Stated amount coverage: How does it affect clients?
Insuring on a stated amount basis usually offers little benefit to the insured. From the insured’s perspective, a few things can go wrong when the stated amount fails to exactly equal the cash value of a property at the time of loss. One predicament your insureds could find themselves in is the collection of only the cash value when the cash value is less than the stated amount. The problem here: The insured may be expecting to collect the full stated amount. Another predicament your insured could run into is when the actual cash value exceeds the stated amount and the insured collects only the stated amount.
PIANH installs 2022-23 officers at annual business meeting
PIANH elected its officers for the 2022-23 administrative year during its annual business meeting this fall, at the 100 Club in Portsmouth, N.H. They are: President: Keith Maglia, president, Insurance Solutions Corp., Plaistow. Vice President: Jeffrey Foy, AAI, chief operating officer, Foy Insurance, Manchester. Secretary/Treasurer: Casey Hadlock, president and co-owner, Hadlock Agency Inc., Littleton. Immediate past President: Lyle W. Fulkerson, Esq., president, HPM Insurance, Amherst. See the interview with the new PIANH President Keith Maglia in the November issue of PIA Magazine.
NY-YIP installs 2022-23 officers and elects directors
NY-YIP elected its officers during its annual business meeting last month. The NY-YIP officers installed were: President: Scott Richards,Hilltop Strategies, New York. First Vice President: Ian Sterling, CPCU, Bolton Street Programs, Woodbury. Second Vice President: Audrey Carlson,Merchants Insurance Group, Buffalo. Treasurer: Tyler Molina, Lawley Service Inc., Buffalo. Secretary: Chris Schmitz, Jencap Group, Buffalo. Immediate past President: Ed Chadwick, Jencap Group, Buffalo. The following individuals will serve as directors with terms expiring in 2023: Michael Ascher, WCP, Jason Bartow, AAI, CPIA, Dina Bruno, CPIA, Audrey Carlson, Ed Chadwick and Ian Sterling, CPCU. The following individuals will serve as directors with terms expiring in 2024: Matthew Davoult, Marshall Glass, CPIA, Tyler Molina, Scott Richards and Chris Schmitz.
Conn.: Consensus revenue forecast
Gov. Ned Lamont has released a statement in response to the recent November consensus revenue report. Lamont referenced the report as promising, while emphasizing the importance of vigilance against future economic turmoil. Lamont states, “Connecticut has put its fiscal house in order, and to ensure the progress we have made continues, I will be proposing as part of my budget next session an extension of the financial guardrails, secured by bond covenants, to maintain our strong financial position. Extending these protections will send a strong signal to businesses, investors, credit rating agencies, and the public at large that Connecticut is serious about living within our means and saving for the future.”
N.J.: Legislation to enhance security for large venues
Gov. Phil Murphy recently signed legislation focused on strengthening New Jersey’s threat response infrastructure. The initiative aims to improve security requirements for larger venues including entertainment facilities capable of seating more than 5,000 people, movie theaters capable of seating more than 1,000 people, and places of worship capable of seating more than 500 people. The bill requires these venues to annually prepare and maintain an emergency operation plan, which must be submitted to the chief law enforcement officer who serves the municipality in which the venue is located.
N.J.: Funding offered for those recovering from Hurricane Ida
In an effort to assist households and communities affected by the damage of Hurricane Ida, the New Jersey Department of Community Affairs’ Division of Disaster Recovery and Mitigation announced an additional $149,229,000 in federal Community Development Block Grant Disaster Recovery funds. Combined with the $228,346,000 awarded in May 2022, the state’s total allocation for Hurricane Ida assistance programs now stands at $377,575,000. The additional funding is part of a $2 billion national appropriation for disaster recovery that was included in the Continuing Appropriations Act, 2023 passed by Congress.
Ask Congress to provide inflation relief for agents who sell crop insurance to ensure they have protection
The agricultural economy has experienced extraordinary volatility over the past few years, and it has been worsened by the pandemic—which caused additional instability across economic sectors. During this time of unprecedented upheaval for producers, independent agents have helped guide producers through the process of purchasing crop insurance to ensure they have the protection they need. Unfortunately, the role of agents delivering this highly technical program to farmers has been increasingly undervalued over the past several years—in several ways. PIA is working with allies to support an initiative this year to secure two provisions to begin to address the inflation adjustment issue through the appropriations process. PIA is urging Congress to include both provisions in the final Fiscal Year 2023 appropriations package. If the two provisions are adopted in the end-of-year appropriations package, it will make clear that Congress believes the RMA has legal authority to move forward with A&O relief for all agents through an annual inflation adjustment. It also will provide some immediate relief in the case of specialty crop A&O because the circumstances are severe and urgent. Take action!
Educating insurance agents
N.J.: 2023 WC overall rate level decreases 6.1%
The New Jersey Compensation Rating and Inspection Bureau received approval from the Department of Banking and Insurance for a rate revision of -6.1% to become effective Jan. 1, 2023, applicable to new and renewal policies. The NJCRIB distributed Circular letter No. 2039 detailing this rate revision, along with other changes presented in Manual Amendment Bulletin No.508 NJCRIB had filed for a decrease of 4.7% in rates and rating values, but DOBI mandated a further reduction of 1.4%. To see complete details about the overall decreases, see the related article on PIA Northeast News & Media.
N.Y.: Section-by-section analysis, DFS proposed second amendment to 23 NYCRR 500
The New York Department of Financial Services announced proposed amendments to 23 NYCRR 500, known as the cyber security regulation, last week. Originally published in 2017, 23 NYCRR 500 was a first-in-the-nation attempt at creating standards for the financial services industry in protecting nonpublic information. These amendments would be the first major changes to the regulation since its adoption. The publishing of the regulation in the State Register begins a 60-day comment period. During this time, the public is encouraged to submit comments. When the comment period ends, DFS is required by law to review all received comments and either repropose a revised version or adopt the final regulation. PIA had the opportunity to review and comment on an earlier version of the amendments. To see a section-by-section analysis of the proposed amendments, see the related article on PIA Northeast News & Media.
Thursday, Nov. 29, 2022: NJYIP Holiday Social
Wednesday, April 19, 2023: Save the date: NY-YIP/PIA Pre Buffalo I-Day Event