Personal Lines

Despite continued increases in loss costs, the private passenger auto insurance industry should continue to remain profitable, benefiting from the weak economy, a financial analyst said.

The G-20 meeting generated a number of proposals that if implemented would have a strong benefit for U.S. insurers, according to officials at an industry trade group.

Bills to ease rules for bringing "bad faith" lawsuits in claim disputes have been introduced in a growing number of state legislatures, but so far insurance interests have been winning.

A study of auto crash injury claims has found that in collisions where vehicles had front and side airbag systems, injuries were less severe and claim costs were lower.

Dearborn, Mich.-based insurer Auto Club Insurance Association (ACIA) said it has acquired MEEMIC Insurance Company and its insurance agency affiliate MEEMIC Insurance Services Corp. Terms of the deal were not released, a company spokeswoman said.

With falling top-line revenue due to a deepening recession and a depleting policyholders' surplus capital base, the upcoming price increase cycle is projected to be different from previous periods, according to a survey by a data technology firm.

Even as some insurance industry bonuses draw criticism, Jack Windolf, the chief executive officer of Bollinger Insurance Solutions brokerage, is drawing national acclaim for dishing out $1,000 to all 434 company employees from his own pocket.

A bill introduced in Congress yesterday establishing some federal regulation over the insurance industry has drawn opposition from an insurance agents group while the two major insurers are supporting the move.