As the waters of the Mississippi River swell beyond their banks, expectations on the overall cost of damages are nearing $2 billion, according to insurance officials. The National Flood Insurance Program (NFIP), the archaic insurance initiative installed by Congress in 1968, is likely to bear the majority of the financial burden. However, the program is already well into the red and the nation can ill afford to support the programs continued spiral into debt. The fate of the program now lies in the hands of the U.S. Congress. On Thursday,…
Read MoreTag: insurance news 2011
Financial News: Insurance industry becomes more attractive
The global economy is showing promising signs of recovery, but the recession took a heavy toll on nearly everyone. State governments, in particular, suffered in the wake of the economic calamity. In light of this, some are taking steps to remake themselves to be more attractive to businesses, specifically insurers. Vermont is the latest to join these ranks, joining Utah, South Carolina, Delaware and Hawaii, each making changes to their regulatory policies to bring in big insurers. Many insurance companies partake in a number of business transactions that they would…
Read MoreThe numbers come rolling in for recent tornado outbreak
As the drama in the storm ravaged regions of the Southeast U.S. continues to unfold, AIR Worldwide, a leading catastrophe modeling firm, sheds light on exactly how much the disaster will cost in a new report release today. The firm estimates that insured losses in both the Southern and Southeastern U.S. could total $5.5 billion. The estimate is for the period between April 22nd and 28th, when the storms were at their peak. Representatives from AIR say they will continue to monitor the region to keep their estimates as accurate…
Read MoreRead carefully…insurance policies carry nuclear exclusions
Insurance companies are reeling from the possible cost of the disaster in Japan. It will be weeks before the entirety of the damages can be put into any kind of perspective to be tallied. It isn’t just the property damage and the economic loss; the lives that were lost will also be a factor. Another aspect of this disaster is the nuclear contamination from damaged reactors. Most traditional policies exclude coverage for nuclear accidents. There is more to assessing damage than people might realize. You have to determine what was…
Read MoreA spring cleaning of America’s flood insurance program
With spring now insight, it’s time to prepare for nasty weather. Depending on what part of the nation you live in, that could mean tornados and hail, or spring rains and flooding. This is a good time to examine your homeowner’s policy for any needed updates that may need to be made. Last year we had amazing weather activity. In the United States, we saw abundant rainfall; with many states receiving record amounts and other states getting well over normal. Snow and bitter cold temperatures set seasonal records, and numerous…
Read MoreBershire Hathaway opens doors in India
Berkshire Hathaway Inc., a U.S. based insurance company run by Warren Buffett, has announced that they will be entering the insurance market in India. The insurer will make its entrance into the Indian sector as a corporate agent of Bajaj Allianz General Insurance. Berkshire Hathaway will provide general insurance products via online distribution. They will focus their efforts mostly on auto insurance and branch out from there. The Indian insurance market is experience rapid evolution and Berkshire Hathaway is committed to providing the products that are needed most. According to…
Read More