Regional News
NORTHEAST REGIONAL NEWS
NURSING HOME RATES INCH UP
A 2007 survey by MetLife Mature Market Institute showed a slight increase in average nursing home costs and no change in average assisted living costs over 2006.
“The MetLife Market Survey of Nursing Homes and Assisted Living Costs” reports that the national average daily rate for a private room in a nursing home last year was $213, or $77,745 annually, an increase from $206 or $75,190 annually in 2006. The survey found that nursing home rates varied “considerably” by region. For instance, the Baton Rouge, Louisiana, area had the lowest average rate of $123 per day while Alaska had the highest average rate of $510 daily.
Following is a sample of the average daily rate for a private room in a nursing home in Rough Notes’ Northeastern Region:
Hartford, Connecticut, $337
Southern Maine, $259
Boston, Massachusetts, $297
Manchester, New Hampshire, $243
Cherry Hill, New Jersey, area, $282
New York City, $352
Philadelphia, Pennsylvania, $233
Providence, Rhode Island, $231
Vermont (statewide), $236
The national average, private pay monthly base rate for an individual residing in an assisted living community is $2,969 or $35,628 annually. This rate is essentially unchanged from 2006. The survey says than an estimated 900,000-plus Americans live in almost 39,500 assisted living residences in the United States. The average age of these residents is 85.
The Washington, D.C., area had the highest average base rate for assisted living facilities—$5,031 monthly—and Indianapolis, Indiana, and the state of North Dakota had the lowest average base rates with $1,963 and $1,964, respectively.
The entire survey can be accessed at www.maturemarketinstitute.com. In April, Genworth Financial released a similar 2008 Cost of Care Survey.
Area news
Agencies receive technology awards
In April, The AMS Users’ Group (AMSUG) awarded the 2008 Automation Excellence Award to Sava Insurance Group in Waterford, Connecticut (25 users or less category), and Allied Insurance Brokers, Inc., in Pittsburgh, Pennsylvania (more than 25 users category).
Maine
Pittsfield agent elected president of AMS Users’ Group
Michael R. Gray, president of Lehr Insurance Agency, a division of United Insurance Group, in Pittsfield, Maine, was recently elected president of The AMS Users’ Group (AMSUG).
New Hampshire
Workers comp law revised
In January, Governor John Lynch signed H.B. 692, modifying H.B. 471, which was passed and signed last year. According to the Professional Insurance Agents of New Hampshire, which lobbied for the amendment, the original law placed an undue burden on small businesses by requiring all officers of any company, even one-person businesses, to be covered under workers compensation. The new version gives companies the option to exempt up to three corporate officers from the cover-age requirement.
New Jersey
Auto quote requirements eliminated
In January, Governor Jon Corzine signed A-3863 into law, eliminating the requirements for auto insurance agents to provide quotes for all their companies and to provide three insurance scenarios to applicants. Jack Lynn, president of the PIANJ, said the former quoting requirements did not serve consumers because they failed to “take into account all factors that agents consider when offering coverage options to consumers.” And he pointed out that the hypothetical coverage scenarios were often not based on the applicant’s individual circumstances.
Text messaging banned
New Jersey is the first state to ban sending text messages (“texting”) while driving—with primary enforcement. This means that an officer may ticket a driver for texting while driving without any other traffic offense taking place. Washington has also banned texting, but its law is secondarily enforced.
Massachusetts
Web site provides information on auto insurance changes
In April, insurance companies doing business in Massachusetts began setting their own rates in the private passenger automobile market. To help consumers understand the changes in the state’s auto insurance system, the Massachusetts Association of Insurance Agents launched an auto insurance Web site (www.massauto.com) geared strictly toward consumers and their questions about managed competition. *
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SOUTHEAST REGIONAL NEWS
NURSING HOME RATES INCH UP
A 2007 survey by MetLife Mature Market Institute showed a slight increase in average nursing home costs and no change in average assisted living costs over 2006.
“The MetLife Market Survey of Nursing Homes and Assisted Living Costs” reports that the national average daily rate for a private room in a nursing home last year was $213, or $77,745 annually, an increase from $206 or $75,190 annually in 2006. The survey found that nursing home rates varied “considerably” by region. For instance, the Baton Rouge, Louisiana, area had the lowest average rate of $123 per day while Alaska had the highest average rate of $510 daily.
Following is a sample of the average daily rate for a private room in a nursing home in Rough Notes’ Southeast Region:
Birmingham, Alabama, $160
Miami, Florida, $211
Atlanta, Georgia, $175
Louisville, Kentucky, $193
Baltimore, Maryland, $216
Charlotte, North Carolina, $180
Nashville, Tennessee, $194
Alexandria Area, Virginia, $260
The national average, private pay monthly base rate for an individual residing in an assisted living community is $2,969 or $35,628 annually. This rate is essentially unchanged from 2006. The survey says than an estimated 900,000-plus Americans live in almost 39,500 assisted living residences in the United States. The average age of these residents is 85.
The Washington, D.C., area had the highest average base rate for assisted living facilities— $5,031 monthly—and Indianapolis, Indiana, and the state of North Dakota had the lowest average base rates with $1,963 and $1,964, respectively.
The entire survey can be accessed at www.maturemarketinstitute.com. In April, Genworth Financial released a similar 2008 Cost of Care Survey.
Area news
Meetings planned
Independent Insurance Agents of Mississippi—Young Agents Conference, August 15-17 at the Royal Sonesta Hotel in New Orleans, Louisiana (www.msagent.org).
Professional Insurance Agents of Mississippi and Mississippi Claims Association Joint Convention—July 31-August 2 at the Grand Hotel in Point Clear, Alabama (www.piams.com).
Professional Insurance Agents of Virginia/D.C.—Fall Conference, October 12-14 at Mariner’s Landing in Smith Mountain Lake, Virginia (www.piavadc.com).
Independent Insurance Agents of Kentucky—Annual convention, November 5-7 at the Hyatt Regency in Louisville, Kentucky (www.iiak.org).
Alabama Independent Insurance Agents—Small & Rural Agents Conference, October 15 at the AIIA office in Birmingham, Alabama. (www.aiia.org)
Insurors of Tennessee—Annual Convention, October 18-21 at the Hilton Nashville Downtown (www.insurors.org).
Independent Insurance Agents of North Carolina—Annual Convention, October 12-15 at Grove Park Inn Resort & Spa in Asheville, North Carolina; Young Agent Sales & Leadership Conference, November 4-5 at the Sheraton Koury Convention Center in Greensboro, North Carolina (www.iianc.com).
States pass accident response fee ban
Tennessee and Georgia recently passed legislation that bans local governments from charging fees to respond to accidents. Last year, Missouri became the first state to impose a ban, and Indiana and Pennsylvania recently passed similar legislation.
Georgia
Auto insurance bill passed
In May, Governor Sonny Perdue signed into law SB 276, which addresses a host of issues important to motor vehicle insurers. The law permits file and use rating for private passenger auto above the mandated minimum liability limits. It also would allow consumers to choose their level of uninsured motorist coverage.
Court rules against cap on damages
In May, a trial court ruled unconstitutional the state’s cap on non-economic damages in medical liability cases. The American Insurance Association (AIA) called the ruling “a potentially serious blow” to Georgia’s 2005 comprehensive tort reform law, which limits non-economic damages in medical liability actions to $350,000 for one defendant and $700,000 for multiple defendants.
Tennessee
Kingsport agent receives award
Earlier this year, Kenneth A. Bowles, principal of the Rogers Agency, Inc./The Archer Agency in Kingsport, Tennessee, was named Professional Insurance Agent of the Year by the National Association of Professional Insurance Agents.
Mississippi
Wind pool rates reduced
In April, Commissioner of Insurance Mike Chaney approved a rate reduction request filed by the Mississippi Windstorm Underwriting Association, or Wind Pool, as well as the transfer of $25 million from the state to help the Wind Pool pay its reinsurance premiums. This funding was approved last year through HB 1500, The Mississippi Economic Growth and Redevelopment Act of 2007. As a result, the commissioner reports, there is an average 11% reduction in Wind Pool premium rates for residential properties in the six counties where private insurers will not provide coverage. *
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MIDWEST REGIONAL NEWS
NURSING HOME RATES INCH UP
A 2007 survey by MetLife Mature Market Institute showed a slight increase in average nursing home costs and no change in average assisted living costs over 2006.
“The MetLife Market Survey of Nursing Homes and Assisted Living Costs” reports that the national average daily rate for a private room in a nursing home last year was $213, or $77,745 annually, an increase from $206 or $75,190 annually in 2006. The survey found that nursing home rates varied “considerably” by region. For instance, the Baton Rouge, Louisiana, area had the lowest average rate of $123 per day while Alaska had the highest average rate of $510 daily.
Following is a sample of the average daily rate for a private room in a nursing home in Rough Notes’ Midwest Region:
Chicago, Illinois, $157
Indianapolis, Indiana, $154
Detroit, Michigan, $167
Minneapolis/St. Paul, Minnesota, $210
Cleveland, Ohio, $205
Milwaukee, Wisconsin, $234
The national average, private pay monthly base rate for an individual residing in an assisted living community is $2,969 or $35,628 annually. This rate is essentially unchanged from 2006. The survey says than an estimated 900,000-plus Americans live in almost 39,500 assisted living residences in the United States. The average age of these residents is 85.
The Washington, D.C., area had the highest average base rate for assisted living facilities— $5,031 monthly—and Indianapolis, Indiana, and the state of North Dakota had the lowest average base rates with $1,963 and $1,964, respectively.
The entire survey can be accessed at www.maturemarketinstitute.com. In April, Genworth Financial released a similar 2008 Cost of Care Survey.
Area news
Annual conventions planned
Professional Independent Insurance Agents of Illinois—October 1-3 at the Crowne Plaza in Springfield, Illinois (www.piiai.org).
Independent Insurance Agents of Ohio—October 8-9 at the Hilton Columbus at Easton in Columbus, Ohio (www.ohiobigi.com).
Professional Insurance Agents of Wisconsin—August 6-8 at the Chula Vista Resort in Wisconsin Dells, Wisconsin (www.piaw.org).
Indiana
Accident response fees banned
After vetoing similar legislation in 2007, in April of this year Governor Mitch Daniels signed SB 81, which prohibits local governments from charging fees for responding to traffic accidents. Last year’s legislation contained an unrelated provision that was opposed by Governor Daniels. According to the Property Casualty Insurers Association of America, SB 81 does not contain the previous bill’s language that was objectionable to the governor.
Ohio
Leadership award presented
In April, The AMS Users’ Group (AMSUG) presented the Louie E. Woodbury, Jr., Leadership Award to James B. Phelan, CPCU, CLU, CIC, CPIA, chairman of Phelan Insurance Agency Inc. of Versailles, Ohio.
Michigan
Service award given
In April, The AMS Users’ Group (AMSUG) presented the James M. Gibson Service Award to Cindy J. Prud’homme, business analyst for Meadowbrook Insurance Group of Southfield, Michigan.
Minnesota
Bad faith bill signed
In April Governor Tim Pawlenty signed first-party bad faith legislation (S.F. 2822) that places limits on the trial bar’s efforts to expand its ability to bring lawsuits when there are disputed insurance claims. According to the Property Casualty Insurers Association of America, the bill excludes third-party bad faith cases and punitive damages. It places a cap of $250,000 on damages and $100,000 on attorney fees. The bill also requires that there be proof of knowledge that there was a lack of reasonable basis for denying a claim, or that the insurer acted in disregard of a lack of a reasonable basis, before a bad faith claim can be brought. *
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SOUTHWEST REGIONAL NEWS
NURSING HOME RATES INCH UP
A2007 survey by MetLife Mature Market Institute showed a slight increase in average nursing home costs and no change in average assisted living costs over 2006.
“The MetLife Market Survey of Nursing Homes and Assisted Living Costs” reports that the national average daily rate for a private room in a nursing home last year was $213, or $77,745 annually, an increase from $206 or $75,190 annually in 2006. The survey found that nursing home rates varied “considerably” by region. For instance, the Baton Rouge, Louisiana, area had the lowest average rate of $123 per day while Alaska had the highest average rate of $510 daily.
Following is a sample of the average daily rate for a private room in a nursing home in Rough Notes’ Southwest Region:
Little Rock, Arkansas, $159
Denver, Colorado, $187
Wichita, Kansas, $157
Albuquerque, New Mexico, $183
Dallas/Ft. Worth, Texas, $167
The national average, private pay monthly base rate for an individual residing in an assisted living community is $2,969 or $35,628 annually. This rate is essentially unchanged from 2006. The survey says than an estimated 900,000-plus Americans live in almost 39,500 assisted living residences in the United States. The average age of these residents is 85.
The Washington, D.C., area had the highest average base rate for assisted living facilities— $5,031 monthly—and Indianapolis, Indiana, and the state of North Dakota had the lowest average base rates with $1,963 and $1,964, respectively.
The entire survey can be accessed at www.maturemarketinstitute.com. In April, Genworth Financial released a similar 2008 Cost of Care Survey.
Area news
Technology Conference planned
Sponsored by the IIABA associations of Kansas, Nebrask, Missouri, Texas, Oklahoma, Colorado and Kentucky, the 2008 Midwest Technology Conference will be held at the Overland Park Doubletree Hotel in Overland Park, Kansas, August 21-22, preceded by a real-time forum on August 20. Go to www.iiaba.net and click on any of the above states for more information.
Annual conferences to be held
Professional Independent Insurance Agents of Colorado—October 22-24 at the Park Hyatt Beaver Creek Resort & Spa in Beaver Creek, Colorado (www.piiac.com)
Independent Insurance Agents of Iowa—September 24-25 at the Downtown Des Moines Marriott Hotel in Des Moines, Iowa (www.iiaiowa.org)
Independent Insurance Agents of Nebraska—October 21-23 at the Holiday Inn in Kearney, Nebraska (www.biginebraska.com)
Kansas Professional Insurance Agents—October 2-3 at Oldtown Conference Center in Wichita, Kansas (www.kansaspia.org)
Independent Insurance Agents of New Mexico— October 1-2 at the Sandia Casino & Resort in Albuquerque, New Mexico (iianm.org)
Kansas Association of Insurance Agents—Management & Marketing Confer-ence, October 8-10 at the Overland Park Doubletree in Overland Park, Kansas (www.kaia.com)
Colorado
Car insurance costs down
The average Colorado auto insurance premium has decreased 35% in the almost five years since the state changed from a no-fault auto insurance system to a fault-based or tort system that is used in 37 other states, according to an independent study released earlier this year by Governor Bill Ritter’s office. According to a report about the study from the Property Casualty Insurers Association of America, consumers were paying $322 less per car, per year for auto insurance in December 2007 than they were in July 2003. The state’s national ranking for the cost of auto insurance fell from 9th highest in 2002 to 21st in 2005.
Iowa
Insurance legislation passed
In April, House File 2555, an insurance omnibus bill, was passed. Among its provisions is the creation of an “insurance consumer advocate,” which was “unnecessary given the existing regulatory framework,” according to John Birkinbine, assistant vice president of the American Insurance Association’s Midwest Region. *
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WESTERN REGIONAL NEWS
NURSING HOME RATES INCH UP
A2007 survey by MetLife Mature Market Institute showed a slight increase in average nursing home costs and no change in average assisted living costs over 2006.
“The MetLife Market Survey of Nursing Homes and Assisted Living Costs” reports that the national average daily rate for a private room in a nursing home last year was $213, or $77,745 annually, an increase from $206 or $75,190 annually in 2006. The survey found that nursing home rates varied “considerably” by region. For instance, the Baton Rouge, Louisiana, area had the lowest average rate of $123 per day while Alaska had the highest average rate of $510 daily.
Following is a sample of the average daily rate for a private room in a nursing home in Rough Notes’ Western Region:
Phoenix, Arizona, $197
Los Angeles, California, $215
Honolulu, Hawaii, $271
Billings, Montana, $174
Las Vegas, Nevada, $200
Seattle, Washington, $257
The national average, private pay monthly base rate for an individual residing in an assisted living community is $2,969 or $35,628 annually. This rate is essentially unchanged from 2006. The survey says than an estimated 900,000-plus Americans live in almost 39,500 assisted living residences in the United States. The average age of these residents is 85.
The Washington, D.C., area had the highest average base rate for assisted living facilities— $5,031 monthly—and Indianapolis, Indiana, and the state of North Dakota had the lowest average base rates with $1,963 and $1,964, respectively.
The entire survey can be accessed at www.maturemarketinstitute.com. In April, Genworth Financial released a similar 2008 Cost of Care Survey.
Area news
Regional meeting planned
PIA Western Alliance, serving Washington, Alaska, Oregon, Idaho, Montana, Arizona, California, New Mexico, Nevada, will hold its annual National Insurance Industry Convention & Expo ’08 August 4-6, 2008, at The Mirage in Las Vegas, Nevada (www.piawest.com).
Annual conventions scheduled
Independent Insurance Agents & Brokers of Oregon—August 24-26 at Sunriver Resort in Sunriver, Oregon (www.insureoregon.org)
Independent Insurance Agents & Brokers of Idaho—August 10-13 at the Coeur d’Alene Resort in Coeur d’Alene, Idaho (www.iiabi.org)
Independent Insurance Agents & Brokers of Washington—September 18-20 at the Suncadia Resort near Cle Elum, Washington (www.iiabw.org)
Independent Insurance Agents & Brokers of Arizona—September 18-19 at The Arizona Grand Resort in Phoenix, Arizona (www.iiabaz.com)
South Dakota Association of Insurance Agents—September 14-16 at the Best Western Ramkota Hotel in Pierre, South Dakota (www.iiaba.com and click on Other States, then South Dakota)
Professional Insurance Agents of Montana Road Shows—September 15-16 at the Hilton Garden Inn in Billings, Montana; September 17-18 at the Hampton Inn in Great Falls, Montana (www. piawest.com)
Most car theft occurs in Western United States
In April, the National Insurance Crime Bureau (NICB) released its most recent report about car theft “hot spots.” All of the top 10 areas are located in the Southwest or Western part of the United States.
As of 2007, the 10 Metropolitan Statistical Areas (MSAs) with the highest vehicle theft rates are (compared to 2006 rank):
1. Modesto, California.....5
2. Las Vegas/Paradise, Nevada.....1
3. San Diego/Carlsbad/San Marcos, California.....11
4. Stockton, California.....2
5. San Francisco/Oakland/Fremont, California.....12
6. Laredo, Texas.....22
7. Albuquerque, New Mexico.....13
8. Phoenix/Mesa/Scottsdale, Arizona.....4
9. Yakima, Washington.....9
10.Tucson, Arizona.....10
The rate is determined by the number of vehicle theft offenses per 100,000 inhabitants, using the 2007 U.S. Census Population Estimates, the most current figures available.
There is some positive news about vehicle theft, according to the NICB. Preliminary 2007 crime data released by the FBI in January show that not only is 2007 on track to be the fourth consecutive year of declining vehicle thefts, but if the preliminary figure of -7.4% holds, it will be the largest single-year percentage drop in thefts since 1999 and will contribute to the overall 11% reduction in vehicle thefts nationally since 2000. *