Hailstorm insurance litigation must be curbed says lawyer
Private insurers are likely to pull out of insuring against hailstorms unless there is a curb on frivolous and sometimes fraudulent litigation. That’s according to Texan insurance attorney Steve Badger who warns that a rise in fraudulent mass litigation following every hailstorm will lead to higher premiums, increased deductibles and possibly the exit of private insurers. Badger told the SE Texas Record that if insurance companies pull out of the market it could lead to the creation of the hailstorm equivalent of the Texas Windstorm Insurance Association.
While on average just 2 per cent of insurance claims in Texas become lawsuits, following spring hailstorms in 2012 there were 30,000 claims with 22 per cent resulting in lawsuits according to Texans for Law Reform. Spokesperson Sherry Sylvester told setexasrecord.com: “Hailstorm lawsuits are the most serious lawsuit abuse in Texas today.”
Canadian workers exposed by underinsurance for disability
A study claims that Canadian workers are putting themselves at the mercy of a disjointed and confusing public disability income system. Montreal’s Research into Public Policy says that only 56 per cent of workers have private disability insurance which means 44 per cent could find themselves battling through a web of provincial disparity in how disability benefits are calculated and awarded and potentially being left without any income for a period of time. With an ageing workforce, the study says that employers will face increased employee benefit costs. Tyler Meredith, co-author of the report, told CBC News that consultations need to take place to decide how the public system can be reformed or whether private disability insurance should be mandatory.
Insurers to treat all patients equally says US government
The US government said Thursday that the non-discrimination law will be extended to transgender people and will require health insurers and providers to treat everyone equally regardless of gender. Reuters reports that the provisions of the Affordable Healthcare Act has some ambiguity regarding non-discrimination which has led to thousands of complaints. The proposed rule change will refer specifically to “gender identity” rather than just “sex” to remove any doubt that transgender patients and policyholders are to be treated equally.
