The National Oceanic and Atmospheric Administration said the derecho that struck of Iowa and part of Illinois in August caused an estimated $7.5 billion of damage, which would surpass the total for all but one of the 10 hurricanes or tropical storms that have made landfall in the US this year. "One could make a strong case that this is the most destructive individual thunderstorm cluster on record in terms of damage cost," said Steve Bowen of Aon.
A subgroup established by the National Association of Insurance Commissioners is seeking comment on principles that could affect how policyholders of long-term-care insurance are able to choose between higher premiums and reduced benefits. Another draft set of principles focuses on communication between issuers and policyholders.
Congress took a big step forward when it enacted the Setting Every Community Up for Retirement Enhancement Act toward getting annuities into workplace retirement plans, according to Kathleen Coulombe of the American Council of Life Insurers. "Employers received regulatory clarity so that they can feel more comfortable providing an annuity investment option," she said.
APCIA President and CEO David Sampson said the potential for political unrest means it is important "for the industry to have a voice of reason and concern and call us to our better angels to trust the system of checks and balances that are embedded in American society and our government." Speaking during a recent Travelers virtual event, Sampson also discussed APCIA's efforts to halt measures that would require retroactive coverage of coronavirus-related business interruption losses, saying that "we feel reasonably optimistic that we have it contained this year."
A virtual investigatory hearing scheduled for today will allow for public comment ahead of California Insurance Commissioner Ricardo Lara's planned regulatory actions on wildfire-related homeowners insurance issues. Lara said he intends to act with regard to the way insurance rates are set, mitigation incentives and standards, and transparency in fire risk scores.
Vehicle owners should refrain from driving with reduced coverage that can leave them liable for accidents or medical expenses, APCIA's Robert Passmore said. Drivers seem to be turning to usage-based insurance and online shopping for coverage as driving has declined amid the coronavirus pandemic, Passmore said.
The workers' compensation market fared better than expected during the first half of 2020, remaining competitive amid the coronavirus pandemic, Marsh says in a report. However, factors such as reductions in payroll and compensability presumptions for COVID-19 pose challenges for the sector, and premiums could see a 20% decrease this year and drop further in 2021, the report says.
Officials have ordered evacuations of homes at risk from two wildfires that began in Colorado's Boulder County over the weekend. Meanwhile, two wildfires in Utah burned a total of more than 3,000 acres within a day of breaking out on Saturday.
California Gov. Gavin Newsom said his state will receive federal aid to help it recover from six recent wildfires. The Federal Emergency Management Agency previously had denied such aid and said the fires were not severe enough "to exceed the combined capabilities of the state, affected local governments, voluntary agencies and other responding federal agencies."
Pacific Gas and Electric's emergency operations center had few employees who were trained on California's Standardized Emergency Management System before coordinating blackouts last year, The Associated Press reports. PG&E said about 90% of such employees have undergone the mandatory initial training this year.
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