Insurance

Insurers Likely to Weather California Firestorm

November 18, 2008  ·  Consumer Watchdog

<p> <strong>Industry observers say damage payouts shouldn't pose any difficulty, but the weak global economy could lead to eventual premium increases.</strong><br /> Doug Heller, executive director of Consumer Watchdog, believes insurance companies are understating their investment loses after the subprime meltdown and will eventually try to recover those losses by raising rates. </p>

Taxpayers Get Slammed Twice with Bailout Being Used for Attorney Fees

November 10, 2008  ·  Consumer Watchdog

Doug Heller, executive director of Consumer Watchdog, a California group that's been critical of the bailout arrangement, expressed dismay. "Who'd have thought we might be on the hook for paying the defense costs when we're also paying the prosecution costs? To defend the economy from the havoc that's been created, we're going to defend the havoc creators?"

State Tries To Block ‘Fishing Expedition’ Against Blue Cross

November 8, 2008  ·  Consumer Watchdog

LOS ANGELES, CA -- When the Schwarzenegger administration in July struck a deal with Anthem Blue Cross that required the insurer to resell medical coverage to dropped policyholders and pay a record $10 million in fines, some attorneys  questioned if state regulators had offered the company sweet concessions in exchange. "Obviously they are worried," said Jamie Court, president of Santa Monica-based Consumer Watchdog. "It is unfathomable that an administration that grandstanded in the media about these unlawful cancellations would suddenly reverse course and become the biggest advocate for a legal position espoused only by Blue Cross."  

ExxonMobil Posts Biggest US Quarterly Profit Ever

October 31, 2008  ·  Consumer Watchdog

Consumer Watchdog on Thursday named Exxon in its campaign for more regulation of energy trading markets. The group has said congressional moves for more market oversight have been blocked by the oil industry's powerful lobbying efforts. "Consumers got credit card debt and empty wallets, while Exxon got double-digit billions," said Judy Dugan, Consumer Watchdog's research director. "Citizens deserve to be mad. They should demand that government get back in the business of protecting them from corporate greed."

Insurers may get a piece of the bailout

October 24, 2008  ·  Consumer Watchdog

<p> Today's <a href="http://online.wsj.com/article/SB122487244838367321.html?mod=testMod#articleTabs%3Darticle" target="_blank" rel="noopener">report in the Wall Street Journal</a> that the Treasury Department may let insurance companies tap into the $700 billion bailout fund is more proof that the state of insurers' investment portfolios drive a lot of their corporate decisions.  </p>

Massachusetts enrollment numbers dropping?

October 24, 2008  ·  Consumer Watchdog

<p> Here's another interesting piece of information about the health insurance mandate out of Massachusetts. New enrollment numbers for the state-subsidized Commenwealth Care health plans show that the number of people enrolled fell from July to September to a level lower than the six months preceeding... </p>

Financial Crisis Could Override Promised Reforms to U.S. Health System

October 13, 2008  ·  Consumer Watchdog

OLDWICK, N.J. -- Any major overhaul of the U.S. health system next year are shaky given the $700 billion federal rescue of Wall Street and the troubled economy. Nationally, there are several health insurers that control the market without any oversight of what they charge for premiums, said Jerry Flanagan with Consumer Watchdog. The industry wants reform, but "on their own terms," he said.

AIG Bailout 2: Did AIG put life insurance policyholders at risk?

October 9, 2008  ·  Consumer Watchdog

<p> The Federal Reserve Bank of New York added another $38 billion to the AIG bailout pot today, bringing the total taxpayer infusion into AIG to nearly $125 Billion.  But today's bailout offers another thing to worry about...At some point, AIG might have to use money reserved for paying claims to, instead, repay hedge funds and, potentially, policyholders might not be able to count on AIG when they make a claim.. </p>

Schwarzenegger Vetoes Profit Limit, Single-Payer Health Insurance Bills

October 7, 2008  ·  Consumer Watchdog

SACRAMENTO, CA -- Among the insurance bills recently vetoed by California Gov. Arnold Schwarzenegger is a measure that would have limited health insurers' profits and administrative expenses by mandating that health insurers spend at least 85% of their premium costs on medical care.

Stem Cell Agency May Loan Out $500M

October 6, 2008  ·  Consumer Watchdog

Decisions about the program's size, goals and structure remain to be made. The agency said it is still deciding whether to run the loan program in-house or pick outside delegated underwriters and how much to lend in total. And still unresolved is whether the program is intended as a loss-leading driver of innovation in a commercially risky field or more of a way to help bolster CIRM's budget by generating loan-related income, said John M. Simpson, director of the stem cell project at the advocacy group Consumer Watchdog.<br />

Schwarzenegger Abandons the Sick

October 4, 2008  ·  Consumer Watchdog

<strong>The Governor Failed Patients by Vetoing a Bill that Barred Insurers from Unfairly Canceling Policies.</strong><br /> Schwarzenegger wants us to trust insurers to regulate themselves. We'd love to share his confidence, but the truth is that we don't believe that they will put the care of their patients ahead of their bottom lines -- their record makes that appear unlikely. Instead, we placed our trust in the governor, only to have him let us down.

Governor Vetoes Health Insurance Rescission Bill

October 2, 2008  ·  Consumer Watchdog

Governor Schwarzenegger has repeatedly vowed to crack down on health insurance companies that dump policyholders who get sick. But this week, he vetoed legislation to strengthen state laws against cancellations. KPCC's Julie Small reports the governor is relying on state agencies to enforce the laws.