2012
2012 Issues - Click to View
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Good News For Insurance Professionals: Baby Bust is Over, Fertility Rising Again in U.S.
Insurance Advocate Cover Story, trend
[dropcap]O[/dropcap]ne of the most compelling reasons to purchase life insurance is the birth of a child. According to a just released report from Demographic Intelligence (www.DemographicIntel.com), the nation’s premier provider of birth statistics and U.S. fertility analytics for a variety of industries, there will be an increase in births in 2012 and even more in […]
Insured's Non-Residence at Insured Home Voids Claim For Fire Loss
[dropcap]D[/dropcap] efendant New York Central Mutual Fire Insurance Company moves pursuant to CPLR R3211 for an order dismissing the plaintiff ‘s amended complaint in its entirety. The plaintiff opposes the instant application. Pursuant to an order dated November 17, 2011, the parties were notified that the court elected pursuant to CPLR R3211(c) to treat the […]
Insurance Fraud Hall of Shame: Read These “Beauties”
WASHINGTON—A cashstrapped businessman torches his home then massacres five people to keep witnesses from testifying. A cop shoots himself to steal workers comp money. Two scammers stuff a coffin with a mannequin and cow parts to invent a dead person for a million-dollar lifeinsurance payout. These are among the extreme schemers elected to the Insurance […]
Bank Insurance Agencies Report Increased Acquisiton Growth and Contingent Income
WASHINGTON, D.C.— Despite slight growth from acquisition and increased contingent income, issues relating to staffing efficiency led to weaker profits for bank insurance agencies, according to the latest Bank- Insurance Viability Index, a quarterly report compiled by MarshBerry and sponsored by the American Bankers Insurance Association. An analysis of bank-owned agencies showed that profits fell […]
The FIO: Recent Developments in Focus
The Federal Insurance Office – What It Is. [dropcap] T [/dropcap]he Dodd-Frank Wall Street Reform and Consumer Protection Act (Dodd-Frank Act) established the FIO within the Treasury Department. The first Director of the FIO is Michael McRaith, the former Illinois Director of Insurance. In November 2011, the Treasury Secretary created a Federal Advisory Committee on […]
A Day Without Challenges
[dropcap]A[/dropcap]gents face struggles every day. In fact, I believe the ability to meet challenges and face adversity is one of the measures by which you can judge whether a professional independent agent will be successful or not. In my five decades as a professional, independent agent, I can honestly say I have never gone to […]
What Do You Want to Be When You Grow Up?
Michael Loguercio
Face to Face
[dropcap]H[/dropcap]ow many times have you asked that question of a young child, or maybe even a “matured” child… or maybe even of yourself? As a parent, and board of education president, I have had the opportunity to ask that question many a time to many a young person, and until recently I never would have […]
"Fine" Print
[dropcap]H[/dropcap]ad the opportunity recently to speak to the partners at Prestige, Inc., one of the largest PEO’s in New York, to learn how they have been gaining adoption among independent insurance agents across the tri-state area. Brian Lehmann, who is the top executive at the company, formerly of Motorola, explains it this way: “More and […]
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Insured's Ambiguous Notice Fails to Trigger Insurer's 20-Day Time to Stay ARB
Matter of Country-Wide Ins. Co. v Ramirez Petitioner Country-Wide Insurance Company (“Country-Wide”) moves for an order, pursuant to CPLR 7503, permanently staying arbitration, or, alternatively, temporarily staying arbitration pending a “framed-issue” hearing or the completion of discovery. Respondent, Jose R. Ramirez (“Ramirez”) “cross-petitions” for an order denying the petition and sanctioning Country-Wide pursuant to 22 […]
Caveat Insurance Leaders: New Financial Incentives May Lead the IRS to Your Door
By Tom Pliske after a long period of uncertainty, it has now become clear that insurance companies have a major new threat with which to be concerned. Last year, the Internal Revenue Service paid out its first claim subject to the new Whistleblower laws passed in 2006. Since the law went into effect, there have […]
The Crimes They Are a Changin’
Jerry Trupin
Exposures and Coverages
Am I the only one providing expert witness assistance for fidelity claimants? Fidelity coverage (also known as “employee theft” or “employee dishonesty” coverage) is just a small part of the insurance universe, generating many fewer claims than property and liability coverage and of those, even fewer end up as lawsuits. Nevertheless, my expert witness activity […]
Follow the Fortunes and the Fortunate
In this issue of the Insurance Advocate, you will notice some typical features and one new topic that may spark some interest. First we cover PIANY’s Metro Rep, an event that has grown beautifully over the past several years. PIANY has now three local meetings, large in size, attractive to agents and generally quite accessible, […]
New York’s Alex Giordano Sets SIIA Agenda
Chairman Leads National Group Alex Giordano gladly accepted the responsibility of chairing his trade association, the Self-Insurance Institute of America, Inc. (SIIA), even though his duties would take time from his day job as one of the nation’s leading marketers of stop-loss insurance for sponsors of self-insured employee group health benefit plans. “That was an […]
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2012/ February 20/ Past Issues
So Long as Petition to Stay ARBis Brought Timely, It Can Be Amended Later
Matter of Government Employees Ins. Co. V Albino In a proceeding pursuant to CPLR article 75 to permanently stay arbitration of an uninsured motorist claim, Juan R. Albino appeals from a judgment of the Supreme Court, Queens County (Rios, J.), dated May 12, 2011, which, after a framedissue hearing, granted the amended petition. ORDERED that […]
2012/ February 20/ Past Issues
The Time is Now – The Game Changer is Here!
Anyone who has read my articles or heard me speak knows I have been advocating for a major shift in the way Independent agents and brokers operate in the marketplace. Competition is coming from everywhere and through an increasing number of sources. Most of the competition is using digital marketing and the internet to grab […]
Metro RAP Up
Michael Loguercio
Face to Face
Welcome Back RAP! In a true New York sort of style, and for the second year since its return to Manhattan, insurance professionals from all around the greater New York City area gathered at the Professional Insurance Agents of New York State Inc.’s 2012 Metropolitan Regional Awareness Program, held Wednesday, Jan. 18, 2012, at the […]
2012/ February 20/ Past Issues
In this Issue
We are always surprised where copies of the Insurance Advocate turn up. Typically you will find one on the front table in most insurance offices in New York and New Jersey, having been read and placed there among other industry publications. Such is the case with a recent issue which greeted us pleasantly in the […]
2012/ February 20/ Past Issues
SoggySaga: Executive Life’s Liquidation Drowns Policyholders’ Annuitants Interests in 21-year Long Process
In 1991, Executive Life Insurance Company of New York (ELNY), the stressed but solvent subsidiary of its insolvent parent, Executive Life Insurance Company of California, was placed in rehabilitation in New York to protect it from cash surrenders becoming “a run on the bank.” Twenty-one years later, the rehabilitator has petitioned the court to declare […]
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American Transit Insurance Co. Celebrates 40th Anniversary : More than 250 attend celebration as awards are presented by Company President & CEO and Leadership Staff
NEW YORK, N.Y.—More than 250 brokers and other insurance leaders attended the 40th Anniversary Celebration of the American Transit Insurance Company held January 26, 2012, at the New York Athletic Club on Central Park South. New York State Senator Martin Golden offered an official welcome and offered observations about the Company which marks its 40th […]
Sen. John Thune to Address Big “I” Conferees
The Independent Insurance Agents & Brokers of America (IIABA or the Big “I”) has announced that Sen. John Thune (R-S.D.), Chairman of the Senate Republican Conference, will address the association’s membership on Thursday, April 26. Sen. Thune will be a keynote speaker at the legislative conference breakfast which occurs just prior to the association’s annual […]
AG Focuses on Non Profits
In the last issue of the Insurance Advocate, we were pleased to report that former Superintendent James Wrynn had landed-happily-in a new position where the opportunities seem to be extraordinary, placing him on an international stage in the insurance law sphere. Wrynn left the Department in good standing and in good report, according to what […]
FNA Announces Partnership to Distribute Assura Group’s IncomeAssure : Supplemental Unemployment Insurance Coverage to be Available Through FNA’s New York and New Jersey Network
NEW HYDE PARK, LI—First National Administrators (FNA) has announced an agreement with Assura Group of N.Y., Ltd., for the marketing and distribution of one of the newest and most innovative products in the financial marketplace, IncomeAssure. IncomeAssure enables policyholders to insure against loss of income if their job is lost. The policy provides substantial income […]
Amalgamated Life Now Licensed in All 50 States and D.C.
White Plains, NY based Amalgamated Life Insurance Company, a leading provider of life and health insurance, announced that it recently became licensed in Florida and is now licensed in all 50 states and the District of Columbia to market its comprehensive suite of insurance products. For this well-respected provider of choice, this means the ability […]
E&O: Professional Underwriting Group, Inc. Provides Insolvency Carve Back for Demotech Rated Carriers
Professional Underwriting Group, Inc. (PUG) and Demotech, Inc. have announced that insurers earning a Financial Stability Rating® (FSR) of A or better from Demotech are eligible for reasonably priced, comprehensive insurance agents & brokers professional liability insurance (E&O) that includes coverage for insolvency to the producer when the market is rated A or better by […]
Scaffold Law Does Not Apply When Worker Falls From Ladder While Cleaning A Product Made By His Employer
Plaintiff was injured when he fell from a ladder in a factory while cleaning a product manufactured by his employer. We hold that his activity was not protected by Labor Law § 240 (1). I The product in question was a steel “wall module” made by third party defendant West Metal Works, Inc. at its […]
A.G. Schneiderman Sets “Bold Plan” For New York’s Nonprofit Sector
New York Attorney General Eric T. Schneiderman has introduced a bold plan to reform and revitalize New York’s nonprofit sector, including legislation to eliminate outdated and costly burdens on nonprofits, strengthen oversight and accountability, and reaffirm his office’s commitment to policing fraud and abuse. Acknowledging that organizations throughout New York State face historic financial […]
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Crackdown: State Handcuffs, No Fault Crooks, Locks up Scores of Conspirators in Major Bust Industry Praises DFS Effort
ALBANY, N.Y.—At the direction of Governor Andrew M. Cuomo, nofault insurance medical mills and insurance companies are facing a statewide investigation by Benjamin M. Lawsky, Superintendent of the Department of Financial Services (DFS). The regulation implements a 2005 law that gives DFS the power to regulate doctor participation in the no-fault system. Lawsky accepted this […]
Captive Audiences
We received the news of a New York State Appeals Court decision upholding the ruling that independent insurance agents disclose their commissions to clients in a manner prescribed by the Insurance Department with mixed feelings. First, we did not believe that the lawsuit approach would prevail in New York State, and that the agents essentially […]
You Know Me, Always ACTing Up!
Michael Loguercio
Face to Face
At last week’s Agent’s Council for Technology (ACT); ACORD User Group Information Exchange (AUGIE); and American Insurance Marketing and Sales Society (AIMS) meetings in Tampa, FL, initiative updates showed the progress being made to improve business for agents nationwide. With much gratitude to my friend Michael Carroll, Communication Specialist at ACORD, I am able to […]
Let’s Get Personal: Homeowners and Personal Liability Insurance Problems
Jerry Trupin
Exposures and Coverages
Not Every House is a Home In 1992 Robert Zises bought a home in Lake Katrine, NY and purchased homeowners insurance. In 1998 he rented the house to two tenants and moved to another home in Tivoli, NY. In 2006 the homeowners policy covering the Lake Katrine house was placed with New York Central Mutual. […]
Interboro Acquires AutoOne from OneBeacon
MINEOLA, N.Y.—Interboro Holdings is pleased to announce that it has completed the acquisition of AutoOne and AutoOne Select Insurance Companies from OneBeacon Insurance Group. The transaction, which was approved by the New York State Department of Financial Services, will result in the creation of Interboro Management Inc. employing 135 individuals in Mineola and Syracuse, New […]
Homeowners Have No Duty to Prevent Drunks From Leaving Their House, Nor to Guide Them as They Drive Away
Martino v Stolzman MEMORANDUM: The order of the Appellate Division, insofar as appealed from, should be reversed, with costs, the Oliver defendants’ motion for summary judgment granted, the complaint in Action No. 1 and the amended complaint in Action No. 2 dismissed against them, and the certified question answered in the negative. On the evening […]
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Contract's Waiver of Subrogation Clause Insulates Bank's Alarm Company From Burglary-Loss Suit
Abacus Fed. Sav. Bank v ADT Sec. Servs., Inc. et al., Respondents, Holmes Protection of New York, Inc., et al., Defendants George S. Sava, for appellant. Charles Eblen, for respondent ADT Security Services, Inc. Dennis M. Rothman, for respondent Diebold Incorporated, Inc. CIPARICK, J.: Plaintiff Abacus Federal Savings Bank (Abacus) commenced this action against defendants […]
ISO ClaimSearch Tracks Social Media Postings
ISO has announced a new resource that will help claims and fraud investigators identify an individual’s presence on social networking websites. Web Presence Search – available through the ISO ClaimSearch® Decision Net® public records information portal – can identify an individual’s “web footprint” or trail of digital information left as a result of postings on […]
Verisk Introduces Crime Analytics
Verisk (Nasdaq:VRSK), a leading source of information about risk, has announced the formation of Verisk Crime Analytics, reflecting the company’s recent growth in crime analytics and its potential penetration into this growing market. Following other recent product launches and acquisitions, Verisk currently owns and operates national crime databases that provide services to the construction, retail, […]
Social Media-From Their Point of View
Michael Loguercio
Face to Face
As so many followers of this column, I am a father of a 20 year old son and a 17 year old daughter (going on 40!) who like so many of us “old people” use some form of social media in our daily lives whether it is for business, pleasure, or education. As a very […]
Optimistic.
When Easter, Passover, and the flowering of Spring all happen in the very same short frame of time, the pull of optimism is irresistible. While I do not quite agree with the legendary anthropologist, Sir James Fraser, that there is merely something instinctual about our assignment of Springtime to ritual change and transformation, I must […]
Simple Tips to Avoid Disciplinary Actions
Licensed insurance producers in New York often subject themselves to unnecessary disciplinary action by the State of New York Department of Financial Services (“DFS”). Of course there are serious issues with misappropriating premium funds and other untrustworthy or egregious conduct, but the tips below address more routine and procedural issues, which, if complied with, can […]
Springtime for… Compliance
By Kathy Donovan, Wolters Kluwer Financial Services The insurance industry experienced yet another year of significant legislative and regulatory activity in 2011, with the promise of continued growth in this level of activity this year. Close to 22,000 statutes, regulations and bulletins impacting the insurance industry were newly created, revised or issued last year, and […]
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Risk Retention Groups: Financial Stability is Focus of Demotech Analysis
GAO and NRRA at Odds Despite current economic uncertainties and the dialogue between the General Accountability Office (GAO) and the National Risk Retention Association (NRRA), Risk Retention Groups (RRGs) in total improved reported results in a number of key areas for the year ending December 31, 2011. The GAO issued its report pertaining to the […]
The Case Against Artisan Policies
On April 24, 2012, the Appellate Division in New York decided a case against an insurance company involving the New York False Claims Act and the issuance of “artisan policies.” Artisan policies are designed to provide coverage for small contractors, such as carpenters, plumbers and roofers, or other skilled manual laborers, but do not generally […]
Intentional Acts Exclusion Smith v Geico Ins. Co. v Liberty Mutual Insurance Co.
This is an action to recover nofault insurance benefits, including outstanding medical bills and loss of earnings, from Geico. It appears that, on or about September 2, 2008, the plaintiff was injured when he was involved in an accident with a motor vehicle operated by nonparty Edward J . Conrad. Geico insured the plaintiff’s vehicle, […]
Going it Alone…or, Better, Together.
Many agents and brokers aren’t interested in being involved in industry affairs and organizations. They won’t commit time and effort on common issues, matter of fact they won’t even attend meetings. They leave those issues to a relatively small group of dedicat ed and committed agents that serve year after year. I realize that their […]
Another Kind of Hero
Michael Loguercio
Face to Face
For those of us who are fortunate enough to know Dave Isenberg, this story will not surprise you as he is always one to put others before himself, and to use his life’s experiences to selflessly assist those who may benefit from it. A veteran of the insurance industry for nearly 50 years, David recently […]
House Financial Services Committee Chairman Spencer Bachus Named Big “I” Legislator of the Year
WASHINGTON, D.C.—The Independent Insurance Agents & Brokers of America (the Big “I”) named U.S. House of Representatives Committee on Financial Services Chairman Spencer Bachus (R-Ala.) as the Gerald Solomon-IIABA Legislator of the Year for 2011. In his address to the group, Rep. Bachus discussed numerous issues that impact the small business community, consumers and the […]
CPCU Liability Coverage for Defective Products, Impaired Property, and Product Recall Updates on Homeowners Residency Issues and an Employee Dishonesty Loss That’s One for the Books
Jerry Trupin
Exposures and Coverages
What’s Your Problem?With this column I’m starting an occasional discussion of problems sent by readers and friends. If you have a problem you’d like my thoughts on, send it to me at cpcuwest@aol.com. Here’s the first one: An agent in Rockland County, NY asks: I have a contract metal/plastic fabrication firm as a client. They […]
Moving Around Town
We continue to marvel at what our colleagues will invent, create and grow in the insurance sphere. Of course, not everything grows to full fruition, some things die halfway through their season, a fact of which we are reminded over and over again in our travels in the industry. I can not tell you how […]
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SLAPP: Malpractice Coverage Impacted Increasingly by Recent Decisions
Malcolm S. McNeil Ismael Bautista, Jr. Certain lawsuits create a snarl of considerations that require an adjustor to carefully assess the ramifications of the dispute and litigation in a way that effectively weighs the future costs against the ongoing exposure to bad faith and the implications of dealing with insured and uninsured claims within the […]
Proposed Insurance Regulation No. 68-C: No Fault Insurance
The Superintendent of Financial Services has proposed Regulation No. 68-C to address no-fault insurance fraud. The proposed regulation is designed to curb abuse of the no-fault insurance system. Highlights are as follows: • Health care providers will have to comply with a 120 day period to provide requested information or the claim can be denied. […]
A Lawyer Walks into a Market of Last Resort …
I have a client who happens to be an attorney. I’ll call him Joe for purposes of the story I’m about to share. Joe recently called me for advice about a client of his who was having a problem with the New York State Insurance Fund. I understand the client was audited and the NYSIF […]
By Way of Introduction…
Welcome to our first Insight column! When Steve Acunto asked me to write a regular column for Insurance Advocate, my first reaction was negative. At this stage in my career, why undertake an assignment with deadlines and the constant pressure to come up with something interesting and informative for the readership? Then I went back […]
“Partners”
In this issue of the Insurance Advocate Peter Bickford’s column premieres on page 12. Peter is a longtime, rather astute observer of the business, whose work we have featured with great pride over the years. We believe that, in keeping with the Insurance Advocate’s mission to observe regulation and legislation that affect the progress of […]
How About A Little Phone Text?
If u cn rd this den u prbly no where im goin wid this article. Texting. It’s everywhere. Everyone is doing it. Don’t worry, it won’t hurt, and I promise you won’t get pregnant the first time you try it. Very quickly it is replacing all means of electronic communication, and I would venture to […]
DFS Fines Insurers $2.7 Million
DFS Investigation Uncovers Widespread Violations, Consumers “Left In Dark” Benjamin M. Lawsky, Superintendent of Financial Services, announced that 15 insurers have been fined $2.7 million because they failed to notify small businesses that they were eligible to buy special insurance coverage for mental illnesses and children with serious emotional disturbances. Oxford was fined $1.3 million, […]
Advertising Regulatory Group Recommends Allstate Discontinue Certain Claims in ‘Mayhem’ Campaign
NAD Finds Advertiser Can Support Certain Claims, Following Progressive Challenge NEW YORK, NY– The National Advertising Division of the BBB has just recommended that Allstate discontinue certain advertising claims made in its “Mayhem” advertising campaign, and modify additional claims. NAD determined, however, that the company could support one challenged claim, as well as the tagline: […]
Fraudulent Incorporation
Concourse Chiropractic, PLLC v State Farm Mut. Ins. Co. Defendant moves for summary judgment. Plaintiff moves to compel discovery.[FN1] BACKGROUND Concourse Chiropractic, PLLC (“Concourse”) sues as assignee of Odalis Guzman (“Guzman”) seeking to recover first party no-fault benefits for chiropractic treatment it provided to Guzman. Concourse submitted bills for treatment it provided to Guzman for […]
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Let’s not boast, but…
In this issue of the Insurance Advocate, Steve Ruchman uses the word mensch which now possesses the universal meaning of “stand up guy”. This is not an expression new to insurance in these parts, given its provenance from the Yiddish quarters of New York. For many years, the insurance industry has been an unsung hero […]
Mensches
Lately, I’ve noticed a trend in advertising by direct writers. They’re focusing on the advantages of buying insurance from a local agent. Even that dreadful lizard has opened up local offices (albeit few and far between) so it can attract customers who seek local experts and compete with independent insurance agents. I’ve always said a […]
“A Billion Here, a Billion There, and Pretty Soon You're Talking Real Money."
(Attributed to Everett M. Dirksen, US Senator from Illinois, 1950-1969) Based on a very unscientific twoitem sample – the recent J.P. Morgan trading loss and the Executive Life of NY (ELNY) loss – the minimum point for media outrage apparently is $2 billion. How else can one explain the media attention to the $2 billion […]
Edmund Kelly Named President of AAIS; New Yorkers Among Leaders
Wheaton, Ill. Edmund J. Kelly of Boulder, Col. was recently chosen president of the American Association of Insurance Services (AAIS), an organization that develops policy forms and rating information used by more than 700 P/C companies throughout the U.S. Kelly’s appointment was announced by Paul Baiocchi, the longtime president of AAIS who will continue as […]
Surety Claims are "Insurance" for Purposes of Priority When Insurer Is In Rehabilitation
More than a decade ago, on October 10, 2001, Supreme Court, New York County (Lehner, J.) granted the application of the Superintendent of Financial Services (“the Superintendent”) to be appointed as rehabilitator (“Rehabilitator”) of Frontier Insurance Company (“Frontier”) pursuant to Article 74 of the Insurance Law (“Article 74”). In a Decision & Order dated July […]
Pollution, Certificates of Insurance, and Duty to Defend
Let’s look at some different points of view on three perennial liability insurance problems: Pollution, Certificates of Insurance, and Duty to Defend. Pollution May Not Mean Pollution “A rose is a rose is a rose,” but pollution is not always pollution. In the early 1970s, faced with enormous pollution liability claims arising from newly enacted […]
It’s The DEADLIEST Time of the Year!
Michael Loguercio
Face to Face
So here we are Memorial Day… and all I keep hearing from those I know are, “Can you believe the summer is here already?” Quite frankly it felt like summer was here all winter, but this weekend means that it’s time to open the pool, power wash the deck, freshen up the flower beds, and […]
Willis D&O Dictionary Expands and Clarifies, as D&O Terms Dazzle and Defy We present a synopsis of the dictionary in this issue
Willis North America, the global broker has published its Directors and Officers Liability (D&O) Insurance Dictionary, offering firms a comprehensive overview of terms that are likely to be used in describing their D&O insurance and liability exposures. This Willis publication, updated in response to recent significant changes to the litigation environment facing executives and their […]
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A Lesson in a Tragic Loss
Several weeks ago my family and I lost a very important person. Joe was a big part of our family growing up with my sons and we lost him at 30 years old. After 2 years of fighting a rare form of leukemia his body just couldn’t go on. I remember 2 years ago when […]
First Rehab Life's "Quintessentials" EAP Breaks the Mold
Great Neck, NY – First Rehab Life (The First Rehabilitation Life Insurance Company of America) is now offering Employee Assistance Programs (EAP) services for employer groups of 2 or more employees. While EAPs are nothing new in the world of employee benefits, Quintessentials (First Rehab Life’s non-insurance small group EAP) breaks the mold: The level […]
DFS Report: Size and Content May Send Message
As a history buff and insurance business fan, one of my favorite features of Insurance Advocate has always been the “Looking Back” page, with its reminders of what we were reading about our industry 25 years ago or more. It helps provide perspective, continuity and understanding of the issues that we faced then and that […]
What is Shawangunk?
The “pilgrimage” up to New Paltz, New York, to the formidable Mohonk Mountain Hotel and Resort in the Shawangunk mountains, was truly worth the trip, particularly as the NYIA gave its principal award this year to Cecilia Norat, a great favorite to this writer and a well-known person on these pages. I have said enough […]
50 Shades of Insurance
Michael Loguercio
Face to Face
BYOD: “Bring Your Own Device” to work. So…how many times have you thought of doing it…by yourself… in your office…all alone? What about your employees…do they ever go at it alone in your office? Do they ever do it with other employees? Do they ever do it alone, with their own “personal devices”? No? Are […]
Norat Honored at New York Insurance Association Annual Conference
NEW PALTZ, N.Y.—The New York Insurance Association, Inc. (NYIA) honored Cecilia E. Norat, Esq. with the Chair’s Distinguished Service Award at the association’s annual conference May 31 in New Paltz, N.Y. Norat is a past chair of NYIA and deputy general counsel and director of state relations and Global Regulatory Group for American International Group, […]
County Defaults on Bonds Sold to Insurer, Then Calls Them a "Stupid, Lousy Investment"
Frankenmuth Mut. Ins. Co. v Waste Mgt. of NY, L.L.C. Frankenmuth Mutual Insurance Company, Plaintiff, against Waste Management of New York, L.L.C. and SANITARY DISTRICT NO. 1, TOWN OF HEMPSTEAD, Defendants. Counsel for Plaintiff: Fox Rothschild, LLP Counsel for Defendant (Waste Management): Schnader Harrison Segal & Lewis LLP Counsel for Defendant (Sanitary District): Law Offices […]
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Let The Free Zone Ring!
The insurance and financial industries are constantly seeking new risk spreading options. In recent years these new options have included, among other things, cat bonds, sidecars, special purpose vehicles and insurance linked securities. Alternative risk facilities and options exploded on the scene in the 1980s as a result of tremendous swings in capacity and availability. […]
College Pitcher Assumed Risk of Being Hit by Line Drive During Batting Practice Bukowski v Clarkson Univ.
Almost every day, we are reminded of the injury risks attendant to participation in organized sports. The question presented in this personal injury action is whether a college baseball pitcher assumed the risk of injury associated with his participation in indoor practice. We conclude that plaintiff Bukowski assumed the inherent risk of being hit by […]
Third Circuit Interprets 'Arising Out Of' Clause for UM Benefits Broadly
For uninsured motorist coverage to apply, vehicle liability policies provide that the injury to the insured must be “caused by accident and arise out of the ownership, maintenance, or use of an uninsured auto.” The “arising out of ” clause defines the required causal link between the uninsured vehicle and the injury. Insurers have consistently […]
The Creeping Risk of Mobile and Personal Devices in Insurance
No doubt you’ve heard about the ‘consumerization of IT’ or the Bring Your Own Device (BYOD) trend. BYOD is nothing new in the insurance industry – for many years, independent agents and brokers have used their own computers to access insurance company applications and run their businesses. But you may not be aware of the […]
“So Call Me Maybe…but not while driving!”
Michael Loguercio
Face to Face
Afew weeks ago I wrote a piece in this column about the deadliest time of the year to drive, of which we are currently right smack in the midst of. After speaking with a number of friends of this column, they asked me if it were possible to drill down a little deeper to see […]
Leading M.D. Views the Supreme Court “Obamacare” Decision
The Supreme Court has ruled that Obamacare is constitutional and has upheld the law – a victory for those who want the Federal government to micromanage your life and medical care. This is a tragic defeat, however, for those who support our Founder’s vision of liberty and privacy and the right to control our private […]
On my mind…
Been a hot summer so far for this “bachelor” whose family is in Italy for July. From my occasional porch-perch overlooking the Hudson and from my more likely post, looking over your e-mails, press releases, letters and receiving VM messages and even the occasional anonymous letter, I have kept a number of news and opinion […]
CPCU Hacker Empty Firm’s Bank Account – Who Pays ?
Hackers emptied a construction firm’s bank account to the tune of $558,000. Another firm lost $125,000 when the office manager, in violation of the firm’s written policies, had logged into a social networking site, triggering what computer security consultants call a “corporate account take-over.” If misery loves company, these firms should be very happy; information […]
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DEMOTECH – RATINGS: A Strong, Straight Line in a Complex Grid – A conversation with Joseph L. Petrelli, and Sharon Romano, co-founders, Demotech, Inc.
For a man who deals in complexities, Joe Petrelli’s life has been a straight line to success. Born and raised in Rochester, New York, he graduated from The College of Insurance and had his first full-time job in Syracuse, New York. Joe earned a Masters of Business Administration from The Ohio State University in 1986, […]
On Vacation?
Governor Cuomo has had a busy month while the rest of us have been…busy. It is a difficult time to be an independent business with the economy and so many other pressures pending so work we all must. We did build it and continue to… In any case, it is good news that the Governor […]
Which Government Healthcare Plan is Better?
When politicians promote the superiority of their government plan to “replace” ObamaCare, my reaction is simple: I don’t care what a mugger does with my money. The difference between the thought processes of the Austrian economists and those of other schools is this: the Austrians say in essence that they don’t care what you do […]
“Righting” Insurance For Coops and Condos—Who Insures What?
Jerry Trupin
Exposures and Coverages
Bea and Ben Aden purchased a vacation condo in western New Jersey and were looking forward to some peace and quiet in the country. When their unit was devastated by fire, what they got was exasperation and expense. First they were faced with the ordeal that any homeowner must deal with following a fire, but […]
Climate Liability Risk: Will it be the Next Chapter in the Global “Blame Game”?
It has long been accepted that the “compensation culture” that arose in the U.S. about 40 years ago has in this century taken on global dimensions. A simplistic but accurate description of a compensation culture is a society in which most injuries can be traced to a causal agent from whom damages for the harm […]
Remembering Fred Perrotta
Fioravante “Fred” Perrotta died this past July. His New York Times obituary (July 28, 2012) focused on his public service as a key aide to Governor Rockefeller in the 1960s and later as part of Mayor Lindsay’s administration, including an unsuccessful run for city comptroller. In between those two lives, however, Fred played a significant […]
GUARD Now Writing Disability Insurance in New York
GUARD Insurance Group has announced the immediate availability of a new Disability insurance product in New York. Statutory coverage will be offered through independent agents appointed by GUARD for the state, and a number of optional enhancements will be available. According to GUARD’s Executive Vice President of Insurance Operations Marshall Kornblatt, “We see Disability Benefits […]
An Olympic Sized Policy
Michael Loguercio
Face to Face
So what is incredibly popular, attracts 17,000 athletes from 205 countries, encompasses 26 different sporting competitions, and took place in London, England, for two weeks? Well, to most people it is the Olympics; however to someone in the insurance industry it was just another huge sporting event that needs to be insured. As reported in […]
Is Getting Oil Dumped in Your Basement by a Stranger “Vandalism”? Trial Required to Find Out
In an action to recover damages for breach of contract, the defendant appeals from an order of the Supreme Court, Nassau County (Cozzens, Jr., J.), entered December 12, 2011, which denied its motion for summary judgment dismissing the complaint. ORDERED that the order is affirmed, with costs. The plaintiffs alleged that, in February 2010, they […]
Insurance Company Liquidator Gets Judicial Immunity
This court entered an order (“Liquidation Order”) on November 20, 1997, pursuant to which U.S. Capital Insurance Company (“U.S. Capital”) was adjudged to be insolvent and placed into liquidation. The Liquidation Order appointed the then- Superintendent of Insurance and his successors in office as Liquidator of U.S. Capital. Benjamin M. Lawsky, the Superintendent of Financial […]
New York Court Rejects Arbitration Clause Used in Chartis Workers Comp Policies
Judge Eileen Bransten in the Supreme Court of New York has reaffirmed a decision that may have a wide-ranging effect on the ability of workers compensation insurance companies to enforce the arbitration clauses contained in their workers compensation insurance policies. In National Union Fire Insurance Co. et al. v. Source One Staffing, LLC., Index No. […]
“Start Balancing…Volumes”
We’ve all heard the adage: “Don’t put all your eggs in one basket.” But many of us have broken this golden rule. We get comfortable with one company because it is easy to do business with or because it has been great with claims for our clients in the past, and we build our book […]
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2012/ Past Issues/ September 10
The Battle of the Bar Begins a “War” for Insurance E-buyer Protections
The surprising first person account of independent agent Ed Higgins’ growing campaign to protect auto insurance consumers from online “savings” traps This following personal account of an independent agent’s experience spans more than a two-year period and is presented here following many months of correspondence, voice mail messages, e-mail messages, industry trade publication articles, and […]
2012/ Past Issues/ September 10
Perfecting Clients’ Protection is a Moving Target
– CyberTheft is in the News Again – Umbrella Liability Limits—How High is Up? – Deduct Depreciation to Calculate ACV?—Connecticut Provides an Answer – Exclusion Of Injuries To Employees Of Independent Contractors – To be Indemnified for Legal Costs, the Hold Harmless Agreement Must Spell it Out – Exclusion of Injuries To Employees Of Independent […]
2012/ Past Issues/ September 10
Pre-Existing Conditions – Policy Exhaustion
American Arbitration Association New York No-Fault Arbitration Tribunal In the Matter of the Arbitration between Lutheran Medical Center and GEICO AAA Case No. 412012029477 AAA Assessment No. 17 991 24504 12 Brynne L. Haines, Esq., Arbitrator Summary of Issues in Dispute Does Public Health Law which requires insurers to pay for hospital treatment of […]
2012/ Past Issues/ September 10
“Serving on a Board has Never Been so Risky” – Willis
NEW YORK—Increased regulatory, shareholder and media scrutiny combined with volatility in the global economy means that serving on the board of a company has never been so risky, according to Willis Group Holdings (NYSE:WSH), the global insurance broker, which released its latest Boardroom Guide on Executive Risk. Against a backdrop of almost unparalleled financial […]
2012/ Past Issues/ September 10
Impacting the Independent Agency System Model
Every day it becomes more and more evident to me that the Independent Agency System is at a critical junction. What happens going forward is dependent on the speed at which agencies can adjust to the changes in our business. Consumers have had a multi-million dollar plus annual brainwashing to convince them that insurance is […]
2012/ Past Issues/ September 10
Domestic Excess Line Carrier – An Oxymoron?
During the last legislative session, the Excess Line Association of New York proposed and the Senate passed legislation that would allow the establishment of domestic excess line carriers in New York. At first blush this sounds wrong. By their very nature excess and surplus line insurers are “non-admitted” foreign or alien companies that can only […]
2012/ Past Issues/ September 10
What Does “Free Market” Mean in Orwellian Newspeak?
We are accustomed to Newspeak from the federal government, in which words have the opposite of their traditional meaning. For example, there’s what I call UCA, the (Un)affordable Care Act. But now the problem is metastasizing to supposedly conservative publications and nominally free-market think tanks. In an article in The Weekly Standard, Eli Lehrer, president […]
2012/ Past Issues/ September 10
One Side of a Mini Saga
The mini saga of Ed Higgins’s experience vis-à-vis what he identifies as a misleading element in a direct writer’s internet sales program, gets a full, yet clearly one-sided airing in this issue. We have fact checked and read all of the materials provided to us by Mr. Higgins with respect to his experience and found […]
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2018/ Past Issues/ September 24
PIANY Taps Top Talent for Year
GLENMONT, N.Y.—Jamie A. Ferris, AAI, CIC, CPIA, of Lansing, N.Y., was elected president of the Professional Insurance Agents of New York, at a meeting of the association’s board of directors today, at PIANY Headquarters in Glenmont, N.Y. Ferris is president of P.W. Wood & Son Inc., in Ithaca, N.Y. An active member of PIANY, Ferris […]
2018/ Past Issues/ September 24
Barry Bares All
Our popular columnist, Barry Zalma, has just put pen to paper and has produced claims books that are worth the money – really. His premise is that it is the insurance claims person – the adjuster – who works to keep the promises made by the insurance policy. The adjuster cannot, however, help the insurer […]
2018/ Past Issues/ September 24
When you’re finished changing, you’re finished. – Ben Franklin
There’s an abundance of quotes about the inevitability of change; against resisting change; and most appropriately about the value of change. The place I’ve heard most of them are at PIA. The organization is always at the forefront of our industry, and the visionaries who have led the organization call repeatedly for agents to be […]
2018/ Past Issues/ September 24
Expanded and Improved Medicare for All: Beware of Greeks Bearing Broccoli
by Marilyn M. Singleton, M.D., J.D. During the Supreme Court oral arguments in the challenge to the Affordable Care Act’s mandate to purchase health insurance, people laughed when the late Justice Scalia asked whether the government could make you buy broccoli. Never happen? The laughable has become reality. A California bill awaiting the governor’s signature […]
2018/ Past Issues/ September 24
Legal Analytics: ‘Must-Have’ Tool Assists Carriers in Data-Driven Legal Decisions and Success in Litigation
by Ronald C. Porter The insurance industry relies heavily on analytics to understand and predict risk when writing policies. But what happens when a disputed claim becomes a legal matter? Shouldn’t insurers apply those same kinds of analytics to understand and predict their legal exposure? Until recently, insurance litigation relied heavily on legal research, anecdotal […]
2018/ Past Issues/ September 24
The De-sciencing of American Medicine and What it Means to You
With all the talk about “evidence-based medicine,” you might think that doctors were becoming much more focused on rigorous science. But like the names attached to bills in Congress—such as the Affordable Care Act, which outlaws affordable insurance, the language used in the movement to fundamentally transform America and American medicine usually means the opposite […]
2018/ Past Issues/ September 24
Failure to Exceed SIR Releases the Excess Insurers
Insurance Advocate On My Radar
No Cover Available from Excess and Umbrella Policies Insurers use a self-insured-retention (SIR) to avoid the expense of dealing with small claims and avoid the expense of defending or indemnifying an insured until the SIR or underlying insurance is exhausted. As a result the excess insurer can charge a small premium because its exposure is […]
2012/ 2018/ Past Issues/ September 24
WAHVE “Hello”
Work At Home Vintage Employees LLC (WAHVE) is an interesting concept. Essentially, it is a domestic remote staffing service for insurance firms. There are some firms which provide for staffing and for services outside of the U.S. In this case, WAHVE employs the services of retired, semi-retired, or outside consultants to assist organizations with the […]
2012/ 2018/ Past Issues/ September 24
Immunity For [All] Some!
Peter Bickford
Cover Story, Insight
Let’s have a little chat about immunity. No, not immunity from retribution for squealing on Aunt Bea and her high stakes Saturday night poker game, or for giving state’s evidence against the mob before disappearing into witness protection. And no, not immunity for blowing the whistle on your employer, or for acting badly as a […]
2012/ 2018/ Past Issues/ September 24
Doing The Right Thing
Readers of this column may recall my affinity for locally owned book stores. I love shopping at and spending time in them; of course I love the products and the service and it makes me very happy to know that I am supporting a local merchant. Even as I’ve become a reader of digital books […]
2012/ 2018/ Past Issues/ September 24
When a Hundred Percent is Just Not Good Enough
So all your life you have been striving to do everything you can to ultimately achieve the 100% level, correct? Well that’s certainly an admirable goal…unless you’re an insurance company! Years ago when interest rates were at record highs, and carriers could invest in funds that brought double digit returns, being at a 100% combined […]
2012/ 2018/ Past Issues/ September 24
Disability Carriers Launch “Defend Your Income”
Effort Focuses on Educating Working Americans on Need to Protect Their Income PORTLAND, M.E.—In an effort to make the often- overlooked subject of disability income planning more visible, the Council for Disability Awareness (CDA) and its member companies announced the launch of the Defend Your Income movement. This educational program seeks to unite consumers, advisors, […]
2012/ 2018/ Past Issues/ September 24
Go Know: a Chupah is a "Structure" For Purposes of Labor Law
McCoy v Kirsch Note: A “chupah” is a canopy, usually made of fabric supported by wooden posts, under which a bride and groom perform a traditional Jewish wedding ceremony. — LNR APPEAL by the defendants, in an action to recover damages for personal injuries, as limited by their brief, from so much an order of […]
2012/ 2018/ Past Issues/ September 24
Top 25 Writers Prop Up Premium for New York Commercial Automobile
For the year ending December 31, 2011, Direct Premium Written (DPW) for New York commercial automobile writers remained relatively flat compared to the year ending December 31, 2010, decreasing less than one percent. This decrease to New York commercial automobile DPW represents an approximately $10 million change from the prior year. In fact, DPW has […]
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Leaders Enliven LICONY Legislative Confab in Cooperstown
The Twelfth Annual LICONY Legislative & Regulatory Conference Nearly 140 conferees from the life insurance industry, leading professional firms that serve the industry, and prominent insurance regulators and legislators took part. The meetings were substantive, the social events were enjoyable, and the weather was perfect. Proof that there is Life in Cooperstown after the summer […]
Spine.
Response to Ed Higgins’s article in the last issue of the Insurance Advocate was swift, sharp and abundant. The majority of e-mails came from insurance agents who expressed their admiration for Ed and for his work. We have not yet heard from any of the other protagonists whose opinions and positions we have invited and […]
When is a Release Not a Release?
When is a Release Not a Release? Once again the NY Insurance Department* is attempting to narrow the ability of insurance companies to settle claims. Current Regulation 64 provides a straightforward requirement that insurers cannot require a claimant to sign a release as a condition of settlement that is “broader than the scope of the […]
What is The Workers’ Compensation Split Point, How is it Changing, and Why Should You Care?
Jerry Trupin
Exposures and Coverages
To calculate workers compensation experience rating modifications, an insured’s incurred losses are split into a primary loss portion and an excess loss portion. The amount of the incurred loss equal or less than the “split point” is the primary loss and the portion in excess of the split point is the excess loss. Effective January […]
Where Have All The Young People Gone?
Certainly not into the insurance industry and definitely not into independent insurance agencies. What a surprise! What young 20 something college graduate wouldn’t want to go to work in an industry portrayed in TV commercials as two doofuses in light blue suits? What intelligent, young person with a great personality wouldn’t flock to an industry […]
So You Want To Be A Track Star…Well Start Tracking!
Michael Loguercio
Face to Face
As someone who visits with agencies in many areas of our country on a daily basis, I probably “have heard them all” when it comes to questions that are posed to me by agents regarding everything from “What are the most competitive carriers?” to “What technology is available to help me increase my bottom line?” […]
Subway Doors Catch Plaintiff's Foot While Exiting; Defense Verdict Vacated, Then Reinstated
Selzer v New York City Tr. Auth. This appeal arises out of a personal injury action in which the plaintiff alleges that he sustained injuries as he was exiting a subway car on the R train at Whitehall Street, Manhattan. At trial, the plaintiff testified that the defendant’s conductor negligently closed the doors on his […]
Disciplinary Actions Against Insurers, Agents, Brokers & Adjusters
So far in 2012 the New State Department of Financial Services (DFS) has not issued any publicly available Office of General Counsel Opinions. A review of the most recent disciplinary actions taken by the DFS against insurance companies, agents, brokers, and adjusters (released September 10, 2012), sheds some light on what areas have been the […]
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PRI Marks 30th Year
Physicians’ Reciprocal Insurers (PRI) marked its 30th Anniversary on Thursday, September 27, 2012, during a gala event held at the de Seversky Mansion on Long Island’s north shore. More than 100 guests were in attendance to celebrate the benchmark anniversary of the physician centered insurer, founded by medical doctors for the insuring of their colleagues […]
Better than a PR Campaign….
There is no better image maker for the insurance industry than its performance in the wake of a catastrophic event. Hurricane Sandy was just such an event here in the Northeast. Interestingly, on the very day the storm attacked the tri-state area, there were at least two major insurance agent events scheduled: the Down State […]
A Primer For Agencies: Understanding the Arbitration Clause
Arbitration has been the preferred method of dispute resolution in the reinsurance arena for decades and has grown into quite its own industry, including the development and standardization of forms and procedures, and a proliferation of law firms, consultants and other service providers specializing in reinsurance arbitrations, and of “certified” or “qualified” arbitrators (I confess […]
Support for the Agency System is Key to Success
Note from Steve Ruchman: Readers of this column know its purpose is to voice the professional independent agents’ perspective on our industry. The following was written by PIA National President Andrew C. Harris. It’s absolutely salient and appropriate and I couldn’t have said it better myself, so I’m using this space to share his message […]
“5 Days From Hell”
Michael Loguercio
Face to Face
Once again I am sitting on a US Airways flight, travelling to Dallas, TX for our annual EZLynx sales meetings. It’s always an enjoyable time, getting to visit with “our gang”, learning about new products, and sharing ways to improve the technological experience for all those involved in this thing of ours that enjoy the […]
Landlord's Hallway Camera Catches Hubby with Female Visitor; Lawsuit for Prima Facie Tort Survives Dismissal
Otero V Houston St. Owners Corp. I. BACKGROUND Plaintiffs sue to recover damages for invasion of privacy from defendants’ installation of cameras on premises where plaintiffs were tenants. Defendants Chaim Babad and Houston Street Owners Corp. owned and defendants Babad Management Co. and Houston Street Management Co. managed the premises. Defendants move to dismiss the […]
Deer in The Headlights
Deer-Vehicle Collisions Rise as Claims Near 8 Percent in Four Years The expanding urban sprawl finds more roads being built through wildlife habitats displacing deer from their natural habitat, leading to a rise in deer-vehicle collisions, according to the Insurance Information Institute (I.I.I.). Deer migration and mating season generally runs from October through December, and […]
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2012/ November 12/ Past Issues
IFNY Free Enterprise Award to AIG’s Robert Benmosche
The Insurance Federation of New York, Inc. (IFNY) bravely held its 98th Annual Free Enterprise Award Luncheon on November 9th, drawing a crowd of 350 insurance leaders to New York’s Cipriani Wall Street. It was the first affair held after Hurricane Sandy at the venue and, according to the Guest of Honor, Mr. Robert Benmosche, […]
2012/ November 12/ Past Issues
No Tie Required
Given the destructive power and resulting disaster that followed our recent hurricane, I believe that some systems need to come together a little better than in the past. In speaking with a friend who is very close to the adjusting process, I inferred from him that, had insurers been involved in FEMA and in other […]
2012/ November 12/ Past Issues
Insurance Solvency Regulation: Quo Vadis?
It is hard to escape hearing about Solvency II, the EU plan to strengthen the financial requirements for insurers, and the US efforts to address the consequences of these new standards on domestic companies. For most of us our eyes glaze over with the mere mention of the subject, and certainly with the details. However, […]
2012/ November 12/ Past Issues
What are the Traps in Wrap-Up Exclusions? What if a Condo/Coop Doesn’t Rebuild After a Loss? What Does ‘Reside’ Mean in a Homeowners Policy?
Jerry Trupin
Exposures and Coverages
Who said these topics aren’t related? They all begin with a W. It’s WWW; not the world wide web of the Internet but the world wide web of insurance. What Are the Traps in Wrap-Up Exclusions? Wrap-up programs combine general liability, workers compensation and umbrella insurance coverage for all contractors working on large construction projects. […]
2012/ November 12/ Past Issues
Weathering the Storm
Long Island agents’ priorities have shifted. The storm that has devastated my friends and neighbors is a top priority. While much of the Insurance Advocate’s readership is in affected areas, I still want to share my observations and invite you to share yours with me. After the storm, we have had a minor earthquake, and […]
2012/ November 12/ Past Issues
Getting Fannies In Facebook Seats
Michael Loguercio
Face to Face
So ten days have passed since I composed my most recent article on what is now being called by the mainstream media as “SuperStorm Sandy”, and I’m back on a US Airways flight only this time headed home to Long Island from our EZLynx sales meetings. Every early morning while I was away, I have […]
2012/ November 12/ Past Issues
Court Orders In-Camera Review of Insurer's Claims File to Determine What Parts Must Be Disclosed
McLaurin Fields v First Liberty Ins. Corp. Mildred Collins was the owner of the property located at 21 Tilney Avenue in Medford, New York and had a homeowners policy of insurance with the defendant until her death on July 28, 2008. The homeowners policy was renewed and issued to the Estate of Mildred Collins effective […]
2012/ November 12/ Past Issues
Defensive Medicine: How to Survive Obamacare
By Richard Amerling It’s been a horrible year for individual liberty. First, John Roberts re-writes the Obamacare legislation in order to side with the four liberals on the U.S. Supreme Court to uphold the constitutionality of the individual mandate. Then Mitt Romney, a moderate technocrat, failed to make the case to change course with the […]
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2012/ November 26/ Past Issues
FACING US NOW: A concise outline of critical national issues and their implications for your business
The Patton Boggs law firm is a national leader in public policy and related areas. We present their thinking on what faces us as citizens and business leaders. S.A. To put matters in perspective: Unless current law is amended, all of the Bush tax cuts will expire at the end of the year, as will […]
2012/ November 26/ Past Issues
Post Sandy Strategies
When Governor Cuomo announced appointments to three commissions – NYS 2100, NYS Respond, and NYS Ready – the groups charged with undertaking a review and making recommendations to “overhaul New York State’s emergency preparedness and response capabilities, as well as examining how to improve the strength and resilience of the state’s infrastructure to better withstand […]
2012/ November 26/ Past Issues
Rethinking Insurance Guaranty Funds
It’s probably a good thing that the NY Insurance Law prohibits advertising the existence or terms of a life guaranty fund in the sale or solicitation of life insurance products. The statutory caps for the NY life funds are fully committed to the $1.6 billion deficit of Executive Life Insurance Company of New York (ELNY), […]
2012/ November 26/ Past Issues
New York’s Highest Court Strengthens Policyholder’s Rights and May Place Insurance Brokers at Risk
Sari Gabay
From Counsel, Legal
On November 19, 2012, the New York Court of Appeals – the highest court of the State of New York, apparently strengthened the rights of policyholders as against their insurance brokers. In American Building Supply Corp. v. Petrocelli Group, the plaintiff-insured was required by its lease to obtain general liability insurance in the m i […]
2012/ November 26/ Past Issues
Court Orders In-Camera Review of Insurer's Claims File To Determine What Parts Must Be Disclosed
McLaurin Fields v First Liberty Ins. Corp. Mildred Collins was the owner of the property located at 21 Tilney Avenue in Medford, New York and had a homeowners policy of insurance with the defendant until her death on July 28, 2008. The homeowners policy was renewed and issued to the Estate of Mildred Collins effective […]
2012/ November 26/ Past Issues
Central Planners’ Miscalculations Have Consequences
After the election, the victors are exulting that ObamaCare is here to stay, and that the “best is yet to come” as their glorious plans to “fundamentally transform America” can proceed. In their intellectual arrogance, the power- seekers have left a key variable out of their calculations: human behavior. Their predictions, for example, of increased […]
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2012/ December 17/ Past Issues
IICF Northeast Largest-Ever Grant Distribution
The Insurance Industry Charitable Foundation (IICF) Northeast division made its largest-ever distribution of charitable grants at its sixth annual benefit dinner on Wednesday December 12, 2012. The total amount of awarded grants is $960,000. David Brinkman, chair of the IICF Northeast division board and executive managing director of Aon Benfield, reported that the division has […]
2012/ December 17/ Past Issues
The Lead Story.
I think the best way to conclude Insurance Advocate’s 123rd consecutive year of serving the industry is to run the article that appears on page 3, describing the industry’s generosity and service. We presented a similar message last issue in the IFNY story on the new charitable initiative the Federation has undertaken. It’s a story […]
2012/ December 17/ Past Issues
Wrapped in Foil!
Many, many years ago, I worked for an overly demanding boss. One day when New York City was being pummeled by record snows – one of those memorable blizzards where people were skiing down empty Manhattan avenues – my boss emerged from his office demanding that the mail be brought to him. When the receptionist, […]
2012/ December 17/ Past Issues
Insured’s Failure to Read Policy Does Not Automatically Bar E&O Claim Against Broker Dot The “I’s” and Cross the “T's" on NFIP Claims False Address on Auto Policy Voids Coverage If Contract Doesn’t Require Additional Insured Status, You Don’t Get It
Jerry Trupin
Exposures and Coverages
A Breech in the Dike? Successful lawsuits against producers by New York insureds alleging errors or omissions are few and far between. The key word is “successful.” Hope springs eternal, so there are plenty of lawsuits—just not many successful ones. A recent New York Court Of Appeals decision may change that. American Building Supply Corp […]
2012/ December 17/ Past Issues
Taste the Soup!
Michael Loguercio
Face to Face
The Holidays! They are here! …and before we can sprinkle that last bit of reindeer dust or shout out, “Now Dasher! Now, Dancer! Now, Prancer and Vixen! On, Comet! On, Cupid! On, on Donner and Blitzen! …they will most likely have passed so quickly once again! This year, as in the past, so many of […]
2012/ December 17/ Past Issues
New York’s Highest Court Strengthens Policyholder’s Rights and May Place Insurance Brokers at Risk
On November 19, 2012, the New York Court of Appeals – the highest court of the State of New York, apparently strengthened the rights of policyholders as against their insurance brokers. In American Building Supply Corp. v. Petrocelli Group, the plaintiffinsured was required by its lease to obtain general liability insurance in the minimum amount […]
2012/ December 17/ Past Issues
The Patient Protection and Affordable Care Act and the Fiscal Cliff
By: Marilyn M. Singleton, M.D., J.D. It’s doubtful that the country will be popping bottles of champagne on January 1, 2013—we can’t afford it. But we will be throwing confetti printed by the Federal Reserve over a cliff. As of November 27, 2012, the country’s debt was $16.279 trillion—just $115 billion below the $16.394 trillion […]
