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Operating as usual
"By requiring bid bonds from subcontractors, general contractors can guard themselves against increased costs that may be incurred if a subcontractor does not enter the contract." http://ow.ly/b4uV50Jpzsz
Review the vital questions to ask when advising clients that rely on subcontractors.
Had NFIP rates grown at the mandated level during the past decade, the program would have been able to slice its deficit and achieve an actuarially sound rate. http://ow.ly/tNW350JpznY
Rate inadequacy has plagued the NFIP and Risk Rating 2.0 isn’t projected to change that in near term.
"The Delaware Supreme Court’s evisceration of the 'fundamentally identical' standard and mandate that the issue of relatedness of claims must be decided by the plain language of the insurance policy at issue make First Solar a significant decision that will impact many insurance coverage disputes and litigation for years to come." http://ow.ly/nXil50Jpzhx
The 'First Solar' decision is significant, and puts the focus of the analysis of whether claims are related in its proper place.
“It really drives home the point about how companies were broadly able to generate favorable price movement in their commercial lines. It was kind of a rising tide lifts all boats scenario.” - Tim Zawacki, S&P Global Market Intelligence http://ow.ly/u0sa50Jpwuh
The year’s top 100 insurance groups and insurance companies show strength despite notable challenges.
"It’s been said that insurtech is 'the threat that inspires' in our industry, but often that inspiration is lost amid poor implementation. There is value created when digital is done right." http://ow.ly/WCH450JpwaE
Digitizing claims processing and payments can increase customer satisfaction and retention.
"It’s a close-knit firm at AXA XL, not only within claim but with our business partners and in many cases with our clients, and the claim team’s feedback during this time that we all felt connected." - AXA XL's Jim DiVirglio on adapting during the pandemic. http://ow.ly/G9ZH50JoGE6
WEBCAST: Making AI Your Most Powerful Customer Experience Tool
Join us June 14 to discover how process automation through AI can increase retention of customers through improved engagement and fewer interruptions, as well as better empower employees with increased business agility. (Sponsored by Talkdesk)
http://ow.ly/ZrOE50JoBJm
“When employees have the resources and knowledge necessary to perform their jobs, they’re more likely to have higher morale. Thus, they’re more likely to provide a better customer experience. Employee happiness is contagious, after all.” http://ow.ly/gKEa50JosLr
It's no secret that there's a need to improve customer experience across the insurance industry.
"So much of how we did our jobs was impacted by the pandemic – the way we worked, the way we utilize technology, the way we kept our talent together, the way we resolved claims, the interactions with our customers and our brokers and vendors. It was really a new way of delivering service." - Jim DiVirglio, AXA XL http://ow.ly/CQ7050JoGlm
Looking beyond state courts to the federal court system, the U.S. Court of Appeals for the Seventh Circuit became the latest federal appeals court to hold that pandemic-related business losses do not constitute ”physical loss of or damage to property” covered under business interruption insurance policies in April 2022. http://ow.ly/TkEj50Josrr
Every other federal appeals court to address the issue thus far has reached the same conclusion.
Areas that have adopted modern building codes save an estimated $1.6 billion annually in avoided damages. By 2040, this is savings is projected to reach a cumulative total of $132 billion, according to the White House. http://ow.ly/ry8n50JoskF
Research shows that every $1 spent on disaster mitigation can save $11 in repair and recovery costs.
When it comes to the effect climate change has on hurricane season, while it doesn’t tend to cause more tropical cyclones, a Munich Re report states, it can cause severe hurricanes to become more frequent. http://ow.ly/fzBA50Jos3b
Munich Re recently released their hurricane predictions for 2022; joining a growing chorus warning of an active season.
Contractors in the past have been able to recover their attorney fees from insurers if they are successful in the lawsuits, a concept known as “prevailing party fees.” But the new law stripped contractors of being able to recover prevailing-party fees when they are assigned benefits. http://ow.ly/hEbV50JorzR
The new law stops contractors from being able to recover prevailing-party fees from insurers when they are successful in lawsuits.
Just 11% of former rental policyholders said they changed companies when buying home insurance because they were dissatisfied. Around 8% of respondents said they switched because they were unsure if their rental policy carrier also offered home insurance. http://ow.ly/skB350Joro1
Fostering relationships with renters can forge tight bonds with a potential future home insurance policyholder.
The largest number of malpractice claims in 2021 stemmed from lawyers practicing in the areas of trusts and estates, business transactions, and corporate and securities. http://ow.ly/WNCK50JnCOB
Most insurers surveyed indicated that defense costs increased in 2021, leading to projected premium increases.
"In an industry built around relationships, agents who prioritize in-person inspections, regular visits and clear communications with insureds raise their value proposition in the relationship and help protect their clients." http://ow.ly/wcNb50JnA2G
Agents who embrace in-person visits will see the benefits of more amicable, longer-term relationships.
While the more sensational tragedies are the ones that make national headlines, the reality of water parks is that they deal with a plethora of visitor injuries on a daily basis, ranging from bumps and bruises to more serious incidents. http://ow.ly/5Sw150Jnza4
Water park managers and visitors alike should be on the lookout for these common risks.
"In today’s turbulent marketplace, insurers need all the information they can get to accurately price policies to support insurance-to-value and help protect policyholders. That means having access to current, highly refined monthly pricing, based on historical claims and research with contactors out in the field." http://ow.ly/tgCR50JnxWu
For insurers in a time of extreme unpredictability, having accurate, reliable monthly pricing is a must.
Threat 1: Ransomware evolves into triple extortion
Threat 2: Regulators inhibit data-driven innovation
Threat 3: Attackers undermine central cryptocurrencies
http://ow.ly/x4Y750JnxKG
Insurers will have to balance innovation, risk reduction and regulation.
Many leaders have long sought to shrink Citizens because of concerns about policyholders across the state, including those who are not Citizens customers, potentially being on the hook to help pay claims if Florida gets hit with a major hurricane or multiple hurricanes.
http://ow.ly/RSz650JmaVJ
Citizens Property Insurance Corp. is a politically sensitive issue, as many homeowners in areas such as heavily populated South Florida have few...
"Agile, intelligent and evergreen are fundamental building blocks of a resilient and successful insurance business.
"Agile means being able to flex proactively and quickly with the business, product, and service expectations and needs of consumers. Intelligent is making the best use of data and analytics to determine what areas need change and where automation is optimal. Evergreen refers to the desire and need for companies to keep technology stacks current and avoid technical debt, which allows them to increase the value of their investment through innovations from partners."
http://ow.ly/Ioi450JmbNC
Being agile, intelligent and evergreen are the hallmarks of a resilient and successful insurance business.
LUMINARIES NOMINATIONS CLOSE TODAY!
http://ow.ly/vTOR50JmxqR
The deadline for the 2022 NU PropertyCasualty360 Luminaries program is now May 31, 2022. Complete your nominations today!
✅ Reevaluate what DEI means for company employees
✅ Enlist the help of experts
✅ Support mindful DEI strategies during the talent search
http://ow.ly/xXFF50Jmazk
Here are three ways that business leaders can reevaluate their current DEI goals to be more inclusive of mental health.
"Escalating the number of 'teen truckers' on the roads and expanding the areas in which they are licensed to drive poses real risks to the drivers and all those around them."
https://www.propertycasualty360.com/2022/05/31/lowering-interstate-cdl-age-limits-brings-more-risk-than-reward/
There are more impactful solutions to improve road and driver safety, writes Cathy Chase, president of Advocates for Highway and Auto Safety.
According to Al Paniagua, senior safety services consultant at Sentry Insurance, building information modeling (BIM) systems is helping contractors identify and reduce potential project risks by recreating the environment in a digital realm. http://ow.ly/wTAX50Jm9Cp
Industry experts share details on how technology can help best current challenges and improve worksite safety.
According to Chubb, 44% of U.S. homeowners have experienced a water loss in the last two years, a statistics that’s up from 27% in 2020. The average claim can be as high as $50,000, Chubb reports.
http://ow.ly/TGVe50Jm87r
Water damage accounts for at least a third of all home insurance claims each year.
This past year more than one-third of U.S. and Canadian homeowners and renters undertook a home renovation project, according to a survey from Chubb. http://ow.ly/QFFq50JlLhu
More than one-third of U.S. and Canadian homeowners undertook a home renovation project this past year, according to Chubb.
There are no fully autonomous vehicles available to the public for sale. There are, however, some fully autonomous services being provided in a few test areas. http://ow.ly/n5Qv50JlKMo
Exactly how advanced is autonomous driving technology?
“The old way of doing business will no longer suffice. The next generation of commercial underwriting is taking shape and insurers are seeking to unlock the potential of their underwriters for competitive advantage.” http://ow.ly/8MJZ50JjUGE
Discover what it will take to unlock the power of next-generation underwriting.
“It is an all-too-common misconception for an insured to think their personal auto policy will automatically extend to an off-road vehicle and provide protection. Again, the answer is no.” http://ow.ly/vMny50JjUvY
Review some of the biggest misconceptions policyholders have regarding coverage for ATVs and similar vehicles.
DeSantis also signed Senate Bill 4D, which requires condos and cooperative association buildings that are three or more stories high to have structural integrity inspections performed by an architect or engineer when the building becomes 30 years old. http://ow.ly/VQT550JjTLM
In addition to addressing rising costs and claims transparency, the reforms also tackle condo and co-op safety.
Combined, California, Florida and Texas experience 45% of Memorial Day cargo thefts in the U.S., CargoNet found, and the most common targeted locations for these thefts are warehouse/distribution centers and parking lots. http://ow.ly/Os6e50JjRi8
The holiday weekend is prime time for cargo thefts. Here’s how those in the supply chain can help mitigate their risk.
With the insurance industry quickly recognizing the value of AI and initiating digital transformation efforts, there will continue to be an investment in AI across the industry as consumers expect an increased digital experience. http://ow.ly/J5Sx50JjQIb
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