Consumer Watchdog

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Consumer Watchdog

Insurance

Insurance news, investigations, and reform — auto, home, and health insurance rates, claims denials, and industry accountability.
Blue Cross Moves To Quell Furor

Blue Cross Moves To Quell Furor

<h3>The health insurer, accused of dumping sick policyholders, says it will alter procedures.</h3> <p> Jerry Flanagan, a patient advocate with the Foundation for Taxpayer and Consumer Rights, said the announced changes looked like an attempt by Blue Cross to avoid regulatory or legislative intervention and patch up its reputation. "Blue Cross is in a world of hurt, and they are attempting to wiggle their way out of hot water by putting in some weak rules they can live with. They are making concessions in an attempt to wiggle out of more comprehensive reform." </p>
Take a stand on health care

Take a stand on health care

<p class="source">Visalia Times-Delta (California)</p> <p>Gov. Schwarzenegger says he favors health insurance for the people of California, but one has to wonder what he has in mind. This is to be expected: He chooses his affiliations and draws his political lines clearly. According to the Foundation for Taxpayers and Consumer Rights (FTCR), the "health industry boosted [him] to nearly $100 million in campaign donations, with a $125,000 burst of contributions in August alone. The industry has given him $4 million overall."</p>
Home, auto insurance rates to decline;

Home, auto insurance rates to decline;

<h3>Safeco Corp., 21st Century Co. announce plan to slash premiums; other firms expected to follow</h3><p class="source">Contra Costa Times (California)</p> <p>Harvey Rosenfield with FTCR believes skyrocketing gasoline prices have prompted motorists to drive less, which should have reduced the number of accidents and claims that auto insurers have had to pay out. Plus, he suggested that homeowners' insurance carriers pay in claims about 30 cents for every $1 in premiums they harvest.</p>
Stop Saying ‘Single Payer’

Stop Saying ‘Single Payer’

<p class="source">TomPaine.com</p> <p>Why not help voters understand that under the California Health Plan the billions of dollars wasted by insurance companies and HMOs on middlemen, CEO pay, corporate profits, overhead and advertising would be redirected to providing care? What if voters knew that such a plan would pay for doctor visits, preventive screening, pregnancy coverage, hospitalization and emergency treatment?</p>
Homeowners to see insurance drop;

Homeowners to see insurance drop;

<h3>State pressures top companies to reduce rates; many residents will get double-digit declines in annual costs</h3><p class="source">Sacramento Bee</p> <p>"This is the opening gambit by the insurance companies. We all knew rate decreases were coming," said Doug Heller, executive director for the Foundation for Taxpayer and Consumer Rights in Santa Monica. "We have to make sure that these rates come down to a price that is fair to consumers."</p>
Reinsurance market goes high-tech to predict disasters;

Reinsurance market goes high-tech to predict disasters;

<h3>Hurricane outlooks are closely watched at such places as the Lloyd's of London insurance market building.</h3><p class="source">Sarasota Herald-Tribune (Florida)</p> <p>Doug Heller, executive director for the Foundation for Taxpayer and Consumer Rights, said the answer is even more strict government regulation over the rates insurance companies can charge. California voters took that step in 1988 when they passed Proposition 103 barring insurance companies from passing on their reinsurance costs to policy holders.</p>
Allstate Seeks Big Boost in Premiums

Allstate Seeks Big Boost in Premiums

<p class="source">The Los Angeles Times</p> <p>Consumer activist Doug Heller called Allstate's request an outrageous ploy in its wrangling with regulators. "In an environment where rates will come down for homeowners, a company that makes these rate hike threats will probably be rebuffed by its customers," he said.</p>
State tries to reduce title fees

State tries to reduce title fees

<p class="source">THE SAN FRANCISCO CHRONICLE</p> <p>"I think it's going to save a lot of people a lot of money," said Doug Heller of the Foundation for Taxpayer and Consumer Rights, who supports the proposal but was not at the meeting. "I think the insurers will fight. They'll file a lawsuit I suspect. Garamendi has a pretty good track record in terms of beating the insurers when they try to avoid reforms."</p>
Juice, Grease and Muscle Can Beat Merit

Juice, Grease and Muscle Can Beat Merit

<p class="source">The Los Angeles Times</p> <p>Jamie Court, president of the Foundation for Taxpayer and Consumer Rights, estimates the two phone companies and their employees contributed more than $1 million to lawmakers and political parties. The "cable bill" measure, which passed the Senate Wednesday night, may have gotten through the Legislature merely on its merits. But it couldn't have sailed through with such overwhelming, bipartisan support without all that nourishing juice.</p>
Checks Roll In as Laws Flow Out;

Checks Roll In as Laws Flow Out;

<h3>As legislators vote on hundreds of bills before their session ends, special interests affected by the measures donate thousands of dollars.</h3><p class="source">The Los Angeles Times</p> <p>"The fundraisers are being held at the moment of maximum leverage, and lobbyists are desperate to make one final good showing," said Doug Heller, of the Foundation for Taxpayer and Consumer Rights. His group is advocating a measure on the November ballot, Proposition 89, to create a system for public financing of political campaigns. </p>
California Assembly passes bill to provide universal health care

California Assembly passes bill to provide universal health care

<p class="source">Associated Press</p> <p>Under the measure, "the billions of dollars now wasted on insurance middlemen, CEO pay, record corporate profits, overhead and advertising will be used to provide good, affordable care for all who need it," said Jerry Flanagan of the Foundation for Taxpayer and Consumer Rights, a consumer advocacy group based in Santa Monica.</p>