Live Insurance News

Protective insurance acquisition by Progressive closes

June 4, 2021June 3, 2021 Marc

The completion of the purchase has been announced for approximately $338 million. Progressive has announced that its $338 million acquisition of Protective Insurance Corporation is now complete. Protective is a workers’ compensation and trucking fleet insurer now owned by Progressive. The Protective Insurance acquisition was first announced in February. It involved a $23.30 per share cash buyout of Protective’s shareholders, without interest, for Class A and Class B common shares. That share price brought a 49.1 percent premium to Class A shareholders and a 63.2 percent premium to Class B…

Allstate announces its agreement for SafeAuto acquisition

June 3, 2021June 2, 2021 Nordstrom

SafeAuto acquisition - business deal - contract

The insurer’s subsidiary National General will be acquiring the low-cost auto insurance carrier. Allstate has announced that it has come to an agreement for a SafeAuto acquisition through its subsidiary, National General. This purchase will help Allstate to expand a spectrum of its capabilities and distribution. Through the SafeAuto acquisition, Allstate will add the auto insurer’s capabilities and distribution to its own offering, including its 24/7 customer contact centers at SafeAuto’s 1-800 number, as well as through its website. By bringing the low-cost auto insurer into National General, it will…

The California Unemployment Insurance Fund will be over $24B in debt this year

June 2, 2021June 1, 2021 G. Turner

California unemployment insurance - Debit - calculator - budget

The COVID-19 pandemic caused job losses causing the state to fall deep in debt to the federal government. The California Unemployment Insurance Fund (UIF) has racked up a substantial debt to the federal government in its efforts to support residents who lost their jobs throughout the pandemic. The revised 2021-22 budget published by Governor Gavin Newsom made reference to the debt. A paragraph in the revised budget on page 180 pointed to the challenge the state now faces regarding its California unemployment insurance fund’s debt. To support Californians who lost…

Embroker announces new chief insurance officer hire

June 1, 2021May 31, 2021 Logan B.

Chief insurance officer - business - job

The insuretech has announced expansion to its C-suite with a new tech chief as well. Embroker, a digital business insurance platform known for simplifying the business coverage process, has announced the hiring of a new chief insurance officer and chief technology officer. This broadens its C-level management for the purpose of driving the platform forward. The new execs bring vital expertise and experience to the company as it shakes up the industry. The new chief insurance officer is taking on an insuretech providing all business insurance online. It covers startups…

Lemonade insurance accused of discrimination from its AI comments

June 1, 2021May 31, 2021 H. Cutner

The popular insuretech faced backlash from social media users in response to a tweet. Last week, Lemonade insurance company tweeted that its AI technology could “pick up on non-verbal cues” in the analysis of videos its policyholders submit to explain their claim details. Social media users quickly spotted the tweet and asked whether the AI would spot certain minorities. The Twitter users asked Lemonade insurance whether that AI technology would flag people from minority backgrounds or individuals with conditions such as autism. Later that week in a Forbes report, the…

The Ardonagh Group acquires BGC insurance brokerage business for $500 million

May 31, 2021May 27, 2021 Marc

Insurance brokerage - business aquisition

The acquisition transaction is expected to close before the end of this year. The Ardonagh Group Limited has announced that it has acquired the insurance brokerage business from BGC Partners, Inc for $500 million of cash consideration. BGC is a leading global financial technology and brokerage business. “The agreement to sell our Insurance Brokerage business for $500 million reflects the significant value we have created since entering this market in 2017. Like our previous sales of eSpeed and Trayport, as well as our IPO and tax-free spin-off of Newmark, this…

Allstate’s attempt to overturn jury verdict for underinsured driver benefits denied

May 28, 2021May 28, 2021 Logan B.

The Supreme Court of Texas has turned down the insurer’s attempt to overturn the verdict. Allstate Insurance’s efforts to overturn a jury verdict having to do with underinsured driver benefits have been denied by the Supreme Court of Texas. The high court upheld the jury verdict in a 5-4 decision regarding a 2016 claim. The Supreme Court decision upheld the $95,000 jury verdict from the Bexar County court in favor of Daniel Wes Irwin. That verdict required Allstate to pay Irwin the full sum of $50,000 underinsured driver benefits from…