Insurance
Top stories summarized by our editors
10/19/2017

Attorneys general in 18 states and Washington, D.C., have asked a federal court to issue an emergency temporary restraining order to force the government to continue making cost-sharing reduction payments, six days after the Trump administration announced that it would stop the payments. The administration argues the payments are unlawful because Congress has not appropriated the money, but the states suing the administration say no such authorization is needed because the cost-sharing discounts and the payments to cover them are part of the Affordable Care Act.

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Trump, Congress
10/19/2017

Artificial intelligence could be the key to unlocking a competitive advantage and improved client experience, writes Jefferson National CEO Mitchell Caplan. AI can be used to automate routine tasks such as portfolio management, allowing advisors more time to focus on clients and tailor solutions, he adds.

10/19/2017

PCI supports a Texas Department of Insurance proposal that would require preauthorization for compounded medications to qualify for reimbursement through workers' compensation. "In general, compounded medication doesn't go through [US Food and Drug Administration] approval, so there is not proven efficacy for most of the products that are being pushed, especially in the workers' compensation system, and the price that is attached to these products is extraordinarily high," PCI's Trey Gillespie said.

10/19/2017

Property/casualty insurance companies should help regulators understand how big data can be beneficial within the industry, largely for customers' sake and not that of that insurers, said Kurt Bock, chair of PCI's board of governors and CEO of Country Financial. PCI and insurers are always willing to explain pricing models to regulators so they can understand that data is used "not just for price but also for underwriting and the things that are meaningful to a customer," Bock said.

10/19/2017

The commercial auto insurance market is facing an increase in distracted driving and more unpredictable and competitive pricing, executives say. Safety technology intended to improve rates is also making accident repairs more costly, they say.

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PropertyCasualty360
10/19/2017

A recall of 1.34 million 2017 Ford F-150 and Super Duty trucks will address a potential problem that could prevent doors from opening or closing. The automaker does not know of any injuries or accidents linked to the issue.

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Reuters
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Ford, F-150
10/19/2017

The Great ShakeOut earthquake drills today are expected to have 20 million participants worldwide. The event "is such an important opportunity for us all to practice what to do the instant the ground starts to shake -- drop, cover and hold on," said Glenn Pomeroy of the California Earthquake Authority.

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PropertyCasualty360
10/19/2017

A LIMRA report shows a gap between people's perceived and actual knowledge about how health savings accounts work. According to the report, 51% of people said they were very or somewhat knowledgeable about HSAs, but 49% of those respondents incorrectly said HSA balances must be spent in full annually, while just 39% of all respondents knew the difference between HSAs and flexible spending accounts.

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PlanAdviser online
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HSA
10/19/2017

Maintaining low investment fees and expenses can contribute to better performance, Morningstar research has found. Investors and their advisors should monitor funds' internal expenses, portfolio managers' fees, and trading and rebalancing costs, writes Scott MacKillop of First Ascent Asset Management.

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WealthManagement
10/19/2017

The number of companies in the mortgage reinsurance space has grown by five in the past year to reach a total of 42, with the market experiencing greater prominence because of the strong returns and diversification it offers, said Joe Monaghan of Aon Benfield. "While it's a very stable market, there are areas where innovation is occurring and the potential for growth is great, especially if market share can be taken from the bond markets, which also take on this risk," he said.

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Aon Benfield, Aon