P/C Insurers' Underwriting, Investment Results Deteriorate in First Quarter
National News • June 25, 2008
The U.S. property/casualty insurance industry's net income after taxes fell to $8.2 billion in first-quarter 2008 from $16.2 billion in first-quarter 2007.
Contributing to the $8 billion, or 49.3 ...
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Subject: Financial Results for US P/C Underwriters
Posted On: June 27, 2008, 10:27 am CDT
Posted By: LG
Comment:
27 June 2008
First check the bonus to top executives!
Second, how can any underwriter really expect to underwrite RISK from a desk & computer? Field Risk Assessments will never be replaced by a Computer & a few digital photographs. We see to frequently substandard construction & substandard materials being used in many properties today. These losses waiting to happen; are Risks are viewed & considered from a digital photograph, not by the eyes of an experienced Risk inspector. Every underwriter before take a deck should be required to spend considerable time in the field, seeing first hand various risks.
Commercial Fleets are also seldom inspected, with Million Dollars limits exposed; one would think a machine that could destroy $100,000's of thousand in property damage and Million in Personal Injury would mandate an annual inspection and driver review.
To many Insurers have been taken over by; Financial Specialists and they have cut every reasonable Field Underwriting Tool, just reduced administrative expense by .10 cents. Leaving unqualified, inexperienced underwriters [in name only] with a, desk and computer to make Million Dollar decisions.
This same system is in place with Claims, where 90% are handled in house by phone, email and digital photographs. To save money? Most are paying Thousands for Hundred dollars claims and not one stands up to the bloody BI Ad's on TV boasting how much money they have gotten their clients from the nasty old insurance company. These Ad's over the years and diminished the Trust the public has in the Insurance Industry to the point where Used Car Salesmen rank higher.
Subject: Financial Results for US P/C Underwriters
First check the bonus to top executives!
Second, how can any underwriter really expect to underwrite RISK from a desk & computer? Field Risk Assessments will never be replaced by a Computer & a few digital photographs. We see to frequently substandard construction & substandard materials being used in many properties today. These losses waiting to happen; are Risks are viewed & considered from a digital photograph, not by the eyes of an experienced Risk inspector. Every underwriter before take a deck should be required to spend considerable time in the field, seeing first hand various risks.
Commercial Fleets are also seldom inspected, with Million Dollars limits exposed; one would think a machine that could destroy $100,000's of thousand in property damage and Million in Personal Injury would mandate an annual inspection and driver review.
To many Insurers have been taken over by; Financial Specialists and they have cut every reasonable Field Underwriting Tool, just reduced administrative expense by .10 cents. Leaving unqualified, inexperienced underwriters [in name only] with a, desk and computer to make Million Dollar decisions.
This same system is in place with Claims, where 90% are handled in house by phone, email and digital photographs. To save money? Most are paying Thousands for Hundred dollars claims and not one stands up to the bloody BI Ad's on TV boasting how much money they have gotten their clients from the nasty old insurance company. These Ad's over the years and diminished the Trust the public has in the Insurance Industry to the point where Used Car Salesmen rank higher.