New York Insurance

Your editorials about my plan for reforming auto insurance in New Jersey (”No-Fault error New Jersey”25. January) correctly pointed out that automobile insurance rates will drop over 20 per cent, but it wrongly suggests that the plan ignores the problems of false insurance claims and repair of fraud.

On the contrary, I have a proposal for tough action against serious forms of fraud and theft.

Like an effective system in New York, New Jersey Institute, a photo of mandatory inspection of law. Satisfied that the car photo, to ensure that they exist and are not damaged. We expect this to reduce fraud and theft in New Jersey, where he was in New York.

In addition, insurance companies are required to make their own plans to reduce fraud and theft or face sanctions, reducing premiums for Collison and comprehensive coverage.

Other reforms I have proposed, such as the elimination of free arrangements for insurance companies and the cessation of the use of age, sex and family situation, phrases, is the assurance of a rationalization of the environment. New Jersey driver is correctly believe that the auto insurance system is unfair and that insurance costs too. These and other changes are a fair and rational system of insurance for the first time in many years.

New Jersey already has a no-fault system effective, much the same as that of New York. Slightly more people to pay for the option to lodge a complaint, but it is a small percentage of drivers, and they pay for the privilege, with higher prices. Évitable attorneys and legal costs are no longer the issue in New Jersey.

My proposal is recovering and fair play vis-à-vis auto insurance. For too long New Jersey drivers have been deceived by a control system. It is high time for auto insurance work for the benefit of consumers.

As you will see in the state “pause breastfeeding status About Car Insurance” (editorial, Sept. 24), auto insurance is a crucial problem in many countries and the universal truth is that prices are too high for drivers comfortable. However, automobile insurance rates can be reduced, if costs are reduced.

In New Jersey, as you point out, we lowered the rates of throwing the old system, costs are encouraged. It lays the Joint Underwriting Association, admitted that poor pilot of the pool, but ultimately cause more than half of drivers and the state has a debt of over $ 3 billion.

But we did much, much more. New Jersey has a good option no-fault, and it is a choice of 85 per cent of our pilot countries. He began a cost reduction of insurance. They suggest, New Jersey should look like Michigan and New York for ideas and not our fault option on the model of both.

We are limits to what companies can free towing and New York have adopted photo Inspection of the insurance system aimed at reducing fraud. We discounts mandatory for drivers to install security features and have asked the auto insurance offer antitheft the fight against fraud and incentives.

For the first time, we guarantee that good conduct to pay lower rates than bad drivers. And as Michigan, we are beginning to collect on criteria such as miles driven and number of deaths, injuries, rather than on arbitrary classifications. The bad pilot pool, we have put in place, it is more than New York. There are fewer than 10 per cent of the market, and only the driver, whose registration is it really deserved it. We have borders on fees payable for physicians and other providers of medical services, and to repeal the exemption agreements to increase the insurance company competition.

After a disastrous decade, New Jersey’s auto insurance are not problems solved overnight. Allstate We regret the decision to leave, but we also deplore the society convinced of the need for an increase of 28 percent. And while some might indicate that Allstate drawer other words, we need another look at our right, the company said it was losing money in New Jersey for 20 years, but it is the decision to leave, just five months after the date of our new Act in force.

I think a better approach would be to give the new Time Act fully exploited. We are serious reform in New Jersey, and our doors are open for each insurance company.

Dreizehn self Versicherungsgesellschaften haben sich darauf geeinigt, erstattet Kunden im ganzen Land für die versprochene Anti-Diebstahl-und Sicherheitsstandards Rabatte, die nicht geliefert, New York State Beamten sagte heute.

Es ist die zweite Siedlungen aus der Welle, dass eine Untersuchung begann im Sommer. New York Beamten beschuldigten Unternehmen die nicht die versprochenen Rabatte gegenüber den Versicherungsnehmern, hatte Sicherheits-und Anti-Diebstahl-Geräte in ihre Fahrzeuge.

Schätzungsweise $ 5 Millionen in Erstattungen wird auf der rund 200000 Einwohner in New York wegen der Siedlung, staatliche Attorney General Robert Abrams, sagte heute.

Die Unternehmen wiesen ferner versprochen Erstattungen year Personen außerhalb New York State, New York, sondern Beamten einschätzen konnte nicht, wie viele Menschen betroffen wären.

Firmen sind in der Siedlung Aetna, Kemper, Eveready, Nationwide, Prudential, Hannover, Progressive, Sentry, Atlantik Matches-Centennial, Peerless Insurance-Excelsior, New York Casualty, Interboro und NAC.

Die durchschnittliche Rückerstattung wird für $ 50 Fahrzeuge mit Anti-Diebstahl-Geräte und für $ 25 Fahrzeuge mit passivate Beschränkungen, Mr. sagte Abrams.

Viele der Unternehmen die tatsächlich beworbenen Rabatte noch nicht ihnen, sagte er. Keine Zulassung von Fehlverhalten

Kunden mit passiven Zurückhaltung-Rabatte erhalten Erstattung Kontrollen, sagte er. Das Unternehmen wird sich mit Kunden per E-Mail, um herauszufinden, ob sie haben installiert Anti-Diebstahl-Geräte.

New York angekündigt Siedlungen im letzten Monat mit State Farm, Allstate, Reisende, General Accident and Metropolitan Versicherungsgesellschaften.

Während die 18 Versicherungsgesellschaften haben nicht zu zugelassen jedem Fehlverhalten, Mr. Abrams, sagte sie haben bezahlt $ 1.1 Millionen an Kosten an den Staat.

Zusammen haben die Unternehmen entfallen etwa die Hälfte der Versicherungen Auto-im Staat New York, Abrams, sagte Herr.

Versicherung Superintendent Salvatore Curiale sagte die Untersuchung ergab, dass fast alle Auto-Versicherer geben Rabatte nicht für die Verbraucher, durften ihnen zu. Unternehmen, die sich weigern, sich mit dem Staat verklagt werden, sagte er.

Even that many motorists saw their insurance premiums filing in the wake of Dir Jim Florio’s radical transformation of the state laws automobile insurance, the insurance industry and experts say that legislators Governor’s plan is already following in the footsteps of former unsuccessful attempts for the rescue of State maroden automobile insurance.

Last year, for example, three independent studies have predicted that the market Transition Facility, the successor to debt-ridden Joint Underwriting Association, is a drift which has several of its own dollar deficit.

While the Department of Insurance officials insist that they are not with a deficit, industry experts say that the studies are correct and that consumers could ultimately cost, if companies are increased to compensate for losses arising pay the deficit.

At the same time, some experts are asking the Governor’s plan nothing more than a Band-Aid “is necessarily a setback for mending the system. Others say that radical, politically unpopular measures may be an insurance system , Fairness to consumers and profitable for insurance companies.

Still others say that, despite the fact that premiums are falling, regulations, by monitoring National Insurance unfair to punish the Commissioner, many motorists by insurance companies exorbitant fees for premium against those who require the minor traffic offences.

The new discussion comes on the heels last Tuesday the refusal of Governor Florio’s apparent political and controversial, as Allstate Insurance Company, provides almost half a million vehicles produced with their plans in writing to cease to draw their policies and activities from State budget for good.

“We felt that all of the JUA legally put to death unlikely problems or conditions they leave,” says Ronald Krauss, Vice President in the field of communication for the American Insurance Association, a New - York to the trade organization of insurance companies.

Mr. Krauss said that, despite repeated attempts by insurance processing legislators and governors from both political parties, the insurance system in New Jersey was slightly better today than 20 years ago.

“The good intentions of politicians efforts to maintain tariffs on auto insurance fails to liquidation,” said Krauss. “You can not legislate economic reality.”

The economic reality that the insurance industry is now, he says, is the deficit in the hall market Transition Facility.

Sub-Governor Florio’s Fair Automobile Insurance Reform Act of debt-ridden Joint Underwriting Association was disbanded and the estimated total cost of two million motorists, was provided from which they were transferred to the Market Transition Facility. Prix at the same level

Prices for insured drivers in the field of market research Transition Facility, approximately the same level as those charged by the Joint Committee Underwriting Association, despite the fact that the association had a unit rate of $ 3.4 billion deficit.

Unlike the association, but the market is the transition facility for the most part “to destroy themselves” as drivers are relocated in volunteers. Only 10 percent of the worst driver of the pool by the end of September 1993, and then it is in a “pool of risk attributed to the” assurance of a related business pool which the pilot is not insurable, it would be comparable with the “risk map” is preceded by the municipality Underwriting Association.

When the law has been decided, said the official Market Transition Facility, even to maintain. The hope seems, however, been excessively optimistic.

In November 1990, two independent studies of the Market Transition Facility has been - by the division of insurance and other by the market itself Transition Facility. Both studies have shown that the transition facility to run on a considerable loss.

Robert Aldorisio, consulting actuary for Milliman & Robertson of New York, the company, the insurance division, said his company had calculated that for the market Transition Facility break-even, prices should be increased 62, 1 percent. With no increase, “said Aldorisio recently, the market might have expected Transition Facility, argues that if a deficit of over $ 1 billion.

More than one million New York, are expected to obtain a refund of $ 225 for each car five insurance companies which are not handed over to pay for car security and anti - theft devices, a solution of last week with the New York State Attorney General’s Office.

The five companies - State Farm Mutual, Allstate, travellers, General Accident and Metropolitan - which account for about one fifth of the New York State’s self-insurance.

Under the settlement, announced Thursday the companies agreed to pay more than $ 110 million in export refunds estimated at 10 million customers across the country, including the one million drivers in New York.

But more than 200 other insurance companies are still under investigation and the Attorney General, Robert Abrams, has promised to bring, even if they were not mentioned. “For the greater part of the whole industry and the vast majority of companies, there has been massive violation of the law,” said Abrams. Up to $ 500 million in reimbursements could be due to customers throughout the country, if the investigation is complete, he said. Security Features

The investigation was prompted by a car mechanic from Rochester, contact the Attorney General’s office, after finding that he had not received a rebate to ensure that airbag in the car. More than 80 per cent of the population, were handed over to the liabilities of restrictions in their cars never get, “said Abrams.

New York State law, insurance discounts for anti-theft devices and security features such as air bags, automatic seat belts and anti-lock brakes. Mr. Abrams said that discounts have been in insurance policies offered across the country.

New York State’s Insurance Superintendent, Salvatore Curiale, said five companies are certainly painful, and they should be embarrassing. ”

An official of the American Insurance Association, said he did not think it was a malicious effort on the part of consumers, industry deny their discounts. “The American Insurance Association, said the law is the law, and we encourage our companies to obey the law,” said Robert Gaines, a lobbyist for the Association.

Mr. Abrams said insurance companies, it offers a multitude of excuses to explain why the cuts were not specified. A company had said that consumers demand, especially for her, he said, while another complained that its business has grown so quickly, he was unable to maintain with the discount.

In addition to the repayments, the five companies agreed to pay a total of $ 708872 in the state in exchange for a promise not to follow. Allstate, with $ 282114 and the State Farm Mutual, with $ 225000, paid the highest sanctions.

Representative Dick Armey, majority leader of the house, he said today the legislation on the net reduction in costs of insurance automatically motorists the option of filing the lid of the pain and suffering that results of accidents.

The initiative is both an unusual movement of Mr. Armey, a Texas Republican, has sponsored, only two other bills during his tenure, and a big lift for the supporters of the option, under the name of automatic selection, we must prove that the political traction.

”The train is finally leaving the station,’’said Michael Horowitz, director of the Hudson Institute’s Project for Civil Justice Reform.

The Senate Commerce Committee hearings is scheduled for a parallel bill sponsored by two Democrats, Senators Daniel Patrick Moynihan of New York and Joseph I. Lieberman of Connecticut, with three Republicans, Senators Mitch McConnell of Kentucky, Rod Grams of Minnesota and Slade Gorton of Washington.

Trial lawyers have already expressed their refusal of adoption, as some consumer groups. ”It would be difficult to nothing for the wounded,’’says Bob Hunter, director of insurance for the Consumer Federation of America. Consumer associations are also claims that the automatic selection would be unfair because it would be access to justice on the basis of a driver’s ability to pay additional premiums.

But supporters say that the automatic selection, incentives for fraud and increase victims prospects for compensation for actual economic losses, even when cutting premiums averaged $ 243 per year each driver, or $ 45 billion in Germany.

”It’s like a tax reduction for low-and middle-income Americans,’’said Armey called estimates, the RAND Corporation, the Institute for Civil Justice show that the savings would be greater pilots urban.

Auto-selection was indigenous to the frustration of failure of systems of insurance, introduced in 1970’s, contain escalating insurance costs. In the approach is not a mistake, was almost half the country (including New York and New Jersey), injured in car accidents are entitled to health care and lost wages on his own insurance companies, regardless fault. The victims have complained for pain and suffering only if their losses exceed a threshold, often by their doctor bills.

But non-rejection has done little to insurance costs, which rose by 150 percent in 1980, despite the decline in the number of accidents. Indeed, it seems that no two levels of increased costs by creating incentives on the eve of the doctor’s fees, in order to facilitate access to justice. If Massachusetts has increased its threshold to $ 2000 for the year 1989, the median number of visits to the doctor because of the violation of victims has increased from 13 to 30

An alternative, no bullet-proof laws of debt, in which victims could only lead to compensation for economic losses, would probably be the most 40 percent of self-insurance costs now under litigation, not need medical care and for payment of pain and Leiden. But the total elimination of claimants the right to a day in court appears many as unfair. So Horowitz and Jeffrey M. O’Connell, a professor at the University of Virginia Law School, helped invent no-fault, it is suggested ,”” disengagement of self-assurance standard package.

Pilot ready to renounce claims, pain and suffering, in return, reducing premiums can be severe for no-fault, while others would also act bezahlen”unerlaubter maintenance coverage.” A driver coverage, wrongful act is injured by a driver with not only - defects that could collect pain and suffering of his indemnity insurance policyholders how the victims are compensated for damage caused by drivers not policyholders.

George Bush supports federal law, Member States, this choice driver during the presidential campaign of 1992, as Bob Dole in 1996. And a diverse group of politicians, Dir Republicans such as John Engler of Michigan and Mayor Rudolph W. Giuliani: St. Michael Dukakis, former governor of Massachusetts and Democratic presidential candidates took to the cause. But with the exception of State Farm, the insurance industry has always distant. And until now, the pressure of lawyers has been able to brush aside automatic selection initiatives: a car in California electoral ballot initiative was defeated this year, Dir and Christine Todd Whitman was forced to make their own automatic choice of a bill without a vote at the New Jersey Legislature.

Insurance premiums have fallen for millions of drivers across America and is expected to keep falling - or at least maintain constant - in the coming years is very profitable, insurers increasing pressure from competitors, regulators and support.

For over 20 years, prices for car insurance in only one direction. The change now is the result of a better car and driver course, with the booming results of the insurer “Wall Street investments.

Almost all large companies began snipping away in their insurance premiums as well as institutions of information, a trade group, it is projecting that prices are falling all around 1 percent on average this year to $ 692 for the average policy.

The State Farm Mutual Automobile Insurance Company, the industry leader with its subsidiaries, with approximately one fourth of the market, the nature and way of cutting prices in 31 states and the District of Columbia in 1997 and more than 12 to this year.

Most of the reductions were modest, ranging from a few dollars to several hundred dollars per year. And they have done little to the tripling of premiums over the past two decades. State Farm and its competitors have increased prices in some countries - and in some parts of the USA, where the average is lower - because the repair, medical care and legal costs continue to rise. And he has no relief for most drivers in New Jersey, which remains the highest rate.

However, some reductions have been significant: State Farm has lowered its prices in Hawaii by 15 per cent in January, and Hartford Financial Services Group, the 11th-largest auto insurers, gave their prices down in California 30 percent the next month. Larger, more efficient companies have seen their rights, and most have a general rule, the biggest cuts, say analysts, which helps to maintain or gain market share.

The image makes complex comparison purchase more important than ever. And with auto insurance offices increased profits - to 28 per cent in 1996, more than 50 percent last year and 18 percent expected at $ 11.3 billion in 1998 - consumer advocates say, reductions should be much deeper.

”Most companies are not big enough, that the reductions and the regulatory authorities are not difficult to grow as they should,’’said J. Robert Hunter, director of insurance for the Consumer Federation of America.

Based on his analysis, Mr. Hunter, a former Texas Insurance Commissioner, said insurers are expected to fall throughout the country at least 3 percent. In some countries - including New York, California, Rhode Island and Hawaii - the reduction should be at least 10 percent of the premium, he argues. Even then, Mr. Hunter said that insurance companies would enjoy profit margins of 10 to 15 percent, comparable to many other thriving industry.

Insurers acknowledge that the reduction cautious, fearful that the unforeseen costs can destroy their merits and believe that in a regulated sector backup copy of the escalation, the rate is much more difficult than climbing.

”That’s why we’re not just jump with both legs at a reduced rate,’’said Michael A. LaMonica, Vice President for automatic pricing Allstate Insurance Corporation, No. 2 in the country, insurers automobiles.

Some supervisors have forced the lower rates. Last fall, Elton Bomer, Texas, the commissioner of insurance means an across the board reduction of 5 percent.

Others, including Neil Levin, the New York Insurance Superintendent, and Chuck Quackenbush, the insurance commissioner of California, say rather than hammering companies in style, they tried prices down by lowering the administrative burden on the Fight against fraud and promoting competition.

Mr. Levin said that for him, for a reduction of 10 per cent, as Mr. Jäger request would probably be irresponsible”because each company has a different risk profile.”

Yet, Mr. Levin said that his office was told that insurance leaders of high gains in progress,”we expect to see prices continue to fall.

Faced with some of the highest auto-insurance in the country and constitutional for two years on how they down, legislative guide today announced that a new attempt to amend the Insurance of New York.

The theme was reopened, Joseph L. Bruno, a Republican, was appointed head of the majority of the Senate a press conference to say he was still the same package of amendments proposed by insurance, last year, and I give them a higher priority . Unlike last year, he also urged its members to a conference with the Committee to the Assembly, their differences and get a set of accounts on which both parties could accept.

Mr. Bruno adopted proposals, but the Senate did the Assembly during the last year.

His bill would increase penalties for individuals, insurance fraud and the extension of 30 days the time allowed insurance companies to consider fraudulent claims.

The package would also be provided an additional $ 2 million for local police and prosecutors in the fight against fraud. It also asks that the state still has a law, in the year 2001 has expired, insurance companies can increase or reduce insurance rates up to 7 percent without the agreement prior government insurance department.

Assemblyman Alexander B. Grannis, a Democrat, is chairman of the Insurance Committee, said the Senate were proposals to benefit insurance companies. He criticized the proposal to restore the law on exchange rates.

”They are under the Law and Order approach to insurance fraud,”he said. ”This problem is much more than the increase of sanctions.”

Mr. Grannis said he would reconvene its own account, from the assembly last year, when more consumers are demanding protection mechanisms, such as a freeze on insurance rates, with a possible cut up 17 per cent over the next year and a half. His proposal is also required that consumers assurance to enter, it would be consumers of insurance before the service.

The assurance of the economy said fraud and other claims Süchte they cost more than $ 1 billion per year. The decline should be of these economies, “said Grannis.

Blair Horner, legislative power and the director of the New York Public Interest Research Group, said his group supports the House changes because of its emphasis on consumer rights.

But Mr. Bruno and critics, including insurance lobbyists said it would be binding rates discourage competition and perhaps drive insurance companies from the state budget and that consumers are in favour of a double effort on the part of the Public Prosecution Office and other agencies.

Mr. Bruno said the Assembly was guilty of failure to make progress.

But, “said Grannis head of the House had asked a committee of the conference last year by the Senate, without result.

Alfred J. Bohlinger, a former New York State Insurance Superintendent, half earn compulsory motor insurance and fighting against fraud in the Association of animal welfare-Fonds, died Thursday at Good Samaritan Hospital in West Palm Beach, Fla. He was 89 years and lived in Palm Beach.

He died several illnesses, his family said.

Dir Thomas E. Dewey appointed as Superintendent insurance, a post he held from 1950 to 1955. Mr. Bohlinger struggled to require insurance for all motor vehicles and, finally, such a law was adopted. He also approved amendments to reward Driving class of graduates of foreign exchange and insurance expected to punish bad drivers by increasing their prices.

Several controversies of his tenure highlighted. The agency suspended the fraud, extortion, waste and other abuses, in some union health and welfare of health insurance funds and the investigation has inspired reform efforts. A critical report

It gives a critical report also noted that the long forced march as head of the Equitable Life Assurance Society, “then the third nation in life insurance. And he succeeded the International Day of Workers order fraternal group million issued by insurance, put you on the grounds that it was a communist front.

Mr. Bohlinger, who was born, was in Manhattan, graduated from the New York Law School in 1924 and entered the cabinet. In 1943, he was adviser to an investigation by the Commission, specifying the number of mismanagement in the state mental hospital Creedmoor. The following year he was appointed vice-insurance Superintendent.

After leaving government, he returned to legal practice, specializing in insurance. He was in the office of the city of securities and insurance consultancy firm of the National Association of Independent Insurers. It emeritus in 1980.

He served in the offices of the Commission, Dear citizens, public service reform and the Association of New York Law School, where he is also the chairman Alumni Association. In 1958, he led State Attorney General Louis J. Lefkowitz ‘election campaign. Over the years, he also has money for church charities and other purposes.

His first wife, the former Katherine Bohn Riehle, was vice-chairman of the Committee Manhattan Republican, who died in 1968.

He leaves his wife of 22 years is the former Marion MacDonald Greenway, three daughters-in-law, Mary Flynn, Jeanne Hamilton, Massachusetts, Edwina Neuman Manhattan and Gail Elias Frankfurt, Germany, seven grandchildren and three small backyard - son.

News of Newark’s Car theft problems should not overshadow the State of New York with his own battle implacable and costly this crisis.

Last year, 140000 cars were stolen in New York City, working out to 383 cars per day or one car every 3 1 / 2 hour - at a cost of over $ 700 million per year. It is a problem that can not be ignored.

In response to New York problem of car theft, me and the chairmen of the House Ways and Means Committee, Sheldon Silver, and the Committee on Codes, Joseph Lentol, developed antitheft legislation on the successful model of a program in Michigan . While New York has seen its auto theft rate rise by 61 percent, Michigan has fallen by 13 per cent during the same period. In addition, Michigan’s auto insurance premiums declined an average of 33 per cent since the implementation of the programme.

The Assembly of the legislation, A. 12137, is not only against the theft of vehicles through the development and funding of local programs specialist, but also ensure that insurance companies pass along the savings to reduce premiums. The bill would also repair a left state budget provides that each provided $ 1 fee under the guise of a stolen car program, to redirect most of the resources on a gap in the budget l ‘State.

Despite the size of the order of New York problem of car theft and success of Michigan’s programme of the majority Republican Senate, crows so hard to be hard on crime, went away from the Assembly of the legislation . She says she prefers the status quo, continue to impose an indefinite consumer auto insurance to fill gaps in the budget while the right to their constituents, they have done something about car theft.

The Republican Senate is conducted with the perception of being on Crime difficult to take such questions. Let the voters attention - attention to what they do, not what they say.