Risk & Insurance articles from April 2002

Risk & Insurance archives from April 2002

Could you be liable for employee weight problems? (Up Front).
April 1, 2002... Could that vending machine chock full of snacks become litigious fodder for an obese employee? When U.S. Surgeon General David Satcher reported that an estimated 300,000 Americans die each year from fat-related causes, rumblings of who's...

Online benefits enrollment rises. (Risk Stats).
April 1, 2002... The percentage of employees enrolling for their benefits online has nearly doubled in two years, according to benefits consultant Hewitt Associates. This is changing the enrollment process, as fewer employers use company call centers or voice...

Jury awards skyrocket. (Up Front).
April 1, 2002... The national jury-award median for employment practice liability cases--which includes discrimination and retaliation claims--rose 44 percent in just one year, from $151,000 in 1999 to $218,000 in 2000, according to a new report from Jury...

From the editor.
April 1, 2002... Terrorism coverage--or, more accurately, the lack of terrorism coverage--has been a prime topic at recent property/casualty conferences, from New York to Bermuda. It's a thorny problem for insurers and reinsurers who would like to model the...

Employers committed to workplace safety. (Up Front).
April 1, 2002... Employers are placing increased value on workplace safety efforts, according to a recent survey by the American Society of Safety Engineers (ASSE), in Des Plaines, Ill. This increase in interest is reflected in a survey of ASSE members on...

Overseas Partners Ltd. (News and Notes).
April 1, 2002... Overseas Partners Ltd. in Bermuda has discontinued writing business and has put its Bermuda operations (OP Re, OPAL, and OPFinite) into runoff. The company also entered in to an agreement with Renaissance Reinsurance Ltd., which will assume the...

GAINSCO Inc. (News and Notes).
April 1, 2002... GAINSCO Inc. in Fort Worth, Texas, has discontinued writing commercial lines business because of adverse claims development and unprofitable results.

Ace USA Professional Risk. (News and Notes).
April 1, 2002... Ace USA Professional Risk has formed a strategic alliance with E-Risk Services LLC, a managing general agent. E-Risk will market and underwrite Ace's private company directors' and officers' liability coverage and related products.

XL Winterthur International. (News and Notes).
April 1, 2002... XL Winterthur International in New York has established a new excess casualty unit. The new unit will offer lead umbrella capacity up to $25 million excess of minimum attachment points of $1 million.

OneBeacon Insurance Group. (News and Notes).
April 1, 2002... OneBeacon Insurance Group, a wholly owned subsidiary of White Mountains Insurance Group Ltd., has entered the directors' and officers' liability and professional liability insurance markets under the name OneBeacon Professional Partners.

Aon Corp. (News and Notes).
April 1, 2002... Aon Corp. in Chicago has combined its risk services group in the entertainment industry to establish a single Entertainment Practice, which will provide specialized risk management services, including contingency insurance to companies in the...

Risk Services LLC. (News and Notes).
April 1, 2002... Risk Services LLC, a captive management company in Sarasota, Fla., and NCRIC Group Inc., a health care financial services company in Washington, have formed a joint venture to provide alternative risk services to health care providers.

Deposit Trust & Clearing Corp. (News and Notes).
April 1, 2002... ACORD in Pearl River, N.Y., and the Deposit Trust & Clearing Corp. in New York will work together to develop a common set of data standards to mainstream marketing of insurance products.

Survey: Risk managers lack understanding of e-risks. (Technology Solutions).
April 1, 2002... Companies in both the U.S. and overseas are overconfident and under-prepared for technology risks. So says a new survey released by St. Paul Cos. Inc. The survey of 1,500 chief financial officers, risk managers, and insurance brokers from the...

Online spy. (Technology Solutions).
April 1, 2002... We recently spied an online report from Weiss Ratings Inc. (www.weissratings.com), Palm Beach Gardens, Fla., regarding financial failures in 2001. According to the report, 40 insurance companies failed in 2001, an increase of 5 percent over...

Insurance online. (Technology Solutions).
April 1, 2002... Neenah, Wisconsin-based J. J. Keller & Associates Inc. has added an online Forms Resource Center to its safety and regulatory products and services Web site. The forms cover transportation, workplace safety, and hazmat areas. Samples of...

Division rates security risks. (Tech Briefs).
April 1, 2002... Privacy Council, a company in Richardson, Texas, that provides solutions for global privacy and data protection, has launched a new division called NetDiligence, that helps insurers and claims managers identify and address the various forms of...

Insurance for small businesses. (Tech Briefs).
April 1, 2002... ChamberBiz, a Web portal for U.S. businesses in Washington (www.chamberbiz.com), has announced the formation of an independent insurance agency to serve the insurance needs of small and medium-sized businesses. The Web agency will offer a range...

Top technology issues. (Tech Briefs).
April 1, 2002... The following are some of the most recent issues facing risk and insurance profession in the area of technology, according to Deloitte & Touche RMIS/Lab: 1. Use of Internet or Web technology 2. Interface of risk and insurance...

Containing medical costs. (Workers' Comp).
April 1, 2002... The cornerstone of effective claims management is the ability to understand and interact effectively with physicians and other health care professionals relative to medical issues. With increases in the amount expended for medical treatment in...

Risk management French style. (Report from Europe).
April 1, 2002... The issue of terrorism cover was resolved before January 1 and the launch of euro coinage a success. But risk and insurance managers at the 10th annual conference of the Association Pour Le Management Des Bisques Et Des Assurances De...

The evolution of terrorism exclusions. (Risk Primer).
April 1, 2002... The insurance industry continues to react, and in some cases overreact, to the events of September 11, 2001. Some insurers were quick to roil out new terrorism exclusions without giving much thought to their impact or state filing requirements....

For your eyes only? More companies are monitoring their employees' e-mail and Internet usage. As a result, more invasion of privacy lawsuits are being filed. Is your company exposed to possible litigation? (Cover Story).
April 1, 2002... The buzz of security experts in the last decade has been the same: companies should be monitoring their employees' technology usage. The reason: fears of employee theft of company information as well as concerns about exposure to lawsuits...

State privacy laws leave RMs in the dark. (Regulation).
April 1, 2002... New statutes and regulations in the states that aim to ensure privacy could threaten to limit the ability of insurance companies to share information on workers' compensation and third-party liability claims with their policyholders. A...

No limitations for the disabled: Workplace-related assistive technologies are providing disabled employees with the tools to be more effective workers. (Disability).
April 1, 2002... As the first blind employee at Earthlink, the large Internet service provider based in Atlanta, David Redman was a pioneer. But Redman says that without assistive technology (AT), he would not have had the opportunity to start work as a support...

Bermuda's Insurance biannual: The return of the Bermuda Insurance Symposium found industry leaders and risk managers in healthy dialogues--amid the volatile winds of change. (Meeting).
April 1, 2002... While Bermuda's Southampton Princess hotel played the typically regal hostess to February's biannual Bermuda Insurance Symposium V--or the World Insurance Forum--the uncertain mood on the island was a reflection of the volatile global climate...

RIMS cruises the Big (un)Easy. (Meetings).
April 1, 2002... This month's annual RIMS conference is set for the good-time ethos of New Orleans. But a changed world of risk will roil the Big Easy's waters--as risk managers deal with the fallout from September 11, Enron and an uncertain future of...

The right focus: Vince Donnelly of The PMA Insurance Group addresses the challenges of a workers' compensation and disability market changed by terrorism, current economic conditions, and a tighter market. (Insurance Executive).
April 1, 2002... Risk concentration has taken on a whole new meaning since the terrorist attack last September. Now, the workers' comp industry is beginning to focus on things that once were not a variable in pricing this risk. Things such as how many employees...

Visibillity Inc. (The Web Site Guide).
April 1, 2002... www.visibillity.com Visibillity is a leading litigation management solution provider offering unique Internet-based claim assignment, upfront budgeting and bill-to-budget review. Strengthen partnerships between claims and law...

QualCorp. Inc. (The Web Site Guide).
April 1, 2002... www.qualcorp.com FORMSPLUS: Windows/Internet 50 state personal/commercial lines policy insurance/management system. Rating ISO stat reporting for carriers/IMGAs.

Unitech Systems Inc. (The Web Site Guide).
April 1, 2002... www.unitgechsys.com/insurance.html Unitech Systems provides insurance companies with an early warning system that helps minimize information errors and their impact on your business and customers.

ABS Consulting. (The Web Site Guide).
April 1, 2002... www.absconsulting.com ABS Consulting provides an enterprisewide approach to delivering rational solutions that blend effective management controls, state-of-the-art engineering analysis, practical loss-control measures and innovative...

Thomas R. Lowe. (Executive Moves).
April 1, 2002... Atlas Van Lines, a moving company that is headquartered in Evansville. Ind., and specializes in corporate employee relocation and in the transport of high-value goods, has promoted Thomas R. Lowe to the position of vice president, risk...

Employers weigh their options: With health care costs rising out of control and increasing consumer dissatisfaction with managed care, employers have begun looking at new options for delivering health care benefits. (Special Report: Managed Care).
April 1, 2002... For the past four years, health benefits costs have been rising faster than inflation. Double-digit premium increases have become the rule rather than the exception, rising more than 10 percent in 2001, and those costs are expected to rise...

Medicine under scrutiny: Employers are looking to evidence-based medicine--that is, quantified research on treatment patterns and outcomes of health care services and procedures--as a way to help control costs. (Special Report: Managed Care).
April 1, 2002... While many employers who provide health benefits to their employees may think of the scientific method as a facet of medicine that dates back almost to the Hippocratic oath, the past few years have seen the growth of a new theory in the health...

The value of communication: Risk managers and insurers are seeing the value of getting everyone in on managing costs. New injury management efforts--including those involving the Internet--aim to get employees involved. (Special Report: Managed Care).
April 1, 2002... Managed care, which was predicted a decade ago to be the cure-all for group health and workers' compensation program costs, has not lived up to its promises. As a result, employers have been caught in a serious financial squeeze because of...

Stanley Fischer. (Executive Moves).
April 1, 2002... Stanley Fischer will join Citigroup Inc., headquartered in New York, as vice chairman, where he will help Citigroup take advantage of opportunities with governments and corporations in both developed and emerging markets. He will also play an...

Tom Wilson. (Executive Moves).
April 1, 2002... Former Swiss Re New Markets chief risk officer and chief financial officer Tom Wilson has joined Oliver Wyman & Co., a financial services industry consultancy based in New York, as head of its global Finance & Risk practice, where he will help...

Enrique Mejorada. (Executive Moves).
April 1, 2002... Enrique Mejorada has been promoted to vice president, risk controls, at Calpine Corp., a San Jose, Calif.-based independent power company. Mejorada is responsible for overseeing the risk control function for Calpine, which includes managing a...

William E. Balson. (Executive Moves).
April 1, 2002... William E. Balson, former chief risk officer and senior vice president of Opt4 Derivatives, and former leader of the enterprise risk management practice at Navigant Consulting, has joined Charles River Associates Inc., headquartered in Boston,...

C.C. Coghill. (Executive Moves).
April 1, 2002... F.N.B. Corp., a bank holding company headquartered in Naples, Fla., has appointed C.C. Coghill to the newly created position of executive vice president and chief credit officer. In this position, Coghill will oversee all credit policy and...

Carla R. Greaves. (Executive Moves).
April 1, 2002... Carla R. Greaves has been appointed vice president and global casualty manager for zurich Global Energy, Schaumburg, Ill.. In this position, Greaves will be based in Bermuda and will be responsible for providing non-U.S. clients with...

Michael E. Morrill. (Executive Moves).
April 1, 2002... Gerling Global Reinsurance Corp. of America, New York, has appointed Michael E. Morrill chief executive officer. In this role, Morrill will be responsible for the management of Gerling Global Reinsurance Corp., Constitution Insurance Co.,...

Successes and problems with Integrated Benefits. (Up Front).
April 15, 2002... Employers from across the industry have proven that you don't have to eliminate organizational silos to deliver benefits effectively. So says a recent study by Integrated Benefits Institute (IBI), a San Francisco-based nonprofit organization...

Industry eye: Swiss Re's short session. (Up Front).
April 15, 2002... When most mega-insurers announce an industry forum, it's usually a one-day or two-day affair that offers a heavy a dose of corporate marketing along with the content, but there's no accusing Swiss Re of any such overkill. The reinsurer limited...

Asbestos: Excess liability lines must pay. (Up Front).
April 15, 2002... A decision in the California Superior Court could be a wake-up call for the excess liability insurance industry. The court decided that excess liability insurance companies will now be liable for a present liability of a policyholder to pay...

From the Editor.
April 15, 2002... Maybe you're reading this issue at April's annual RIMS conference in New Orleans. That's where the editorial staff of Risk & Insurance is making camp, in an energized effort to bring back in future issues--especially to you non-attendees of...

CFOs call for new enterprise risk management model. (Up Front).
April 15, 2002... Just how confident are today's corporate CFOs in their current risk management approaches? According to a recently released study by Aon Corporation, not much. In fact, many appear downright nervous. In the study, conducted by CFO Research...

PAULA Financial. (News and Notes).
April 15, 2002... PAULA Financial in Pasadena, Calif., has announced that its subsidiary, PAULA Insurance Co., will voluntarily cease underwriting workers' compensation insurance. The decision is a result of excess claims relating to accident years 1997 to 1999....

Corporate Risk Solutions. (News and Notes).
April 15, 2002... Corporate Risk Solutions, with offices in New York and Atlanta, has been formed to provide insurance advisory services to private equity firms.

Atlantic Specialty Lines-Midwest. (News and Notes).
April 15, 2002... Atlantic Specialty Lines-Midwest, an excess/surplus and specialty lines wholesale brokerage firm, has been established in Naperville, Ill.

Stanovich Risk Managers. (News and Notes).
April 15, 2002... Stanovich Risk Managers, a consulting company, has recently formed in Holden, Mass., to help organizations better manage their risks.

Argonaut Group Inc. (News and Notes).
April 15, 2002... Argonaut Group Inc. has formed a new captive business unit, Captive Advisory Services Inc., to provide consulting, actuarial, tax, and legal services to companies interested in using a captive program.

SAFECO Corp. (News and Notes).
April 15, 2002... SAFECO Corp. in Seattle has agreed to buy two small businesses from reinsurer Swiss Re: a U.S. medical excess-loss insurance group and the group life insurance business.

The Catastrophe Risk Exchange. (News and Notes).
April 15, 2002... The Catastrophe Risk Exchange (CATEX), an online reinsurance exchange in Princeton, N.J., has formed a partnership with Online Re, an Australian company that delivers technology-based consulting services.

Marsh and Internet Security Systems Inc. (News and Notes).
April 15, 2002... New York-based Marsh and Internet Security Systems Inc., a company in Atlanta that provides information protection solutions, have formed a joint program to help companies quantify their online exposures. A cyberrisk insurance policy will be...

Insurance Services Office Inc. (News and Notes).
April 15, 2002... Insurance Services Office Inc. in Jersey City, N.J., has acquired 100 percent of NetMap Analytics LLC, a Columbus, Ohio-based company that produces visual-link analysis technology used to detect fraud in insurance claims.

Ace Ltd. and XL Capital Ltd. (News and Notes).
April 15, 2002... Ace Ltd. and XL Capital Ltd. have jointly pledged $3 million to establish the Robert Clements Chair in Risk Management at the School of Risk Management, Insurance, and Actuarial Science of St. John's University.

GAB Robins Group of Cos. (News and Notes).
April 15, 2002... GAB Robins Group of Cos. in Parsippany, N.J., has formed GAB Robins Capital Partners to design runoff solutions, provide outsourced claim capabilities, and integrate claims handling during mergers and acquisitions.

Correction.
April 15, 2002... In the March issue, in a story titled "Captives: A Strategy for the Times," it was stated that Washington, D.C., did not have any licensed captives. In fact, a captive was licensed for operation in April 2001 to American Captive Corp., a wholly...

Future of insurance, Part I. (Risk Primer).
April 15, 2002... "This is an era of what has been described aptly as an 'agonizing reappraisal' of the problems of the free world. In this respect all institutions--social, economic, and political--are being reappraised as to their contributions to survival....

Workers' compensation fraud. (Workers' Comp).
April 15, 2002... Workers' compensation fraud is a serious offense and is not a victimless crime. Workers' compensation fraud translates into lower wages, lost jobs, higher premiums and higher prices for products and services. All consumers ultimately pay the...

Sept. 11 aftershocks. (Bermuda Angle).
April 15, 2002... Just as aftershocks follow earthquakes, so extraordinary moments are succeeded by extraordinary consequences. The events of September 11 caused extraordinary aftershocks in the (re)insurance industry. The most immediate effects were felt at Aon...

Rating classifications. (The Law).
April 15, 2002... "Rating classifications" help insurance carriers calculate the premiums they charge policyholders for their insurance policies. But can those classifications limit the specific coverage provided by a policy? This issue arose several years...

New skills for new challenges: Risk managers have to start now to develop the skills they will need to face the challenges of tomorrow. (Cover Story).
April 15, 2002... What a difference six months makes. Last year, Enron was lauded for its model enterprise risk management program led by a smart and progressive chief risk officer. In February, CRO Richard Buy was fired by the company's board and taken to task...

Redefining the value broker. (Broker Focus).
April 15, 2002... In today's demanding marketplace, providing value to insurance buyers could mean far more than matching exposures to capacity. Better information management will separate the true value brokers from the rest of the pack. Rate hikes aren't...

A bitter pill for workers' comp: The cost of prescription pain medications in workers' compensation is increasing. But often pain management practices are varied, hard to classify, and inconsistently applied. (Workers' Comp).
April 15, 2002... This is a dispatch from a medical war of increasing intensity by parties with different beliefs and without outside controls to guide medical care for injured workers. The yearly costs involved in this war may be as high as $1 billion. The war...

Martial arts in the workplace: Can your employees "fight" their way to safety? Employers are beginning to use martial arts as a way to teach safety and reduce accidents and injuries in the workplace. (Workers' Comp).
April 15, 2002... When you think of the martial arts, you probably think of Bruce Lee if you're over 40 and Jackie Chan if you're under 40. What images do the martial arts raise? Usually ones of high-flying kicks, lightning-quick punches, and artful dodging,...

Protecting key people. (Disability).
April 15, 2002... Key person insurance protects your company against financial risks such as loss of revenue if a key employee dies, becomes disabled, or retires. While this is a popular type of insurance coverage, companies are reconsidering this risk in light...

Citigroup's high hopes burst. (Risk in Focus).
April 15, 2002... It's been four years since Citibank acquired Travelers Insurance in a move that was lauded as the beginning of integrated financial services. Now Citigroup is spinning off its interest in Travelers. So what happened? It seemed like a good...

Yeah ... but what does Alice Schroeder think? (Q&A).
April 15, 2002... Morgan Stanley's all-star insurance analyst is the only one Warren Buffett will speak to and one of the most respected--and unafraid--thinkers on Wall Street. Pouring cold water on conference calls and putting the property-casualty industry on...

The case for state regulation. (Opinion).
April 15, 2002... An industry leader argues that the current state-by-state insurance regulatory system--with some changes to address issues of company licensing, financial regulation, corporate governance, and rate and form filing efficiency--can best meet the...

Finding money in health benefits. (Benefits).
April 15, 2002... Eligibility errors and claims overpayment often go undetected and uncorrected, costing many companies millions of dollars each year. Outsourcing key areas such as payroll and investment options can help find that lost change. It's the old...

Brian O'Hara: Bermuda's big picture; An interview with the CEO of Bermuda giant XL Capital Ltd. reveals a global scope from a veteran's perspective--amid vastly changed times and challenges. (Insurance Executive).
April 15, 2002... The view from Brian O'Hara's widescreen office window is the sort of Bermuda ocean vista that would lull anybody into leisurely contemplation. But one look across the room at O'Hara's crowded desk tells a different story. The XL Capital CEO is,...

Stability amid turmoil. (Ins. Executive).
April 15, 2002... Under the direction of Patrick Gallagher, Arthur J. Gallagher & Co. has evolved steadily, ranking fourth among U.S. based insurance brokerage companies. In an interview, he discusses the hardening market, rising premiums, and the company's...

TPA Brokerage Inc. (The Web Site Guide).
April 15, 2002... www.tpabrokerage.com Simplify your search process for the proper service provider to administer your claim program. We represent property and casualty and employee benefit service providers throughout the country.

Visibillity Inc. (The Web Site Guide).
April 15, 2002... www.visibillity.com Visibillity is a leading litigation management solution provider offering unique Internet-based claim assignment, upfront budgeting and bill-to-budget review. Strengthen partnerships between claims and law...

Unitech Systems Inc. (The Web Site Guide).
April 15, 2002... www.unitechsys.com/insurance.html Unitech Systems provides insurance companies with an early warning system that helps minimize information errors and their impact on your business and customers.

QualCorp. Inc. (The Web Site Guide).
April 15, 2002... www.qualcorp.com FORMSPLUS: Windows/Internet 50 state personal/commercial lines policy insurance/ management system. Rating ISO stat reporting for carriers/MGAs.

Periculum Services Group. (The Web Site Guide).
April 15, 2002... www.periculum.com Insurance certificate tracking services. We request, validate, and follow up on all of your vendors certificates and provide secure Internet access to certificates and reports. (800) 763-9687 ext. 203.

Cambridge Integrated Services Group. (The Web Site Guide).
April 15, 2002... www.cambridgeintegrated.com Cambridge is more than traditional claims management. We are a comprehensive risk management service provider with a unique combination of service capabilities

ABS Consulting. (The Web Site Guide).
April 15, 2002... www.absconsulting.com ABS Consulting provides an enterprisewide approach to delivering rational solutions that blend effective management controls, state-of-the-art engineering analyses, practical loss-control measures, and innovative...

Risk & Insurance magazine. (The Web Site Guide).
April 15, 2002... www.riskandinsurance.com Risk & Insurance is a magazine for risk management business executives. Issues feature news and analyses of such topics as reinsurance, self-insurance, workers' comp, property/casualty markets, liability, and risk...