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In response to global insurance industry software needs, Oracle has formed a new business unit, Oracle Insurance, and unveiled Oracle Application Integration Architecture (AIA) Foundation Pack for Insurance at the San Francisco Oracle OpenWorld. Oracle Insurance is designed to serve more than 2,000 insurance customers worldwide and help the insurance industry manage the entire software enterprise from technical infrastructure to core insurance processing, the company said.

Fitch Ratings has downgraded the long-term Issuer Default Ratings (IDRs) and Insurer Financial Strength (IFS) ratings of Liberty Mutual Group, Inc. (LMG) and Safeco Corp. (SAF) as follows: LMG–Long-term IDR to ‘BBB’ from ‘BBB+’; –IFS to ‘A-‘ from ‘A’. SAF–IDR to ‘BBB’ from ‘A+’; –IFS to ‘A-‘ from ‘AA’. The Rating Outlook is Negative. Fitch has also removed LMG’s and SAF’s ratings from Rating Watch Negative. “Fitch’s rating actions follows today’s close of LMG’s acquisition of SAF for $6.2 billion in cash,” said the bulletin. “The actions reflect Fitch’s concerns about the post-acquisition capitalization of LMG’s and SAF’s operating companies, integration and execution risk… Read More »Rating Roundup: Liberty/Safeco, CAPCO, Service

Health benefits continued to erode this year as employers tried to grapple with escalating expenses by cutting back coverage and shifting more of the cost burden to workers by raising premium contributions, deductibles and other out-of-pocket costs, according to the 2008 Kaiser Family Foundation/Health Research and Educational Trust survey. Deductibles in preferred provider plans grew by an average of $99 to $560, but perhaps more significant was the surge in the prevalence of high-deductible health plans. This year, 18% of workers are enrolled in plans with deductibles of $1,000 or more, up from 12% in 2007 and 10% in 2006,… Read More »Further Health Benefit Cuts Occurred in 2008

Recently we have attended Web Marketing expo in Moscone Center, after which we decided to have lunch at Metreon food court. I was really surprized looking at the receipt showing extra charge to recover health benefits expenses of the restaurant owner… Instead of publishing higher prices for that sheety food they show lower prices, but charge high dollar… Anyways, The Golden Gate Restaurant Assn. filed a petition Tuesday with the 9th U.S. Circuit Court of Appeals seeking a rehearing by the full court of last month’s decision by a three-judge panel that approved San Francisco’s health care spending mandate, said… Read More »Restaurant association appeals health mandate ruling

The rate of workplace injuries and illnesses in the private industry declined for the sixth straight year in 2007, the U.S. Department of Labor’s Bureau of Labor Statistics said Thursday. According to the BLS, the number of nonfatal workplace injuries and illnesses reported by the private industry employers declined from 4.4 cases per 100 workers in 2006 to 4.2 cases in 2007. Edwin Foulke, assistant secretary of Labor for Occupational Safety and Health, and Elaine Chao, secretary of Labor, said the decline was largely due to workplace safety education, training and enforcement of guidelines.

Property insurer Travelers Cos. Inc. told the U.S. Treasury on Tuesday it has no plans to seek federal financial assistance and slammed other insurers that are, saying aid should be saved for more “acute” circumstances.

A Burger King restaurant manager sexually assaulted in a racially motivated attack as she arrived at work is not eligible for workers compensation benefits, the Alabama Supreme Court ruled Thursday. The state high court agreed with a lower court ruling that the manager did not sustain a compensable injury because her injuries were caused by third parties intending to injure her for personal reasons and not because of her employment. The trial court also ruled that the attack was racially motivated. The incident occurred Aug. 11, 2002, when two men attacked the manager while she attempted to unlock the restaurant,… Read More »Court Ruling: Racial Attack Victim Not Eligible for Comp

Property/casualty insurers should not be included in the government’s plan to invest in banks and other institutions hit by the financial crisis, the American Insurance Assn. said Monday. The Capital Purchase Program, which was included as part of the $700 billion bailout program signed into law earlier this month, was established to inject government capital into banks and other financial firms facing liquidity problems. In a statement, Evan Greenberg, AIA chairman and chairman and chief executive officer of Bermuda-based ACE Ltd., said the majority of AIA members do not support the inclusion of P/C insurers in the program and that… Read More »P/C insurers bailout

Independent insurance agents and brokers are concerned about the future of contingent commissions, according to a recent survey. Channel Harvest Research and sponsored by Insurance Journal sponsored a survey conducted by Channel Harvest Research The survey asked agents to rank five issues within the American Agency System in importance on a scale of 1 to 5. Most of the property and casualty agents made their priorities known: –Loss of contingent commission (4.6 out of 5)–Real-time technology (4.4)–Agency branding (4.0)–Internet sales (3.4)–Reduced coverage in catastrophe-prone areas (3.3) Source: insurancejournal.com