In this week's news will talk about Allstate reports Q4 catastrophe losses, Florida lawmaker proposes bill to make changes in insurance coverage, and much more...
Allstate reports Q4 catastrophe losses
Allstate revealed Wednesday that its catastrophe losses for the fourth quarter of 2023 amounted to $68 million.
In the same quarter, the Illinois-headquartered insurer said it had $199 million in unfavorable prior-year reserve re estimates, excluding catastrophes.
Approximately $148 million of this total went towards personal auto claims, according to Allstate, including the costs associated with claims in litigation.
In a news release, chief financial officer Jess Merten said the company has been focused on making progress on its profitability plan throughout the year.
In the same quarter, the Illinois-headquartered insurer said it had $199 million in unfavorable prior-year reserve re estimates, excluding catastrophes.
Approximately $148 million of this total went towards personal auto claims, according to Allstate, including the costs associated with claims in litigation.
In a news release, chief financial officer Jess Merten said the company has been focused on making progress on its profitability plan throughout the year.
New York DFS zones in on insurance AI discrimination
The New York State Department of Financial Services (NYDFS) has raised “significant concerns” over the potential for insurance AI and external consumer data use to result in discrimination and set out that guidance is needed to ensure the technology does not drive unfair outcomes.
In a letter sent to insurers, dated January 17, the NYDFS zoned in on underwriting and pricing, warning of the risk of “unfair adverse” effects stemming from the use of AI and external consumer data and information sources (ECDIS).
While it acknowledged that AI and ECDIS could simplify and expedite processes, the NYDFS pointed to the risk of systemic biases in ECDIS that could “reinforce and exacerbate inequality”.
In a letter sent to insurers, dated January 17, the NYDFS zoned in on underwriting and pricing, warning of the risk of “unfair adverse” effects stemming from the use of AI and external consumer data and information sources (ECDIS).
While it acknowledged that AI and ECDIS could simplify and expedite processes, the NYDFS pointed to the risk of systemic biases in ECDIS that could “reinforce and exacerbate inequality”.
Florida lawmaker proposes bill to make changes in insurance coverage
State Representative Spencer Roach has proposed the creation of House Bill 1213 which will make changes in the coverage provided by Citizens Property Insurance (Citizens), a government-backed insurance company, as reported in an article by WFLA.
Filed together with State Representative Hillary Cassel, Roach said that the bill will make Citizens a first option for people looking to have windstorm coverage for their properties.
“Florida at some point is going to embrace the idea of universal wind coverage,” he said.
Roach’s proposal followed his experience with Hurricane Ian which had caused catastrophic damage in the state in 2022. His insurance company at the time, UPC, went out of business which caused issues when it came to the recovery of his damaged home.
Filed together with State Representative Hillary Cassel, Roach said that the bill will make Citizens a first option for people looking to have windstorm coverage for their properties.
“Florida at some point is going to embrace the idea of universal wind coverage,” he said.
Roach’s proposal followed his experience with Hurricane Ian which had caused catastrophic damage in the state in 2022. His insurance company at the time, UPC, went out of business which caused issues when it came to the recovery of his damaged home.
Hub launches property practice
Top broker Hub International Limited has announced the launch of the Hub Property Practice, which brings together Hub’s property specialists across North America.
The practice will provide clients with customized risk management and insurance solutions to address the challenges of the commercial property market, the company said.
“Hub’s Property Practice extends our level of commitment to reinvest in Hub and bring comprehensive resources to our clients with enhanced services and insurance to help them protect and grow their business,” said Marc Cohen, president and CEO of Hub. “We continue to expand our boundaryless solutions to support our clients and mitigate their risks by bringing the right experts and resources to them.”
The practice will provide clients with customized risk management and insurance solutions to address the challenges of the commercial property market, the company said.
“Hub’s Property Practice extends our level of commitment to reinvest in Hub and bring comprehensive resources to our clients with enhanced services and insurance to help them protect and grow their business,” said Marc Cohen, president and CEO of Hub. “We continue to expand our boundaryless solutions to support our clients and mitigate their risks by bringing the right experts and resources to them.”
Alliant Insurance Services names new CEO
Alliant Insurance Services has announced the appointment of Greg Zimmer as its chief executive officer. He will be succeeding Tom Corbett, who will retain his position as the company’s executive chairman.
Zimmer joined Alliant in 1998 as CFO and became president in 2007. In this role, he took charge of the company’s overall direction, while overseeing all M&A activity. His leadership led to 100 acquisitions across strategic US markets and an employee count of nearly 11,000.
Corbett endorsed Zimmer’s capabilities in an emailed news release, noting his successful guidance of Alliant through significant growth and expansion.
Zimmer joined Alliant in 1998 as CFO and became president in 2007. In this role, he took charge of the company’s overall direction, while overseeing all M&A activity. His leadership led to 100 acquisitions across strategic US markets and an employee count of nearly 11,000.
Corbett endorsed Zimmer’s capabilities in an emailed news release, noting his successful guidance of Alliant through significant growth and expansion.
