Jon Bonus, a spokesman for Gov. Perdue, said Friday the decision on whether to keep the position "is still under review."

The governor's action concerning the advocate was done without fanfare at the end of an announcement concerning a list of appointments. The press release stated: "In addition the governor accepted the resignation of Helen Scholes, executive director of the Georgia Building Authority, and Cathey W. Steinberg, consumers' insurance advocate."

Ms. Steinberg, who indicated that she will remain at her post until the end of the month, said she could not predict the fate of her agency, because Georgia, like other states, is having serious financial problems, "I don't think anyone knows," she commented.

Her removal, she said, came about because "I'm perceived as a political appointment."

She noted that her office had been created in 1999 by Mr. Perdue's predecessor, Democrat Roy Barnes, and that Republican Insurance Commissioner John W. Oxendine opposed creation of an advocate, "as did every Republican? Their feeling was it was duplicative."

She said the office has a staff of 12 persons and has a budget of about $800,000.

James S. Taylor, southeastern regional manager for the Des Plaines, Ill.-based NAII said "Eliminating this extraneous, non-elected position will clarify the fact that Georgia's insurance commissioner is the state's real consumer advocate."

He called Mr. Perdue's action a step in the right direction toward streamlining the insurance process.

Although the advocate has no power over insurance rate setting, it has the authority to intervene, request records, testify and comment on insurance-related legislation, and act as an interested third party in insurance-related litigation?a form of "de facto regulation," Mr. Taylor noted.

He suggested that, "Perhaps the money saved from the consumer advocate position should be channeled into the insurance department, where it could do the most good."

Ms. Steinberg had served in the general the General Assembly with Mr. Barnes, and some saw creation of her office as a move against Mr. Oxendine.

Ms. Scholes, the other Democrat who lost a job, was a longtime friend of former first lady Marie Barnes.