Reinsurance: Rational Move for Cat Fund and Florida

hurricane

The Florida Cabinet made the right decision by authorizing the Florida Hurricane Catastrophe Fund (Cat Fund, a government entity) to buy $1 billion of reinsurance as part of its $17 billion in claims-paying resources. The $1 billion of reinsurance was bought at modest cost and it will spread the cost of any calamity beyond Florida’s […]

Exploring Personal Injury Protection Reforms

brakes

Before 1972, if you suffered bodily injury in a car crash, you might need to show that you could pay your medical costs before treatment was given.  You might hire an attorney to sue the culprit for damages and after your eventual victory; you would split the damages award one-third to the attorney and two-thirds […]

Florida’s Legislative Opportunity to Save Consumers Money

dollars

There are several important issues scheduled for this legislative session in Florida that are worth noting because they will reduce taxes and fraud, thereby saving consumers money. First, companion bills HB 7141 and SB 110 take steps to reduce cell phone taxes. Florida consumer pay over 20% tax on cell phone bills each month. For young, minorities and […]

Fraud Update: Assignment of Benefits

rescue

Soon after last year’s minor hail events in west-central Florida a small roofing contractor left his hometown in Polk County to set up temporary headquarters in a small strip mall just off of Highway 19, near Homosassa Springs. He began trolling the southern tip of Citrus County and neighborhoods like Sugarmill Woods knocking on doors, […]

ACI in Forbes: Chipping Away At Credit Card Fraud

computer theft

This piece, available at Forbes, discusses how chip and PIN technology can sharply reduce credit card fraud in merchant stores and decrease data breaches, while the chip and signature solution that now being deployed in the U.S. will only make a modest incremental improvement.

Letter Urges Reducing Florida’s Cat Fund Risks

hurricane

ACI, along with a group of nonprofit groups, has written a letter to the Cat Fund CFO and the Florida State Board of Administration urging them to use private capital to reduce risks and the potential for hefty hurricane tax assessments on consumers, churches, nonprofits and small businesses.  The letter is available here.

Regulatory Creep and Ridesharing

road

Uber, Lyft and Sidecar are fast-growing “ridesharing” services that compete with each other and with conventional taxis.  The ridesharing services are summoned through an Internet app tied to an established personal account.  The app handles booking, payment, and a ride survey. Ridesharing can be a compelling economic proposition to consumers.  In urban settings, it can […]

Florida Insurance Fraud Continues To Be Rampant

flood

Some say every insurance crisis inevitably traces back to a handful of lawyers and that abuse of Assignment of Benefits (AOB) is no exception. What I’ve recently uncovered seems to bear this out in mind-boggling terms. Just like PIP and sinkholes, AOB has all the markings of just another sue-for-profit scheme. (See “What is an […]

Spending Habit Can Tee up Another Bailout

House

Two of the largest US institutions are at risk of going wobbly.  Fannie Mae lists $3 trillion and Freddie Mac lists $1.7 trillion  in securitized mortgages that they sold to banks usually with guarantees.  According to some sources, their impressive performance in recent years may be drawing to a close and their federal masters have […]