Posts Tagged ‘senior vice president’
Patrick Targets Health Care Cost Increases
When Gov. Deval Patrick announced emergency changes to the way health insurance companies report rate increases to the state, neither the state’s health insurers nor hospitals and doctors were happy.
The changes went into effective immediately on Feb. 10 and require health insurers to file rate increases for small business premiums 30 days before they take effect. that allows state officials to review and possibly reject increases deemed unreasonable or excessive.
Additional Oversight
Not only do the increases have to be filed early, but insurers also have a laundry list of additional supporting documentation that must be filed to justify the rate increase.
Insurers say the regulations do not get at the root of the problem, which is not insurance premium costs, but health care costs.
Hospitals, on the other hand, say the regulations are too heavy-handed when Patrick should be more stringently regulating insurance premiums.
“The problem is the regulations will do nothing to get at the main elements that reduce premium costs, which are the health care costs,” said Eric Linzer, senior vice president at the Massachusetts Association of Health Plans, a consortium of health insurance agencies from around the state.
In addition to the emergency changes that require insurers to file for rate changes, Patrick is also proposing legislation that would limit what both insurers and hospitals can charge.
James Kirkpatrick, senior vice president for health finance and managed care at the Massachusetts Hospital Association, said Patrick’s plans to cap increases that hospitals can charge is unfair.
Patrick’s reforms limit rate increases for providers to be no more than the consumer price index for medical services, which is set by the U.S. Department of Commerce. Insurer premiums cannot increase more than 150 percent of the medical services CPI.
“On the one hand insurers have more transparency in filing information, especially related to small business premiums,” Kirkpatrick said.
“For hospitals, all of our contracts and rate increases are limited to the medical services CPI. The effect is a lot more for hospitals.”
Patrick’s legislation also requires small group market insurers to offer a network plan that is at least 10 percent below the cost of other plans in their system, and it gives the division of insurance authority to cap increases for administrative expenses.
While neither insurers nor providers seem happy about the changes, the state government reviewing rate increases and having the power to reject them is nothing new.
Utility Control
The system is similar to that used by the state’s Department of Public Utilities when reviewing electricity rate increases. that process, however, is a much larger and more cumbersome legal one.
Each investor-owned utility in the state must file a rate increase request before raising the price to distribute electricity in Massachusetts.
The state’s Department of Public Utilities holds a rate filing case, which can take months or even years. The process includes public hearings, a filing by the state attorney general usually attempting to prevent a rate increase and extensive study by DPU officials.
Then, a decision is rendered. An appeal can be made directly to the state Supreme Court.
The new health insurance regulations are not as stringent as those that use to be in place in the automobile insurance industry. before 2008, the auto insurance industry in Massachusetts operated in a fixed-rate setting environment where the state would dictate one common insurance rate that could be charged by all insurers.
In April 2008, the system switched to managed competition in which auto insurers file rates with the Division of Insurance that are approved or disapproved.
Gerald Fels, president and CEO of Commerce Insurance in Webster, said he was initially skeptical about the government not being sympathetic to insurer rate increase requests. Insurers ask for rate increases for a reason, he said. if the increase is not allowed or if it is reduced, it could impact an insurer’s ability to operate.
But since the review has been in place Fels said it has not been an issue.
In the case of health insurance, Fels said the insurers are just passing through the costs of the service. They take a small portion to run the business, but the majority of the costs are from the providers.
“There’s still an underlying issue of the cost of medical care,” Fels said. “Insurers are just the middle men. They have no control over the costs.”
Joseph G. Murphy, the commissioner of the state Division of Insurance, said the recent changes Patrick outlined for health insurance reform, along with the 2008 auto insurance changes, are an effort to find a “happy medium” between direct rate setting by the state and having no regulation of the rates.
“We’re trying to get both of them to end up in the middle, which is appropriate regulations and rates being filed with supporting documentation,” he said.
Peeters Joins Main Street America as VP Commercial Lines
February 23, 2010
The Main Street America Group announced that Steve Peeters, who most recently was president and chief operating officer of Jacksonville, Fla.-based Zurich Insurance Services, has joined the Main Street America Group as vice president, commercial lines product.
Peeters will be a member of Main Street America’s senior management team and report to Tom Van Berkel, the company’s chairman, president and CEO. he replaces Henry Pippins, the organization’s former head of commercial lines, who has moved into a new role as president of Main Street America’s Midwest Region.
Peeters will be responsible for all product development, underwriting standards, pricing processes and compliance for Main Street America’s portfolio of commercial lines products and coverages. this includes business owners policy, commercial auto, workers’ compensation and umbrella.
Main Street America’s commercial lines business comprises 55 percent of the company’s $815 million in net written premium.
For the past two years, Peeters led Zurich Insurance Services, which is a privately owned program administration and insurance services company linked with Zurich North America Insurance Co. in this role, Peeters was responsible for $950 million of written premium, primarily in the Zurich Small Commercial business line.
Prior to being named president and COO of Zurich Insurance Services in December 2007, Peeters was the company’s executive vice president and chief underwriting officer. his industry experience also includes several executive roles at Zurich North America: senior vice president and chief underwriting officer, Zurich Small Business; president, East Region, Zurich Small Business; and vice president, Small Business Solutions Underwriting. Peeters also had a very successful 15-year tenure at Hartford Financial Services inc.
Innovation Group Congratulates Esurance on Being Named a “Model Insurer” in …
NEWTON, Mass., Feb 09, 2010 (BUSINESS WIRE) –Innovation Group, a global provider of enterprise software and business process outsourcing solutions to the Property & Casualty industry, announced that its client Esurance has been named as a “Model Insurer” by Celent, a financial services technology research and advisory firm. in its new report, Celent Model Insurer 2010: Case Studies of Effective Technology Use in Insurance, Celent recognizes Esurance for its implementation of Innovation Group’s Innovation Claims first Notice of Loss (FNOL), and achieving self-service claims with vendor technology while retaining company-specific branding/look and feel.
“We would like to congratulate Esurance on being recognized as a Model Insurer for their self-service claims operation, success, and impressive results,” said Eric Wadsworth, CEO Americas for Innovation Group. “We are honored that they have received this industry recognition using our Innovation Claims FNOL. we look forward to continuing our work with the Esurance team to help them to bring even greater value to their self-service claims process and their policyholders.”
“The economic challenges and changing demographics have placed a growing focus on innovation and operational effectiveness to achieve sustainable profitability and growth, as well as a seamless best-in-class customer experience. having the right vision, technology, business practices and business partner is more important than ever,” said Craig Weber, senior vice president of Celent’s Insurance practice. “Esurance was selected as a Model Insurer, in part, because their initiative highlights the strategic and operational impact of innovation using modern web-enabled technology and a partner who pushes new ideas, energy and change to meet new customer demands and expectations.”
“At Esurance we continually strive to improve the claims experience for our customers. we understand the stress involved in having to file a claim, and our goal with the self-service claims operation is to make that customer experience as stress-free as possible,” stated Mark Hofmann, Esurance Claims Technology Manager. “Esurance is honored to be recognized amongst many other innovative companies as a ‘Model Insurer’ by Celent,” continued Hofmann.
In the new report, Celent recognizes 27 insurance technology initiatives as “Model Insurer Components.” These best practices in the use of technology span key areas of the product and policyholder life cycle, including product definition, distribution, underwriting, policy administration, service, claims, and infrastructure. the report also reviews IT best practices and measurable business results used in evaluating the Model Insurer Components.
Members of Celent’s Property/Casualty Insurance and Life/Health Insurance research services can download the report by clicking the icon to the left. Non-members should contact info@celent.com for more information.
About Esurance(R)
Esurance, a subsidiary of White Mountains Insurance Group, ltd. /quotes/comstock/13*!wtm/quotes/nls/wtm (WTM 324.10, +6.90, +2.18%) , provides personal auto insurance direct to consumers online and through select agents, including sister company, Answer Financial. Esurance is dedicated to constantly improving the way people shop for, buy, and manage their auto insurance. By combining the best of technology with industry know-how, Esurance is able to offer hassle-free coverage with 24/7 customer service and claims handling at competitive prices.
Through Esurance’s website, www.esurance.com, customers can get instant quotes, view comparison quotes, buy an Esurance policy, and print their insurance cards — all in minutes. Esurance also offers policyholders the ability to make policy changes and file claims instantly online, demonstrating its commitment to improving the entire insurance process from quote to claim.
Answer Financial, also a subsidiary of White Mountains, is one of the largest personal insurance agencies in the country. Answer Financial offers comparison quotes and provides auto and property insurance from more than a dozen top-rated carriers through its website, www.answerfinancial.com, and over the phone.
About Innovation Group
Innovation Group plc (LSE: TIG.L) is the leading provider of enterprise software and Auto and Property network management solutions to the global property and casualty insurance industry. our contact centers, managed repair networks, technology and hosting solutions reduce risk, control costs, and improve both business performance and customer satisfaction. Innovation Group serves more than 800 insurance carriers and risk managers including CNA, Encompass, Esurance Hertz, Main Street America Group, RSA, the Ford Motor Company, Toyota and Zurich. With 2,300 associates in 29 offices around the world, we process more than four million claims per year to achieve a 25% direct claims cost savings for customers. our technology and hosting solutions are deployed worldwide and help our customers streamline business processes to gain greater market agility. www.us.innovation-group.com.
SOURCE: Innovation Group
Innovation Group Susan Douglas Solomark Associates 847-895-2634 susan@solomark.com
Copyright Business Wire 2010
Innovation Group Congratulates Esurance on being Named a “Model Insurer” in …
The Best Models Of SEMA 2009: (w/pics)
PRESS RELEASE
Progressive Insurance Automotive X PRIZE Announces Teams Qualified to Compete for $10 Million & Launch National Student Contest
43 teams have been judged qualified to advance in the $10 million Progressive Insurance Automotive X PRIZE, a competition to create viable and super fuel-efficient vehicles. Registration also opens for a national student contest to reinvent the automotive dashboard, sponsored by a grant from the U.S. Department of Energy.
New York, NY – October 19, 2009 the Progressive Insurance Automotive X PRIZE, a multimillion dollar competition to inspire a new generation of viable, super fuel-efficient vehicles, today announced the 43 teams- representing 18 states, 10 countries and 6 fuel types, that have passed the competition’s Design Judging phase and will move into the most exciting phase of the competition – performance and safety testing – putting them one step closer to their share of the $10 million prize purse.
The announcement was made at Manhattan’s Classic Car Club, and featured Dr. Peter Diamandis, X PRIZE CEO and Chairman; Glenn Renwick, President and CEO of Progressive Insurance; Connie Bezanson, Lead Engineer, Program Planning, U.S. Department of Energy’s Office of Vehicle Technologies; and Dale Fulton, Senior Vice President for Curriculum Development at Discovery Education; along with a number of the qualified teams and their vehicles and the first high school teams to register for the complementary student contest.
Teams that have passed this most recent phase of judging have proven to the competition’s automotive and technical experts that their vehicles will be available in time for formal vehicle challenges next spring, will be production capable, and can plausibly meet or exceed the competition requirements. There are a total of 53 vehicles moving forward in the competition with 28 represented in the Mainstream Class and 25 represented in the Alternative Class.
“The teams and vehicles represented in this group are the most viable in our competition and we believe that together they are positioned to make a huge impact on the automotive marketplace,” noted Dr. Diamandis.
“The work that these teams have done is really amazing-congratulations to them all on getting this far,” said Progressive’s CEO Glenn Renwick. “Over the next year, we’ll see significant advancement of these designs, taking us even closer toward the ultimate goal of making super fuel efficient vehicles a viable choice for consumers.”
The competition features teams from around the world that can design, build and bring to market 100 MPG or energy equivalent (MPGe) vehicles that people want to buy and that meet market needs for price, size, capability, safety and performance. Performance testing will begin in spring 2010 and winners will be announced in September 2010. Exact dates and locations will be announced shortly.
A complete list of qualified teams, along with fuel types, photos of their vehicles and team information is now available at www.progressiveautoxprize.org.
Also at the event today, the Progressive Insurance Automotive X PRIZE formally opened registration for a national high school contest, funded by a U.S. Department of Energy grant. the contest, called DASH+, challenges students to work together using creativity, design, and math and science skills to develop new gauges, instruments and interfaces to create the “Dashboard of the Future” which will support behavior change to help drivers maximize fuel efficiency and reduce environmental impact. each team will experience a unique, hands-on opportunity as they design their dashboard which will be accompanied by a written technical plan and a design video pitch to convince both auto manufacturers and the general public to adopt and embrace their new concepts, experiences and tools to better understand energy use in vehicles.
DASH+ teams must include two to five U.S. students enrolled in 9th through 12th grade, aged 14 or older, in fall 2009 and have an adult mentor. Registration is now available online at www.FuelOurFutureNow.com/contest.
www.FuelOurFutureNow.com is a dynamic, online destination advancing science, technology, engineering, and math (STEM) education goals created by the U.S. Department of Energy, the X PRIZE Foundation, and Discovery Education. Featuring empowering resources that engage students in the science of alternative fuels and energy-efficient engineering, www.FuelOurFutureNow.com features targeted curriculum and lesson plans for all grade levels, as well as high-quality video, dynamic interactives, and additional resources teachers can use to achieve their STEM objectives.
ABOUT THE PROGRESSIVE INSURANCE AUTOMOTIVE X PRIZE
The goal of the Progressive Insurance Automotive X PRIZE is to inspire a new generation of viable, super fuel-efficient vehicles that offer more consumer choices. Ten million dollars in prizes will be awarded to the teams that win a stage competition for clean, production-capable vehicles that exceed 100 miles per gallon or energy equivalent (MPGe). the Progressive Insurance Automotive X PRIZE will place a major focus on efficiency, safety, affordability, and the environment. it is about developing real, production-capable cars that consumers will want to buy, not science projects or concept cars. This progress is needed because today’s oil consumption is unsustainable and because automotive emissions significantly contribute to global warming and climate change. for more information about the Progressive Insurance Automotive X PRIZE, please visit www.progressiveautoxprize.org or email progressiveautopress@xprize.org. for related educational resources, please visit www.FuelOurFutureNow.com.
ABOUT PROGRESSIVE:
Progressive, founded in 1937, is one of the country’s largest auto insurance groups and a leading insurer of motorcycles, recreation vehicles, boats, and commercial vehicles. the Company offers competitive rates and innovative products and services that meet drivers’ needs throughout their lifetimes as well as 24/7 online and in-person customer and claims service. One of Progressive’s Core Values is Excellence. To the Company’s nearly 25,000 people, it simply means seeking constant improvement. over time, this has meant introducing revolutionary ideas that make car insurance easier to shop for, buy and use. It’s this same innovative spirit that’s behind the Company’s sponsorship of the Progressive Insurance Automotive X PRIZE. the Progressive Insurance Automotive X PRIZE will inspire innovation that will produce more fuel efficient vehicle choices, helping to make a difference in people’s lives. Progressive’s products and services are available locally through more than 30,000 independent insurance agencies in the U.S., online at http://www.progressive.com, and by phone at 1-800-PROGRESSIVE (1-800-776-4737).
ABOUT THE X PRIZE FOUNDATION
The X PRIZE Foundation is an educational nonprofit prize institute whose mission is to create radical breakthroughs for the benefit of humanity. in 2004, the Foundation captured world headlines when Burt Rutan, backed by Microsoft co-founder Paul Allen, built and flew the world’s first private vehicle to space to win the $10 million Ansari X PRIZE. the Foundation has since launched the $10 million Archon X PRIZE for Genomics, the $30 million Google Lunar X PRIZE, and the $10 million Progressive Insurance Automotive X PRIZE. the Foundation is creating and conducting competitions in four prize groups: Exploration (Space and Oceans), Life Sciences, Energy & Environment, and Education & Global Development. the Foundation is widely recognized as the leader in fostering innovation through competition. for more information, please visit www.xprize.org.
ABOUT THE PROGRESSIVE INSURANCE AUTOMOTIVE X PRIZE EDUCATION PROGRAM:
Through a $3.5 million dollar grant from the U.S. Department of Energy, the Progressive Insurance Automotive X PRIZE has developed a national education program to engage students and the public in learning about advanced vehicle technologies, energy efficiency, climate change, alternative fuels and the science, technology, engineering, and math behind efficient vehicle development. a key component of the education program is www.FuelOurFutureNow.com, an online knowledge center developed in partnership with the U.S. Department of Energy and Discovery Education, offering stimulating science, technology, engineering and math lessons and resources for students, teachers, and families as the unique and engaging Progressive Insurance Automotive X PRIZE competition unfolds.