Risk & Insurance articles from December 2006

Risk & Insurance archives from December 2006

'Covered' in mud.
December 1, 2006... We can condemn the nation for not doing more for Louisiana voters in the aftermath of Hurricane Katrina as surely as we ought to scold that state's electorate for not bothering to turn up at the polls to fill the unexpired term of their former...

Still concerned.(LETTERS TO THE EDITOR)(Letter to the editor)
December 1, 2006... Dear Editor, Peter Rousmaniere's article "An Analysis of Arrogance" (Risk & Insurance[R], Apr. 1, 2005, p. 28) was a very good and much-needed look at California SCIF's notorious operations and unique position in the marketplace. I'm...

Article 'misleading'.(LETTERS TO THE EDITOR)(Letter to the editor)
December 1, 2006... Dear Editor, As collateral issues are often on our clients' minds, I read your recent article in Risk & Insurance[R] magazine with interest ("Collateral Damage," Oct. 1, 2006, p. 26). And while I believe it was a good topic to discuss with...

Upcoming events.(Calendar)
December 1, 2006... JANUARY 17-19 Health & Human Capital Mgmt. Congress The World Congress will present the 2nd Annual Health & Human Capital Management Congress at The JW Marriott Hotel in Washington, D.C. For more information: World Health Care...

Quote of the month.(UPFRONT: News, Updates and Other Emerging Strategies from Around the World)
December 1, 2006... "We're spending all this money and we're not getting the results" --LAWRENCE THOMPSON, EXECUTIVE VICE PRESIDENT, HEALTHAXIS

Healing health care: whether fully insured or self-funded, employer-sponsored health care costs will continue to climb.(UPFRONT: News, Updates and Other Emerging Strategies from Around the World)
December 1, 2006... The numbers on health care are not good. By 2011, experts forecast that health-care spending will devour as much as 18 percent of the U.S. GDP, Administrative costs for self-insured American employers reached the 14.5 percent range in 2006. The...

Employers now asking for Rx deals: move to $4 for generic drugs could put more pressure on pharmacy benefit managers.(UPFRONT: News, Updates and Other Emerging Strategies from Around the World)
December 1, 2006... In September, Wal-Mart cut prices of the generic drugs it was selling to consumers to $4. The marketing coup caused other retailers like Target to announce discount programs of their own. But now some big employers, seeking spoils for their...

Consumer rights group condemns comp: report calls workers' comp system a "colossal failure.".(UPFRONT: News, Updates and Other Emerging Strategies from Around the World)
December 1, 2006... The Center for Justice and Democracy, a New York-based consumer rights group, recently published a report painting a grim picture for injured workers attempting to navigate the workers' compensation system. According to the report titled...

Issues no match for pigskin, mudslinging: Donelon wins La, commissioner race notable for its voter apathy.(UPFRONT: News, Updates and Other Emerging Strategies from Around the World)
December 1, 2006... In a special statewide election held on Sept. 30, Louisiana insurance commissioner, James J. Donelon, overcame a low voter turnout and the exigencies of the Louisiana insurance situation to retain the position of commissioner, according to wire...

Worth repeating.(UPFRONT: News, Updates and Other Emerging Strategies from Around the World)
December 1, 2006... "We need to reach out and develop 22,000 risk-sensitive employees as our first line of defense in managing risks." Stephen A. Hill, executive director of risk management, Detroit Public School System "The margin for error can be tiny,...

Florida grapples with insurance crisis: possible answers include increased sales tax, citizens' monopoly on windstorm policies.(UPFRONT: News, Updates and Other Emerging Strategies from Around the World)
December 1, 2006... The Sunshine State is suffering from a symbolic cloud cover of epic proportions. The ominous overcast outlook is a result of two major factors in the Florida insurance atmosphere--public outrage that continues to build over rate hikes and...

Quote of the month.(BROKERS: People, Ideas and Trends shaping the Brokerage Community)
December 1, 2006... "It's not about putting flags on the map, and it's not all about acquiring revenue."

Firing up a New Shop: former HRH president launches Kinloch Holdings Inc., hoping to better serve the middle market.(BROKERS: People, Ideas and Trends shaping the Brokerage Community)
December 1, 2006... Bob Lockhart, the man responsible for integrating Hobbs into Hilb, Rogal & Hobbs, and who then left the firm over alleged improper payments to a client, says he's breaking new ground in his creation of the insurance brokerage holdings company...

P/C softening.(BROKER NEWS & NOTES)
December 1, 2006... The latest commercial market index survey by The Council of Insurance Agents & Brokers has found that the commercial properly/casualty market continued to soften during the third quarter of 2006. Six out of 10 survey respondents said their...

Aon sells Group.(BROKER NEWS & NOTES)
December 1, 2006... Aon Corp. has agreed to sell its managing general underwriting unit Construction Program Group to Old Republic Insurance Co. for $85 million. The sale of CPG, and the previously announced sales of its Aon Warranty Group and Virginia Surety Co....

Willis expands.(BROKER NEWS & NOTES)
December 1, 2006... Willis Group Holdings Ltd. has announced the establishment of a captive advice and management operation based in Sweden, called Willis Management (Stockholm) AB. The firm will be an addition to Willis' global captive practice. The new division...

Risk scholarships.(BROKER NEWS & NOTES)
December 1, 2006... The Foundation for Agency Management Excellence, the charitable foundation of The Council of Insurance Agents & Brokers, has granted four $5,000 scholarships to college students pursuing careers in risk management and insurance. The need-based...

York acquires cos.(BROKER NEWS & NOTES)
December 1, 2006... York Insurance Services Group Inc. has announced its acquisition of Eventide Risk Management LLC, a leading provider of workers' compensation and medical cost containment services in California. York has also taken over Eventide's subsidiaries,...

Willis CEO honored.(BROKER NEWS & NOTES)
December 1, 2006... Joe Plumeri, chairman and chief executive officer of Willis Group Holdings Ltd., has been named the 2006 Insurance Leader of the Year by the School of Risk Management division of the Peter J. Tobin College of Business of St. John's University...

Marsh spurns bid.(BROKER NEWS & NOTES)
December 1, 2006... Brian Storms, chief executive of Marsh, has announced that the Big-Three insurance broker and its parent, Marsh & McLennan Companies, are not for sale, although MMC is selling Putnam Investments, its fund management arm. Willis, the world's...

Colemont Insurance Brokers.(BROKER MOVES)
December 1, 2006... Colemont Insurance Brokers, a large specialty insurance broker, has named CASEY HAMLIN chairman of Colemont-Southern California. Hamlin previously served as office president of the company's Southern California operations, and will be replaced...

Beecher Carlson.(BROKER MOVES)
December 1, 2006... Beecher Carlson, an insurance brokerage and risk management consulting firm, has promoted GERALDINE KERRIGAN to senior vice president. In this role, she will be responsible for the expansion, standardization and delivery of services within the...

Hilb Rogal & Hobbs.(BROKER MOVES)
December 1, 2006... Hilb Rogal & Hobbs, one of the nation's large insurance and risk management intermediaries, has appointed SCOTT BALDWIN to employee benefits practice leader in its Lombard, Ill., office. Baldwin is the former vice president and founding...

Integro.(BROKER MOVES)
December 1, 2006... Integro, an insurance brokerage and risk management firm, has recently announced two major hires. JENNIFER WHEELER has joined Integro's San Francisco office as a principal. Her previous positions include senior vice president at Marsh and...

Yates & Associates.(BROKER MOVES)
December 1, 2006... Yates & Associates, a provider of commercial insurance products to California brokers and agents, has announced MICHAEL V. NGUYEN is the newest property/casualty underwriter/ broker at their Tustin, Calif., offices. Nguyen comes to Yates from...

Willis Group Holdings.(BROKER MOVES)
December 1, 2006... Willis Group Holdings, the global insurance broker, recently announced several significant management promotions following the appointment of Don Bailey as CEO of Willis North America. The unit has named TOM EALY chief operating officer for...

The Council of Insurance Agents & Brokers.(BROKER MOVES)
December 1, 2006... The Council of Insurance Agents & Brokers has elected TOM RODELL its 2007 chairman. Rodell is resident managing director of Aon Risk Services of San Francisco, and is the first person to serve twice in the key leadership position at the CIAB....

A new season of services.(WORKERS' COMP)
December 1, 2006... Managed-care customers are showing bigger appetites for quality medical providers, electronic connectivity and analytics, while trimming their purchases of ease management. And we're seeing more crossover business in health insurance and...

Insurance? What's the use?(ROGER ON RISK)
December 1, 2006... I have been wondering of late to just what extent the insurance industry can claim to be the ultimate risk manager. Or of any use at all, really. There is no doubt that catastrophe insurance, say, protects companies from the worst...

Unfinished business.(BROKERAGE)
December 1, 2006... From cradle to grave, life seems less about finishing business than about unfinished business. At my age it does anyway. Then again, maybe it's not so much a time-of-life as a time-of-year issue. At this writing, from where I sit in the...

The buck stops over there.(THE LAW)
December 1, 2006... "I didn't do it, he did it" is a time-honored defense that children have employed since, well, forever. It has not lost its sheen in the ongoing HP scandal. The five defendants in the recent California criminal action have claimed ignorance...

Broadly speaking.(RISK MANAGEMENT)
December 1, 2006... It is common today to find various factions of the risk management community arguing about changes to the profession. Enterprise risk management seems to top the list, along with federal versus state regulation, and the future role of insurance...

Risk-transfer troubles.(RISK PRIMER)
December 1, 2006... Incorporating risk-transfer provisions into contracts to transfer risks of loss to the parties that control or create loss exposures is intended to reduce the cost of risk for those not in control. Unfortunately, even the most ardent...

What went wrong? At the beginning of the 2006 hurricane season, forecasters predicted an "active" season. It turned out to be a dud. Risk managers weren't much surprised.(Cover story)
December 1, 2006... Hurricane forecasters missed the bull's-eye with the 2006 season. Some would say that they didn't even hit the wall that the dartboard was on. Yet they'll toss their darts again next year, and people will anxiously await the results. Risk...

Securing the chain: art title insurance offers buyers of artworks coverage for the chain of title and lien risks inherent in art as a form of property.(PROPERTY/CASUALTY)
December 1, 2006... From Los Angeles to New York, there's something new and exciting on the American art scene--and it's not about an artist or a work of art. It's about insurance. Art title insurance, to be specific. Insuring title to works of art...

Heating up: modeler adds wildfire peril model to the Safest Cities List mix for 2006. Rochester, N.Y., emerges as the nation's safest city.(CATASTROPHE RISK)
December 1, 2006... Sacramento, Calif., no longer is No. 1 in safety from catastrophic property loss. San Diego is also out of the 10 Safest Cities list. And Phoenix was leapfrogged for the top spot. Why? This year, AIR Worldwide Corp., the Boston-based risk...

Risks more than skin deep: technology is getting under our skin--literally--as researchers and medical-device manufacturers turn to computer chips to control their products. But fusing men with machines leaves semiconductor companies with a new "underworld" of risks.(INDUSTRY RISK REPORT: ELECTRONICS MFG.)(Company overview)
December 1, 2006... At a Washington press conference this fall, medical researchers showed off a new bionic arm that allows a 26-year-old woman to control her limb as everyone else does--simply by thinking. The thought-controlled prosthesis, which works by...

Wrestling with a fork in the road: as carriers begin to update their outdated legacy claims systems, which platform insurers choose is less important than the architecture the system is built upon.(SPECIAL REPORT: CLAIMS)
December 1, 2006... Today, the ability of an insurance carrier, third-party administrator or reinsurer to respond quickly, accurately and fairly to reported claims is more important than ever. Outdated legacy claims systems are becoming more costly to operate and...

The hard and soft of building codes: picking software companies to help your claims operation isn't too different than choosing a construction company to build your new office.(SPECIAL REPORT: CLAIMS)
December 1, 2006... Summary Whether you are building a home or software, keep the following in mind: * Clarify requirements. Make sure you and the vendor are on the same page. Do this once before the project starts and several times in distinct...

Wrapping up 2006: perhaps the most important claims-technology development this year has been that carriers are quietly abandoning the notion of building their own claims systems.(TECHNOLOGY)
December 1, 2006... As the property/casualty industry closes its books on 2006, exciting advances in the area of claims-technology trends come to light. The year saw shifts in thinking toward the realization that technology can be a tool for profitability and...

It is hip to be square: to make insurance and risk management appealing to college graduates, the industry needs to spruce up its p.r. and infuse its recruiting efforts with a heavy dose of drama.(RISK MANAGEMENT)
December 1, 2006... One of the most serious problems facing the insurance industry today is the acute shortage of bright, college-educated young people entering the profession. Walk around any college campus, and you'll find that the brightest and best of our...

Setting the agenda: how the Disability Management Employer Coalition helped set the workers' comp and disability management agenda, all by the time it reached its 15th birthday.(DISABILITY)
December 1, 2006... Back in 1992, Sharon Kaleta was hired to set up a self-insured, self-administered long-term disability program for a large aerospace company in Southern California. It wasn't easy. She discovered that the company already had several...

Implementing safe cell policies: in the eyes of the law, cell phones and driving don't mix. Still, the number of cell users behind the wheel continues to grow.(LIABILITY)
December 1, 2006... Summary * Cell phone users are 500 times more likely to get into an accident that nonusers. * Some courts have held employers liable for an employee involved in an accident because of a work-related call. * Employers will cut...

Head of his class: whoever said men can't multitask never met Stephen A. Hill. With myriad responsibilities as a public risk manager, he has made the juggling act of running a major urban school system look easy.(PROFILE)
December 1, 2006... Stephen A. Hill has always appreciated a good challenge. That's how the Texas native wound up in the Motor City, running the risk management department of the 10th largest urban school district in the nation and the largest in the state of...

Directory: third-party administrators.(Directory)
December 1, 2006... Below are paid listings of third-party administrators (TPAs) according to the types of claims they handle: health care; disability; workers' comp; managed care automation; software automation; property; marine/aviation; professional liability;...

Doyle Consulting Group.(EXECUTIVE MOVES)
December 1, 2006... Doyle Consulting Group, a full service employee benefits, actuarial and wholesale brokerage firm, has hired PAT KESSLER as director of new business development. Kessler brings more than 14 years experience within the insurance industry, most...

Greenlight Reinsurance, Ltd.(EXECUTIVE MOVES)
December 1, 2006... Greenlight Reinsurance, Ltd., a licensed Cayman reinsurance company has appointed BRENDAN BARRY to the position of senior vice president, underwriter. Barry has 13 years experience in the property and casualty insurance and reinsurance...

Ernst & Young Financial Services.(EXECUTIVE MOVES)
December 1, 2006... Ernst & Young Financial Services group has announced the addition of IAN WOODHOUSE to its investment management team. Previously employed at IBM and PWC, Woodhouse will be focusing on investment and wealth management and private banking.

Mitchell International.(EXECUTIVE MOVES)
December 1, 2006... Mitchell International, a leading provider of information, workflow, and performance management solutions to the automotive insurance claims and collision repair industries, announced that GREG HORN has joined the company as vice president of...

Key Risk Management Services Inc.(EXECUTIVE MOVES)
December 1, 2006... Key Risk Management Services Inc., a wholly owned subsidiary of the W.R. Berkley Corporation focusing on workers' compensation products and services, announces the hiring of THOMAS D. ENGLAND as senior vice president of Alternative Risk...

Munters Moisture Control Services (MCS).(EXECUTIVE MOVES)
December 1, 2006... Munters Moisture Control Services (MCS), a division of Stockholm, Sweden-based Munters AB, has promoted EDDY POKLUDA to national business development manager. The company offers complete services for water and fire damage, restoration and...

TD Banknorth Insurance Agency Inc.(EXECUTIVE MOVES)
December 1, 2006... TD Banknorth Insurance Agency Inc., New England's largest insurance agency, has announced the promotion of WILLIAM P. CLIFFORD to executive vice president and chief administrative officer. Clifford is now responsible for executive oversight of...

Group Life.(INSURANCE)
December 1, 2006... Aetna has officially launched Aetna Life Essentials, a program of life insurance available beginning Jan. 1, 2007. Aetna has grouped the offerings into four categories: financial, legal, physical and emotional services. Highlights include an...

Property.(INSURANCE)
December 1, 2006... The Hanover Insurance Group Inc., a regional property and casualty company, will waive up to $10,000 of a policy deductible if a piece of construction equipment registered with the National Equipment Register is stolen and not recovered within...

Health care.(SOFTWARE)
December 1, 2006... DxCG Inc., a provider of predictive modeling software for health care organizations, has introduced DM Estimator, a new Web-enabled calculation tool that estimates potential cost savings from disease management. DM Estimator approximates the...

Reinsurance.(SOFTWARE)
December 1, 2006... Global insurance broker Willis Group Holdings' approach to reinsurance purchasing relies on iFM software to advise clients on recent advances in property catastrophe modeling, casualty loss modeling, risk measurement and economic capital...

Product management.(TECHNOLOGY)
December 1, 2006... Camilion Solutions has released a new version of ProductAuthority, the company's flagship enterprise management solution. This new version is fully Web-services compliant, and incorporates a key ACORD XML life and annuity specification to...

Compensation.(TECHNOLOGY)
December 1, 2006... MajescoMastek has introduced its Elixir Incentive Compensation Management Solution, a Web-based system that allows carriers to manage complex distribution channels, motivate producers with customized reward systems and integrate with existing...

Mapping.(TECHNOLOGY)
December 1, 2006... Insurers affiliated with time American Association of Insurance Services now have regular access to the Risk Meter online risk mapping service through AAISdirect, the association's Web-based portal for insurance information. The information...

Claims.(TECHNOLOGY)
December 1, 2006... Ilomeserve PLC, a U.K.-based provider of home emergency services, has selected Guidewire ClaimCenter for its claims management operation. ClaimCenter will provide a range of claims handling functionality to commercial property managers.

Modeling.(TECHNOLOGY)
December 1, 2006... Insurance broker Hilb Rogal & Hobbs, has selected MapInfo Professional and MapMarker Plus with StreetPro to enhance the catastrophe services it offers to clients. This location intelligence solution will allow HRH to better monitor and assess...

Thirsting for talent: as baby boomers retire, the insurance industry needs to offer its workers more than one or two career options, and it must recruit beyond its traditional hunting grounds if it is going to thrive in the 21st century.(OPINION)
December 1, 2006... Corporate leaders have long recognized that talent is the most important factor in a company's success. The insurance industry is no different--yet we haven't done a good job communicating to prospective recruits why the insurance sector...