News for the week of March 13, 2023 |
ICT Opens Nominations for Prestigious Raymond Mauk Leadership Award |
The Raymond Mauk Leadership Award recognizes an individual who has made a notable contribution to the Texas property and casualty insurance industry. Past winners have included a select group of men and women who have helped shape the property and casualty industry through a variety of roles. Nominees can be an active or retired company employee, regulator, agent, elected official, educator, or anyone connected with the Texas property and casualty industry. Last year we recognized two winners, Debra Richardson as the 2021 recipient and Bo Gilbert as the 2022 recipient of the Raymond Mauk Leadership Award. This will be the 26th year for this award and is the highest honor given in the Texas insurance industry and will be announced during the Awards Recognition Dinner as part of the 31st Annual ICT/AFACT Property and Casualty Insurance Symposium, which will be held at the Hilton Anatole in Dallas, TX on July 12-14, 2023. To submit your nomination, for more information on the award and a list of past winners, please visit the ICT website. |
Inflation stinger: Texas auto insurance rates soar 24%, homeowners rates up 11% |
(SUBSCRIPTION) - Auto insurance rates in Texas soared an average of 23.8% in 2022, eight times higher than in 2021 and the highest annual increase in at least 20 years, according to the Texas Department of Insurance. In addition, homeowners insurance rates in Texas rose an average of 10.8% last year, the highest annual gain since 2012. READ MORE>> |
Legislative News & Updates |
Recap: House Insurance Committee March 7 Meeting |
The House Insurance Committee has begun their regular meetings. On March 7, the Committee heard testimony on two bills of interest to ICT: - HB 351 by Representative Cecil Bell would allow workers’ compensation insurance companies to contract with an accident and health insurance company to offer both policies together in one packaged plan.
- HB 150 by Representative Julie Johnson would prohibit oral releases for automobile insurance claims.
Members read a recap of the committee hearing here. House Insurance meets on March 14 and, among other bills, will be hearing HB 1239, which prohibits insurer from considering ESG score or customer's consideration of diversity, equity, and inclusion factors when establishing rates. ICT will provide a recap of the hearing next week. |
Texas Legislature Reaches Deadline to File Bills for the 88th Session |
The deadline for bill filing for the 88th Legislative Session was Friday, March 10. There were 7,867 bills filed (2,656 Senate Bills and 5,292 House Bills). This was a 13% increase from bills filed during the previous session. The session marked the first time the Texas House has reached the 5,000-bill marker. ICT is tracking over 400 bills and will keep members updated as things move through the process. |
DWC Adopts Changes to Texas Administrative Code |
DWC has adopted amendments to 28 Texas Administrative Code Section 165.1 to add Texas Mutual Insurance Company’s physical address, update Insurance Code references, and make updates for plain language and agency style. READ MORE>> |
DWC to Host Quarterly Meetings for Insurance Carriers and Healthcare Providers on March 22 |
Insurance Carrier Quarterly Meeting On Wednesday, March 22, 2023, DWC will hold its quarterly meeting for insurance carriers to discuss issues in the Texas workers’ compensation system. The meeting will be held via Zoom from 2 to 3 p.m. Healthcare Provider Quarterly Meeting On Wednesday, March 22, 2023, DWC holds its quarterly meeting for health care providers to discuss issues in the Texas workers’ compensation system. The meeting will be held via Zoom from 10 to 11 a.m. The agendas and Zoom information for both meetings can be found on the TDI website. |
ICT to Hold All Member Call - March 22, 2023 |
TAIPA Increases Rates by 5% as of June 1 |
TAIPA rates will increase by 5% across the board as of June 1, 2023. In addition the "$1 fee for the first auto or dealer's plate for an individual or husband and wife and for each designated person" for uninsured/underinsured motorists coverage will be eliminated as of June 1, 2023. TAIPA will update their Rules and Ratings Manual with this information. If you have any questions contact TAIPA directly at, 866-321-9154 or visit TDI's website. |
P&C Industry News & Updates |
Anti-ESG comes for the insurance industry |
Insurers are already on the front lines of climate change. Now they’re getting their turn on the front lines of the anti-ESG movement. Lawmakers in red states like Texas, North Dakota and South Dakota are trying to bar insurers from weighing environmental, social and governance factors in writing policies. On the other side, activist shareholders and blue states are trying to limit insurers’ investments and underwriting in oil and gas projects. A bill introduced last month in Connecticut would establish a surcharge on insurers that underwrite fossil fuels. READ MORE>> |
The last several years have put insurance companies under pressure. The industry’s business models vary across the three distinct branches in which the companies operate: life insurance, non-life insurance and reinsurance. Life insurance offers financial products that enhance the beneficiary’s income welfare in the future, thanks to the insurer’s assistance. Contracts can also be arranged to include benefits to the insured, like a retirement scheme. In brief, insurers collect resources for a number of years, during which they accumulate liabilities that will be liquidated in the future. READ MORE>> |
The ESG debate needs an apolitical arbiter. Here’s why the insurance industry gets it right |
The use of environmental, social, and governance (ESG) risk considerations in business decisions has been mired in a skirmish fueled by fear and uncertainty with dramatic dialogues and extreme politicization. READ MORE>> |
Why Insurance Companies Need To Recruit More Strategically |
The war for talent in today’s job market has spared few industries. Insurance companies are arguably facing their most challenging recruiting period, with almost half citing greater difficulty in hiring now. Despite progress being made, diversity is still lacking at firms—less than a quarter of entry-level roles and only 8% of senior and executive positions are filled with racially and ethnically diverse professionals, according to Deloitte. READ MORE>> |
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