AIIA OPENS BIRMINGHAM HEADQUARTERS

The Alabama Independent Insur-ance Agents association held ribbon-cutting and grand opening ceremonies March 30 to formally dedicate its new building at 141 London Parkway in Birmingham, Ala. The day's activities included a prayer to dedicate the building, a ribbon cutting and the dedication of the Sarah Tharpe Garden and Grounds, followed by a reception.

Reverend Dr. Hughey Reynolds of Highlands United Methodist Church in Birmingham gave the benediction. Guests included current members, retired honorary members, past presidents and past staff members. Former AIIA staff member Sarah Tharpe, for whom the garden, patio area and grounds were named, was present for the ceremonies. Tharpe served the AIIA for 36 years in many capacities.

In a touching speech, Tharpe thanked members for happy memories and for bringing much joy to her career. Looking at the building, she raised her arms in the air and said, "Isn't it just beautiful!"

The new building stands out due to the vast parking it has availabile, expanded facilities and a stately and upscale new office. "When you walk in, it is very impressive," John Primm of Stead & Fuller said.

Funding for the building was donated by AIIA agency and company members, the Young Agents group and parties once connected with the association's 109-year history. As of April 1 the Capital Campaign Drive raised more than $816,000; dedicated members also oversaw the building process.

VESTA INSURANCE GROUP DELAYS FILING

Vesta Insurance Group Inc. of Birmingham, Ala., has announced that the filing of its 2004 Form 10-K will be delayed beyond April 1 to provide additional time to finalize the assessment of the effectiveness of its internal controls pursuant to Section 404 of the Sarbanes-Oxley Act of 2002 and to conclude the resolution of the error it disclosed in November 2004.

Although the company currently anticipates filing its Form 10-K for the year 2004 on or before April 30, there could be further delays if the company is unable to complete its assessment of the effectiveness of internal controls or it is unable to finalize the resolution of the error.

HB 1019 CREATES ASBESTOS, SILICA LAWSUIT CRITERIA

The Florida House Civil Justice Committee has approved the Asbes-tos and Silica Comp-ensation Fairness Act of 2005 (HB 1019), which will create new guidelines for asbestos and silica lawsuits that will help truly sick workers get fair and timely compensation.

HB 1019 enables the courts to focus on cases in which there is evidence to prove that exposure to asbestos or silica was a major factor in causing illness. However it preserves the right of individuals who have been exposed but are not showing symptoms to go to court at a later date.

SUPREME COURT UPHOLDS DOCTORS' DEADLINE TO FILE NO-FAULT AUTO CLAIMS

A State Farm customer and his doctor, who challenged a 30-day deadline for doctors to file claims on a patient's no-fault auto policy, have lost their claim in the Florida Supreme Court. They challenged the deadline, arguing it violated the constitutional rights of health care providers to equal protection, due process and access to the courts.

In 1998, lawmakers added a provision to Florida's no-fault insurance law establishing a 30-day deadline for doctors and health care providers to file claims. Hospitals were exempt. The Tallahassee Democrat reported the Florida Supreme Court's unsigned opinion rejecting those claims and agreeing with the 5th District Court of Appeal that the law was constitutional. The verdict said the statute is not discriminatory, arbitrary or oppressive.

FUNK RECEIVES LIFE SENTENCE FOR TAMPA ADJUSTER'S MURDER

Jason M. Funk, the 27-year-old murderer of Tampa, Fla. insurance adjuster Katrina Anne Froeschle, pleaded guilty in a Hillsborough County courtroom. Funk avoided a possible death sentence and pleaded guilty to murder and several other crimes. A judge sentenced him to life in prison with no possibility of parole.

HOUSE VOTES 151 TO 0, PASSES SB 230 REQUIRING IDENTITY LEAK NOTIFICATION

With a vote of 151 to 0, the Georgia House passed with unanimous support Senate Bill 230, requiring companies to notify consumers if their personal information has been leaked or stolen. Under provisions of SB 230, proposed by Sen. Bill Hamrick, R-Carroll-ton, companies or "information brokers" would have to provide written or electronic notices to people whose identities have been compromised.

SMALL EMPLOYER INSURANCE BILL PASSES

Georgia's Senate Bill 174, allowing small companies to offer employees pared-down health plans, has been approved by the House of Representatives.

The bill, estimated to save 10 to 15 percent on health insurance costs for small businesses and their employees will: Give small businesses a break in paying for their employees' health insurance; make health insurance more affordable for small businesses; and encourage more small businesses to offer health insurance to their employees. It provides a choice between a traditional plan, with full coverage under the existing state mandates; or a plan offering less benefits at a lower cost. Regulations only apply to companies with less than 50 employees; large self-insured employers are exempt.

NAMIC APPLAUDS TORT INITIATIVES

The National Association of Mutual Insurance Companies has commended Georgia lawmakers for enacting major tort initiatives. David Reddick, NAMIC state affairs manager said SB 3 brings much-needed medical malpractice reforms. It caps non-economic damages at $350,000 in individual suits and $1.05 million for multiple defendants. It also eliminates joint and several liability and creates some venue reform.

Other enacted tort-related bills include: HB 416, sets criteria for individuals to follow in filing legal actions seeking asbestos and silica claims; SB 19, describes procedures, conditions and limitations on the certification of class actions; and SB 139, provides limited liability for certain liquefied petroleum gas providers.

Lawmakers also adopted several bills related to drivers' licenses, including HB 501, which recreates the Department of Motor Vehicle Safety as the Department of Driver Services and moves some current DMVS responsibilities to other agencies.

GOV. BARBOUR EXPECTED TO SIGN HB 722

Mississippi House Bill 722, a measure to increase motorists' liability insurance coverage from $5,000 to $25,000 has been sent by the House to Governor Haley Barbour for his signature.

The bill would also increase from $10,000 to $25,000 the coverage needed to pay for injury or death of one person, and would increase from $20,000 to $50,000 for injury or death involving two or more people.

AUTO RATE HEARING SET IN SEPTEMBER

Insurance Commissioner Jim Long has announced plans for a hearing on auto insurance rates set for September.

This announcement came after the North Carolina Rate Bureau, an independent organization that represents all auto insurance companies in the state, filed for an 11.5 percent increase in rates on Feb. 1.

Department officials reviewed the rate filing and determined that the requested increase was not justified. State law requires Commissioner Long to serve as hearing officer during a hearing to decide the matter. Auto rate hearings typically encompass three to four weeks of testimony from both sides. Commissioner Long will decide what rate change, if any, is warranted during the hearing.

SOUTH CAROLINA INSURANCE CO. INSOLVENT

South Carolina Insurance Co., part of the Columbia-based Seibels Bruce group, has been declared insolvent by state insurance regulators and will be liquidated.

The company and its subsidiary, Consolidated American Insurance Co., has been closed by a court-appointed receiver called in to settle all claims and obligations.

According to a Department of Insurance spokesperson, South Carolina Insurance stopped writing and renewing policies about three years ago in 45 states.

No claims exist in South Carolina, but policies could be called in within a handful of other states with environmental coverage and workers' compensation claims.

The insurance department will pay off such claims with whatever money is left. When that runs out, last-resort guaranty funds in states where claims surface will kick in to cover policyholders.

The insurer's 2004 annual statement showed the company carrying a deficit of $2.3 million, compared with a $4.4 million surplus the year before.

EMERGENCY SERVICES ADVISES RESIDENTS TO BUY FLOOD INSURANCE

State flood maps are not entirely accurate according to the West Virginia Office of Emergency Services, therefore it has issued a warning to residents saying that they could live in a hazardous area without even knowing it.

OES told residents living near small streams to consider buying low-cost flood insurance.

The Mountain State has 32,278 miles of streams, but even maps that show small waterways don't accurately show where the flood plains are located.

According to OES, this results in a lot of flood damage in areas where people thought they were safe. The office advised residents to purchase flood insurance from local insurance agents and referred anyone in need of information to log onto www.floodsmart.gov.