Industry News
Insurance
Top stories summarized by our editors
9/24/2021

Miles driven on US roads in July totaled 290.1 billion, an 11.5% year-over-year increase as driving grew closer to pre-pandemic levels, according to the Federal Highway Administration. In June and July, miles driven in rural areas exceeded pre-pandemic numbers, and the West was the region with the sharpest rise in driving in July, with a 13.1% increase, federal data shows.

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Reuters
9/24/2021

Many millennials put off getting life insurance, but there are a number of reasons why they should secure a policy. These include if they own a small business and if they have a cosigner on their student loans.

9/24/2021

Financial firms need to think seriously about the requirements of Regulation Best Interest and establish appropriate policies and procedures, officials from the Financial Industry Regulatory Authority and Securities and Exchange Commission said. "We had some firms just take the word 'suitability' and replace it with 'best interest' in their written supervisory procedures -- not really understanding the new requirements that have come into effect with the rule," said Nicole McCafferty, examinations director at FINRA.

9/24/2021

The Kiefer Foundation, StopDistractions.org and the National Transportation Safety Board have established the National Distracted Driving Coalition. A key goal of the coalition is to harness social media to make distracted driving as socially unacceptable as driving under the influence of alcohol, says Steve Kiefer, chairman of the Kiefer Foundation and president of General Motors international.

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Today
9/24/2021

An APCIA report cites increasing severity and frequency of accidents as a key driver of rising auto insurance claims costs, with heightened repair expenses adding to pressure on auto insurance costs that is poised to continue into 2022. "Insurers continue to monitor the situation closely, though as frequency and severity continue to rise, insurers may be forced to pass these loss costs along to policyholders," the report says, and some major insurers have begun seeking approval for rate increases.

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P&C Specialist
9/24/2021

Lenders and other stakeholders in the mortgage market are unequipped to assess or mitigate their climate risk, and that could have insurance implications, says a report from the Mortgage Bankers Association's Research Institute for Housing America. For example, lenders securitizing loans via Fannie Mae and Freddie Mac might have to pay more for representations and warranties insurance, and they could face tougher due diligence requirements in evaluating whether a home must have flood insurance, the report says.

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CNBC
9/24/2021

Workers' compensation COVID-19 death claims in California are up 51% compared with February, when the data was last analyzed, according to the California Workers' Compensation Institute and the state Division of Workers' Compensation. "The working-age population represents about 3 out of 4 infections of all Californians, regardless of age, and about 1 in 4 of all fatalities," CWCI President Alex Swedlow said.

9/24/2021

Employers should start taking steps to ensure their Equal Employment Opportunity Commission processes and HR departments are ready for the forthcoming federal COVID-19 vaccination requirements, experts say. Improper handling of exemption requests can violate anti-discrimination laws, and employers should bring in HR professionals, consultants and counsel as necessary to prepare for such issues, lawyer Adam Kemper says.

9/24/2021

The National Flood Insurance Program's upcoming Risk Rating 2.0 methodology is drawing criticism as about 331,000 single-family homes are poised for rate increases ranging from $120 to $1,200 in the first year, and brokers are expressing concern about further increases over the duration of a mortgage. Homeowners without flood coverage can buy it before Oct. 1, when Risk Rating 2.0 takes effect, to "ensure that they get on the glide path toward their full risk rate" while mitigating annual rate increases, writes Lindsey Erickson of National Flood Services.

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National Flood Services
9/24/2021

The Federal Emergency Management Agency is looking to become more proactive when it comes to addressing climate change and the rising number of disaster events, says Deanne Criswell, the agency's administrator. Using data to focus on future risks is a key part of the process, says Criswell, who also explains how the agency is working to make the National Flood Insurance Program more accessible.