Impact of Spitzer Broker Fraud Charges Felt at Marsh and Beyond
National News • October 18, 2004
New York Attorney General Eliot Spitzer's filing last Thursday of charges against giant insurance broker Marsh for alleged commercial account steering and bid rigging has already had significant ...
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Subject: Spitzer can sue America!
Posted On: October 20, 2004, 10:02 am CDT
Posted By: Ted
Comment:
I believe Lori has very appropriately explained the situation for most insurance agents.
First, I can't believe these big houses can't control themselves and they just get to greedy! The typcial problem is a few destroy the image for many. Look at what happened in Chicago to Near North.
However, here are some down and close questions for Spitzer to answer? The thing that really frustrates me about it is every sales position and product sold in America has incentives tied to it. It is part of doing business. Do you think Wal-Mart passes all of their bulk buying discounts on to their clients or do you think they keep the spread and charge what is acceptable in the market? If they don't, why can you buy the same things for cheaper at Sam's Club? Do you think the larger contractors who get bigger discounts at the lumber yard pass on their discounts or do they just make more? Even attorney's have incentive to get larger rewards because they make more. Do they tell the client that is why they are asking for so much? Better yet, every attorney fee that gets paid eventually comes back out of the consumers pocket in some way! Do you think Mr. Spitzer could have done the same work for less money on his recent settlements? His financial impact is probably bigger than every case of bid fixing out there. (Ask a physician about his Medical Malpractice Policy rate if you don't think an attorney has any impact!) The other frustrating thing is what other industries have to disclose how much they are making when a sale is made? Automobile? Gas Stations? Banks? All Retail Stores? Based on his postion, Spitzer could sue every business in America. Hopefully, those companies that are guilty of bid fixing will pay the penalties and the rest of the industry will go on! Ethics are a huge factor in every business decision and they should not be overlooked for insurance agents or any industry. Competition is very strong in the insurance industry and these types of practices will not and can not survive, nor do they survive in most industries.
Subject: Spitzer can sue America!
First, I can't believe these big houses can't control themselves and they just get to greedy! The typcial problem is a few destroy the image for many. Look at what happened in Chicago to Near North.
However, here are some down and close questions for Spitzer to answer? The thing that really frustrates me about it is every sales position and product sold in America has incentives tied to it. It is part of doing business. Do you think Wal-Mart passes all of their bulk buying discounts on to their clients or do you think they keep the spread and charge what is acceptable in the market? If they don't, why can you buy the same things for cheaper at Sam's Club? Do you think the larger contractors who get bigger discounts at the lumber yard pass on their discounts or do they just make more? Even attorney's have incentive to get larger rewards because they make more. Do they tell the client that is why they are asking for so much? Better yet, every attorney fee that gets paid eventually comes back out of the consumers pocket in some way! Do you think Mr. Spitzer could have done the same work for less money on his recent settlements? His financial impact is probably bigger than every case of bid fixing out there. (Ask a physician about his Medical Malpractice Policy rate if you don't think an attorney has any impact!) The other frustrating thing is what other industries have to disclose how much they are making when a sale is made? Automobile? Gas Stations? Banks? All Retail Stores? Based on his postion, Spitzer could sue every business in America. Hopefully, those companies that are guilty of bid fixing will pay the penalties and the rest of the industry will go on! Ethics are a huge factor in every business decision and they should not be overlooked for insurance agents or any industry. Competition is very strong in the insurance industry and these types of practices will not and can not survive, nor do they survive in most industries.