphed over its human competition on the TV game show “Jeopardy!”  Its creators have now announced that the artificial intelligence that powers Watson may have several useful applications in the insurance industry. …
Read More IBM’s Watson, made Famous on “Jeopardy!”, to Make a Move into Insurance

Earlier this year, John Oxendine, former Georgia Insurance Commissioner, issued himself several licenses to sell insurance and adjust claims on his last day in office on Sunday, which was January 9, 2011. …
Read More Georgia Insurance Commissioner Waived Licensing Requirements and Issues Himself Several Licenses on Last Day in Office; State House Reacts by Passing Legislation to Curb Such Practices

In response to country-wide turmoil and civil unrest and growing reports of deadly attacks by the Libyan government upon protesters, on February 25, 2011, President Barack Obama by Executive Order imposed broad economic sanctions against Muammar Qadhafi and his sons, senior officials of the Libyan government, persons involved in human rights abuses in Libya, persons providing financial or other support to Colonel Qadhafi, his family, the Libyan government or those violating human rights, persons owned or controlled by or acting on behalf of any of such persons and the families of any of such persons (“Blocked Libyan Person(s)”). …
Read More President Obama imposes Sanctions on Libya

We have reported previously on proposals for reform of the UK’s financial services regulatory structure (click here to see our most recent post, and here for a detailed introduction to the proposals in the December 2010 edition of our Insurance and Reinsurance Review). The UK Treasury has now issued a further consultation paper (dated February 2011) discussing its proposals in greater detail. …
Read More UK Treasury Issues Further Consultation on Regulatory Reform

Thomas Considine, the Commissioner of the New Jersey Department of Insurance and Banking (the “NJDIBC”), recently stated in an interview with an insurance industry trade publication, that without uniform national standards for insurance regulations, the industry will continue to lobby for federal regulation. …
Read More New Jersey Insurance Commissioner Favors National Standards for Insurance Regulation, Notes Benefits from Fraud Enforcement Changes

Joe Murphy, the Commissioner of Insurance for Massachusetts, was recently interviewed by a local Boston news network affiliate regarding the managed competition for automobile insurance  in Massachusetts, which, as discussed in our prior posts here, here and here, was introduced in 2007.  According to the Commissioner, Massachusetts policyholders have seen lower rates resulting in nearly half-billion dollars in savings and new discounts such as “accident forgiveness.” …
Read More Massachusetts Insurance Commissioner Provides Insight into the Managed Competition of the Commonwealth’s Automobile Insurance Market

As Connecticut homes are experiencing roof leaks, collapses and frozen pipes caused by this winter season’s unusually large snowfall, the Connecticut Insurance Department (the “CID”) has experienced a sharp uptick in applications for 90-day claims adjuster licenses by out-of-state adjusters.  While normally only a small amount of such applications are processed each year, the CID has received over 500 since January 1st. …
Read More February’s Record Snowfall in Connecticut has Brought an Avalanche of Out-of-State Claims Adjusters