Mississippi Attorney General Wants to Compel Insurer to Stay in State

http://www.fee.org/in_brief/default.asp?id=1116

 

February 19, 2007

"Mississippi Attorney General Jim Hood said Friday he will seek legislation aimed at blocking State Farm Insurance Cos. from refusing to write new homeowners and commercial policies in the hurricane-battered state. State Farm, Mississippi's largest homeowner insurer, said Wednesday it has had enough of the 'untenable' legal and political climate in the state and is suspending writing new homeowners and commercial policies. The company said the suspension would begin Friday and continue until the business climate in the state is more palatable."

For Better or Worse...Travelers Launches Wedding Insurance

February 14, 2007

More than 3,000 weddings take place every day in the U.S., with the average cost now reaching $27,000 each. Recognizing that the "big day" comes with a mighty financial commitment, Travelers announced today the launch of the Wedding Protector Plan, an insurance policy covering weddings.

"A wedding is a large investment both emotionally and financially," said Alan Tuvin, vice president of product management for Travelers. "There are a lot of moving parts to a wedding and things can go wrong. It is important to protect such a significant financial investment."

The Wedding Protector Plan provides coverage, with no deductible, for a variety of unfortunate occurrences associated with a wedding event. For example, coverage is provided if a hurricane causes the necessary and unavoidable cancellation or postponement of the event. Other coverages include postponement for withdrawal of military leave, forfeited and lost deposits, extra expenses associated with special attire, transportation, photographs, and entertainment expenses.

"A lot goes into planning your wedding within your budget," said Tuvin. "Travelers wants to ensure that your budget will not spiral out of control when the unexpected happens."

The top wedding claims and problems typically include damage to wedding attire, mishaps with event photography, cancellation due to illness or bereavement, and no-shows by contracted vendors.

Travelers created www.ProtectMyWedding.com, which offers a Risk Quiz to help consumers determine how much risk surrounds their wedding, plus examples of coverages provided. Consumers can then use the online agent locator to find a nearby Travelers independent agent to discuss purchasing protection. As long as the wedding is more than 14 days away, it's not too late. The Web site also offers an e-newsletter for newlyweds, which covers topics from lifestyle to money management tips, designed to help couples become in-synch with their lives as one.

The Wedding Protector Plan can cover events in the United States, Puerto Rico, Canada, the United Kingdom, Mexico, Bermuda, Bahamas, Turks and Caicos, the Caribbean Islands (excluding Cuba and Haiti) and cruise ships leaving from a port within those territories (some restrictions apply).

For more information on how to protect a wedding, contact a Travelers independent insurance agent or visit www.ProtectMyWedding.com.

Travelers is a business of The St. Paul Travelers Cos., Inc., a property casualty insurer selling primarily through independent agents and brokers.

Source: The St. Paul Travelers Cos.

State Revokes License of Indiana Insurance Agent

February 12, 2007

Indiana state regulators are seeking more than more than $365,000 from a former insurance agent for misusing money from premium payments made by more than 100 customers.

The state Department of Insurance on Thursday permanently revoked the license of Daneile Frydrych, the owner of All Star Insurance in South Bend. That action following allegations that she spent money intended for customers' home and vehicle policies at casinos in Las Vegas and Michigan City, at clothing and book stores, and at a local adult entertainment store.

The agency's order included a $285,000 fine against Frydrych and said customer losses exceed $80,000.

Regulators will forward the case to the state attorney general's office for collection, said Nick Mann, investigations chief at the insurance agency.

"This brings some amount of closure to the case,'' Mann said. "I know everyone wants their money back. We've tried to be realistic from the get-go that that might not happen, and I think people are aware of that.''

One of Frydrych's customers, Elizabeth Fuentes, said she paid $1,300 for a home insurance policy, but ended up with nothing.

"Frydrych would probably be best to do some time and learn a good lesson in jail,'' Fuentes said.

Frydrych did not attend a Dec. 28 hearing by regulators on the allegations. She could not be located for comment as no home phone number was listed in her name in the South Bend area.

No criminal charges have been filed in the case.