In my recent post on auto insurance titled; Agents vs. the $1-Billion Lizard, I compared the cost of paying agents to sell and service auto insurance with the advertising expense of internet providers like GEICO and Progressive. Huge advertising expenditures, I said, were necessary for internet carriers to attract consumers to a website that only provided the opportunity for a sale. [Read more…] about AUTO RATES–The $1-Billion Lizard II
AUTO PIP ANALYSIS–Be Careful!
This year’s No-Fault reform bill (HB-119) contained a $200,000 allocation to study its impact on PIP premiums going forward. Media reports, I’m afraid, will leave consumers thinking their auto premiums will soon go down by 25%. [Read more…] about AUTO PIP ANALYSIS–Be Careful!
Andrew’s Anniversary–Serendipity for Independent Agents
Hurricane Andrew was a tropical nightmare.
What began as a middling storm measuring the shore from afar arrived as a 175 mph freight train leaving a wake of desolation eight miles wide. [Read more…] about Andrew’s Anniversary–Serendipity for Independent Agents
Public Adjusters–Free Speech & Paragraph (K)
Since Florida’s Supreme Court just ruled that preventing Public Adjusters from contacting claimants within 48 hours of a loss is an unconstitutional restriction on commercial free speech (Case #. ID10-2459), it’s appropriate to remove similar impediments to free speech for non-public adjusters as well. [Read more…] about Public Adjusters–Free Speech & Paragraph (K)
Citizens Falsely Accused of Breaking the Law!
Yesterday, July 24, 2012, the head of one of Florida’s top sinkhole law firms, Chip Merlin, accused the board of Citizens of breaking the law.
The accusation was false! [Read more…] about Citizens Falsely Accused of Breaking the Law!
CITIZENS COVERAGE…Cadillacs & KIAs?
In my last post I opined that Citizens could (should) employ a more consumer friendly and politically expedient approach to reducing its exposure and policy count.
I was flattered by comments on the cogency of my suggestions; especially regarding the three questions I used to demonstrate it was imminently possible for Citizens to do as I suggested.
Other comments, however, reflected a misunderstanding of one of the points I was trying to make. [Read more…] about CITIZENS COVERAGE…Cadillacs & KIAs?
Citizen’s Approach… Painful & Unnecessary!
Yesterday’s public workshop and board meeting must have been painful for Citizens new president to watch.
Barry Gilway’s new board holds a public meeting in Miami, in the heart of its policyholder base. Staff and board members talk to the media and hundreds of consumers in a language they don’t understand. Then, they politely listen while the public, consumer advocates and some lawmakers make presentations about things they don’t understand. [Read more…] about Citizen’s Approach… Painful & Unnecessary!
Agents vs. the $1-Billion Lizard
With last month’s news that GEICO is now spending nearly $1 billion on advertising, I’m reminded of the regulatory emphasis previously placed on how much Florida domestic property writers were spending to acquire policyholders and thus…the relationship between advertising expense and agents’ commissions. [Read more…] about Agents vs. the $1-Billion Lizard
ObamaCare–A LEGAL TAX!
As you likely know, a majority of the states, including Florida, and numerous organizations and individual persons, had filed actions in federal court challenging the constitutionality of some or all of the elements of Obama’s Patient Protection and Affordable Care Act (PPACA). This morning the U.S Supreme Court made clear that the individual mandate in the law and thus the law itself, is a constitutional TAX. (See NOTE #1 Below) [Read more…] about ObamaCare–A LEGAL TAX!
A Statewide Wind Pool…the game of Whack-a-mole!
Like a game of Whack-a-mole, every time the ugly head of a statewide wind pool rears, it gets “whacked” back in its hole.
Rejection comes in several forms, usually that the state of Florida (and thus Floridians) should not be on the hook for “all” wind exposure. None the less…
…as policymakers and others attempt to address persistent problems with Citizens and the even more persistent political challenges to fixing those problems, the concept of a statewide wind pool has proven buoyant enough to surface again and again!
I swear I had nothing to do with the recent move and offer what’s here for educational purposes only. [Read more…] about A Statewide Wind Pool…the game of Whack-a-mole!