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General Insurance Agents in Ontario are
reminded that they must have all CE hours in place by
September 30 in order to renew their
license.
As well, General Insurance Agents
in Alberta are reminded that they must
have all of their CE hours in place by October
31 in order to renew their license.
Call 1-800-404-2211 if you need hours. |
September
Hours at ILS |
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closed on Monday, September 3 for Labour Day. We will
be open again for business as usual on Tuesday, September
4.
Though our office will be closed,
you can still take any of our courses online on this
day.
Have a safe and happy long-weekend!
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Industry Briefs |
Saskatchewan
and Manitoba together for new vehicle registration agreement
Commercial vehicle owners in several communities on
both sides of the Saskatchewan-Manitoba border will
benefit from a new vehicle registration agreement for
commercial vehicles.
The new reciprocal agreement, effective as of August
1, allows commercial trucks, buses and taxis to operate
within 16 km of the Saskatchewan-Manitoba border without
having to pay for two vehicle registrations or a single
trip permit.
"We are very pleased to partner with our eastern
neighbours on this initiative as it provides customers
on both sides of the border with a faster, more efficient
way to do business," said Harry Van Mulligen, the
Minister Responsible for Saskatchewan Government Insurance
(SGI).
"This plan makes sense for border communities
and business vehicle owners who will have less paperwork
and reduced fees," Manitoba Infrastructure and
Transportation Minister Ron Lemieux said. "We are
streamlining this service for commercial vehicles in
Manitoba communities such as Flin Flon, Roblin and Russell
so they can operate in a designated zone without paying
two vehicle registration fees."
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European insurers head into renewable energy
sector
With the energy industry working on developing, perfecting
and ultimately offering alternative energy sources to
the world, the insurance industry has stepped in to
provide coverage for the many associated risks.
Lloyd's insurer Ascot Underwriting recently established
a new renewable energy operation, Renewco Underwriting.
The Ace European Group launched Ace Renewable Energy,
which provides comprehensive cover across a broad scope
of energy risks.
Ascot says that Renewco will be the first Lloyd's-based
underwriting operation designed specifically for the
renewable energy sector. The company will offer onshore
and offshore coverage for power generation facilities
in the solar, wave, tidal, wind, biomass, geothermal
and small hydroelectric fields.
Ascot Chief Executive Martin Reith said Renewco Underwriting
had been created to address "the unique challenges"
facing the renewable energy industry.
"Leveraging our experience across many related
classes of business, we can apply our expertise to supporting
fledgling renewable energy initiatives as well as those
already well-established and growing in importance,"
Reith said.
Ace Europe, whose Ace Global Markets division writes
business through Lloyd's syndicate 2488, said its own
Ace Renewable Energy would provide specialist underwriting
and risk management advice across the range of potential
exposures including perils associated with contractors,
suppliers, fire, transportation and operation.
Cover includes construction risks, third party liability,
industrial risks and contractors and premises pollution.
--
US Property/Casualty insurers estimated to pay
over $2 billion in second-quarter catastrophe claims
ISO, supplier of statistical, actuarial, underwriting
claims information for insurance company professionals,
agents and brokers, have estimated that American property/casual
insurers will have to pay homeowners and businesses
$2.175 billion for second-quarter property losses resulting
from six catastrophes in 25 states. This ties the record
for the second-lowest number of catastrophes in a second
quarter within the last 10 years.
ISO’s Property Claim Service (PCS) unit estimates
that the six catastrophes in the second quarter of this
year generated 504,000 claims. Year-to-date, the estimated
number of claims is 709,000.
Here is a summary of second-quarter losses and frequency
since 1998, from ISO:
| Year |
Insured Loss ($) |
Frequency |
| 1998 |
4.52 bil |
16 |
| 1999 |
2.50 bil |
13 |
| 2000 |
1.46 bil |
10 |
| 2001 |
6.24 bil |
9 |
| 2002 |
2.79 bil |
10 |
| 2003 |
5.05 bil |
4 |
| 2004 |
2.33 bil |
6 |
| 2005 |
930 mil |
4 |
| 2006 |
5.04 bil |
13 |
| 2007 |
2.18 bil |
6 |
--
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A Brief Message from ILS
Last chance to purchase discounted CAIB Exam Preparation
Video Courses: August 15! Now November
15!
Due to popular demand, ilscorp.com is happy to announce
that the deadline to purchase discounted CAIB Exam Preparation
courses has been extended!
From now until November 15 you can sign
up for any of the CAIB 1 through 4 video courses for just
$500.
The ilscorp.com CAIB Exam Preparation series is an ideal
way for students to get ready for the CAIB exams without the
hassle of traveling to and from in-class seminars. Each video
course is led by Todd Hochban, a long-time insurance educator,
and combines innovative instructional video with easy-to-follow
text.
Learn on your own schedule, at your own pace - all you need
is an Internet connection!
Work towards your CAIB distinction with help from ilscorp.com.
Take advantage of this great savings while it lasts.
Interested in a group membership or more information? Call
us today: 1-800-404-2211
Quick Facts: The Second Annual ILS Caribbean CE Cruise
Many people throughout the insurance industry have been talking
about ilscorp.com’s upcoming CE cruise. Taking place
from January 27 to February 3, 2008, passengers from across
the country will join ilscorp.com on a luxury cruise ship
destined for the Eastern Caribbean. The highlights will be
plentiful and varied: a mid-winter vacation to the sunny Caribbean,
a chance to meet with other industry professionals, the opportunity
to earn up to 12 CE credits while on board the ship and even
the possibility of writing off the cost of the trip for tax
purposes! (Be sure to speak to a financial advisor about that.)
Here are some quick facts about the ilscorp.com cruise series:
- The 2007 cruise was completely sold out. There is still
some room left for 2008’s trip, but book soon to avoid
disappointment!
- The 2008 cruise will take passengers from Fort Lauderdale,
Florida to San Juan, Puerto Rico, Tortola, British Virgin
Islands, Casa de Campo, Dominican Republic and Labadee,
Haiti.
- Passengers who attend the seminars on board will receive
a free one-year online ilscorp.com subscription to either
General Insurance or Life and A&S courses.
- A passenger can earn up to 12 CE credits towards their
mandatory licensing requirements while on board
Seminars happen on sea days. No one has to miss exciting
day excursions to the ports-of-call.
- New: Price
Drop: Now save up to $685 per cabin! Hurry, this
won’t last long!
Case Study
 An
owner of strata property could be found to be responsible
for property damage under a strata policy despite the fact
that the owner did not cause the damage.
By Michael
Thomas, Harper Grey LLP
An owner of a strata property was found to be responsible
for property damage caused by a burst water pipe. The pipe
burst due to a build up of acid in the local water supply.
There was no negligence of the owner. The owner claimed for
the damage under his homeowner's insurance policy. Wawanesa
paid the claim and then brought an action against the strata
for payment of part of the damage. The application was dismissed
on the basis that the damage was the responsibility of the
owner because it occurred on his property.
Here is the case citation: Strata Plan KA 1019 v. Keiran
[2007]B.C.J. No. 1148. British Columbia Supreme Court.
Burnyeat J. May 30, 2007. Here is a link to the decision.
This case was originally digested by Shanti
Davies and edited by David
Pilley.
The Claimant Strata Corporation brought an action against
the owners of an individual strata unit (the "Owners")
for damage caused by a burst water pipe. The failure was due
to high acid levels in the local water and not to any negligent
act or omission by the Owners.
The cost of the repairs was approximately $3,700, which
was less than the $10,000 deductible in the insurance policy
held by the Strata Corporation. The Strata Corporation accordingly
looked to the Owners for the cost of repairs. The owners had
a household insurance policy with the Insurer, which provided
a limit of $2,500 in respect of liability of a strata owner
for an assessment in respect of any insurance deductible of
the Strata Corporation. This amount was paid by the Insurer
to the Strata Corporation in partial settlement of the claim.
The Strata Corporation then sought to recover the balance
of the claim ($1,287.80 plus costs) from the Owners.
The same household policy held by the Owners provided that,
upon payment of a $500 deductible by the Insureds (i.e. the
Owners), the Insurer would pay for the remaining property
damage for which the Insureds were found to be "responsible".
The trial judge considered whether it could be said that the
Owners were "responsible for the loss or damage"
and answered this question positively. In particular, her
honour held that because the Owners had a duty to repair and
maintain the premises, they were "responsible" for
the loss.
She therefore ordered the Insurer to pay the Strata Corporation
$787.80 on behalf of the Owners, after taking into account
the $500 deductible. The Supreme Court judge upheld this decision,
finding that "being responsible for the loss or damage"
was not the same as being negligent.
Michael Thomas has a diverse practice. It primarily consists
of representing insurance companies in personal injury, property
loss, coverage, subrogation and bad faith claims; representing
physicians in professional negligence and human rights claims;
representing plaintiffs in personal injury and corporate commercial
claims; and representing institution clients in claims involving
sexual abuse/misconduct of employees. To read Michael’s
insurance blog, click here.
If you have any questions about this case or another, you
can contact Michael directly at mthomas@harpergrey.com.
Your August promotional code to win $200 cash!
Watch this month's On Track video to get your promo code
for August! This is your last chance to enter to win $200.
The winner of this draw will be announced in September's On
Track. Check back next month to see if you are the lucky winner!
To enter: Take the promo code and visit
www.ilscorp.com/cruise.
Enter it and answer a few quick questions and you will be
entered to win $200 cash.
Good luck!
Click here
for terms and conditions.
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Can you believe this?
Who would have thought that a minister and community activist
would be hiding out from the law, wanted on insurance fraud
and identity theft charges?
This Erie minister is accused of swindling more than $9,500
from an insurance company for a Dodge Durango he claimed was
stolen in Detroit. It turns out that the SUV was never stolen,
but wrecked by him the year prior and hidden in a local driveway.
The defendant is also accused of trying to get his insurance
company to reimburse him for medical bills that he never paid
for. Under the alias, James Flud, he made a claim with Geico
and doctored a receipt for health care service to try to get
his hands on a few thousand dollars. That's where the identity
theft charge comes in. Police have determined that he received
public utilities under the name James Flud and obtained a
credit card under that name too. He owes more than $10,000
to those parties. In the meantime, the real James Flud has
been tracked down in New York City .
If you're thinking that this can't get any worse, think
again. The church that he claimed he was a minister at said
he was never a minister there…
Both the defendant and his wife, who also received criminal
charges, had made arrangements to turn themselves in on October
2, 2006. The wife did, but he performed a vanishing act. Although
he's still on the loose, the defendant has called several
local news outlets and alleged a United States Secret Service
cover up. He at one point told reporters that he would turn
himself in on State Street in Erie and told one reporter that
he was going to "blow himself up." Of course, he
never did…
Being no stranger to the spotlight, the defendant also made
headlines when he spent several days living in a plywood shanty
to raise money for the homeless, when he walked from Erie
to Washington D.C. to protest high gasoline prices and during
a stint as an Erie mayoral candidate.
Also, a website he was formerly associated with aired video
statements of him since he went on the run, in which he admits
to using the alias James Flud. The defendant claims that the
Secret Service officially gave him the identity to use because
he was an informant.
Sentences are pending.
(Erie Bureau of Police)
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