Category Insurance Industry

FCIC Threatens Goldman Sachs with Audit Over Derivatives Data

Goldman Sachs FCIC Audit Derivitives While Goldman Sachs (GS) has settled Securities and Exchange Commission civil fraud charges over its Abacus synthetic collateralized debt obligation transaction with a $550 million fine, its dispute with the Financial Crisis Inquiry Commission is ongoing. The FCIC now says it’s considering sending in outside accountants to audit Goldman’s systems for data on its derivatives business, the reports.

The FCIC will not back down from demands for information that Goldman’s executives have maintained the company doesn’t track, FCIC Chairman Phil Angelides told the . He promised the commission would press Goldman hard.

The information the FCIC is seeking relates to Goldman’s derivatives trading revenue, but Goldman executives claim such data would be meaningless because it would only show one si...

Read More

House Votes to End ‘Car Czar,’ ‘Pay Czar’ Posts

House Votes to End If the Republican majority in the House of Representatives gets its way, the Obama administration’s “car czar” and eight other presidential advisers will soon find they are out of jobs.

Conservative lawmakers voted Thursday to eliminate the positions in an amendment to a bill that would keep the federal government running through March 30, reported.

The 249-149 vote was along mostly party lines. The advisory positions were labeled “a shadow government” by Rep. Steve Scalise (R-La.).

adsonar_placementId=1505951;adsonar_pid=1990767;adsonar_ps=-1;adsonar_zw=242;adsonar_zh=252;adsonar_jv=’ads.tw.adsonar.com’;
The czars essentially hold Cabinet-level positions that aren’t held to the same scrutiny and accountability that’s required by law for Cabinet posts, Scalise said...

Read More

3 Costly Mistakes You Are Making on Life Insurance

BF1FGX A father crouching with his baby daughter on a rural path. life insurance A; father; crouching; his; baby; daughter; on;

Alamy

Thinking about your life insurance is not much fun, and far too many people ignore this necessary task. Too few people have adequate life insurance coverage. And the ones who do aren’t getting the best coverage at the best premiums, either. Let’s consider three common mistakes.

1. Blindly Auto-Renewing Your Policy

My life insurance is bundled with my homeowners and car insurance for the best deal in premiums. So my insurance policies renew every six months, and the personal property insurance recalculates the premium every six months as well. The price I pay fluctuates a little bit every time.

But is this the best price for life insurance? Of course I’m a little bit older, but I’ve also worked hard to lose weight. I’ve been working out with a personal trainer...

Read More

Berkshire Hathaway’s Future Weighs on Investors’ Minds

charles munger warren buffett berkshire hathaway annual meeting
ChinaFotoPress/Getty ImagesBerkshire Hathaway vice chairman Charles Thomas Munger, left, and CEO Warren E. Buffett attend a conference in Beijing in 2010.

This weekend, somewhere in the neighborhood of 40,000 capitalists will make what has become their annual pilgrimage to the investing mecca normally known as Omaha, Neb., On Saturday, Berkshire Hathaway (BRK.A) (BRK.B) hosts its annual meeting, and the investing world will listen with rapt attention to the words of wisdom of the company’s leaders: Warren Buffett and Charlie Munger.

The admission ticket to be a part of this event that has become known as “Woodstock for Capitalists” is available for free to anyone who owns at least one share of stock in Berkshire Hathaway...

Read More

Walgreen Offers Flu Shot Gift Cards in Expanded Immunization Program

Walgreen Co. is offering gift cards for flu shots.It may be the perfect gift for the person who has everything: a Walgreen (WAG) gift card good for one flu shot.

As part of a nationwide rollout, Walgreens will offer the gift cards as well as round-the-clock, no-appointment-necessary flu shots at each of its 7,500 locations, including Take Care Clinics and Duane Reed stores. The expanded program includes direct medical billing agreements with UnitedHealthcare (UNH), CIGNA (CI) and some regional providers.

Traditional Shots and Nasal Spray

The price for traditional flu shots is set at $29.99, and most Walgreens stores will also offer the FluMist Intranasal Spray for $34.99...

Read More

Legal Briefing: AIG to Pay $725 Million Fraud Settlement, Eventually

AIG Agrees to Settle Shareholder Suit for $725 Million, Sort Of

Ohio Attorney General Richard Cordray and three Ohio pension funds led a class-action lawsuit on behalf of AIG (AIG) shareholders that predated the financial meltdown — a suit that has now been settled. The lawsuit, first filed in 2004, alleged that between 1999 and 2005, AIG engaged in “anti-competitive market division, accounting violations and stock price manipulation.” Cordray noted that this settlement follows others with AIG’s ex-CEO Hank Greenberg, PriceWaterhouse Coopers, and General Reinsurance Corporation, bringing the total recovered to over $1 billion. Recovered eventually, that is.

As notes, the $725 million settlement involves an upfront payment of $175 million, with a promise to pay $550 million after funds ar...

Read More

Renters Beware: You Need to Buy Insurance Too

Renting without insurance can be an issueSometimes, mistaking a myth for a fact can be extremely costly.

Take, for example, the myth that the only people who need to insure themselves against fires, floods or other disasters are homeowners.

Everyone realizes that a property owner needs an insurance policy, but many renters overlook the fact that they, too, need coverage.

“Some think that because the landlord has an umbrella policy, they don’t need additional coverage,” explains Susan Voss, president of the National Association of Insurance Commissioners, the organization of insurance regulators. “Then there are college students who believe their parents’ homeowners insurance covers their apartment.”

“People somehow don’t think about renters insurance because their home is not a house that they own,” she says...

Read More

Stocks Jump After Storm Damage Is Less Than Feared

%image_alt%So much for Irene. Stock indexes rose sharply Monday after it became clear that the tropical storm caused far less damage than many had feared.

Stocks rose broadly, led by insurers. The Dow Jones industrial average gained more than 230 points in afternoon trading.

Consulting firm Kinetic Analysis Corp. predicted that the claims paid by insurers would be about $2 billion to $3 billion, far less than the $6 billion the industry paid out after Hurricane Isabel struck the region in 2003.

The lower damage estimates pushed insurance stocks higher. Allstate Corp. rose 7.4 percent, Hartford Financial Services Group Inc. rose 12.4 percent, while Travelers Cos. Inc. rose 4.3 percent. Insurance and banking stocks in the Standard & Poor’s 500 rose 3...

Read More

Legal Briefing: Prudential Pockets Interest on Dead Soldiers’ Policies

Prudential Profits from Dead Soldiers’ Life Insurance

When a soldier dies, Prudential’s (PRU) life insurance policies promise to give the family either a lump-sum payment or 36 equal monthly installments. So is it a lump sum payment if Prudential gives the grieving family a check book and says draw on it as often and as much as you like up to the amount of the policy? Sounds good — the family has access to the whole amount. Sounds even better if you think all the money is sitting in an interest-bearing account for the family...

Read More

Anthem Warns Consumers of Email Scam After Data Breach

Anthem Inc. Hacked in

Andrew Harrer/Bloomberg via Getty Images

Health insurer Anthem (ANTM) warned U.S. customers Friday about an email scam targeting former and current members whose personal information was suspected to have been breached in a massive cyberattack.

The No. 2 U.S. health insurer said Wednesday that hackers breached its computer system containing data on up to 80 million people.

Anthem said there was no indication the email scam was connected to those who perpetrated the security breach. It wants customers to know it is not calling members regarding the breach and not asking for credit card information or social security numbers over the phone.

The company said it will contact current and former members via mail delivered by the U.S. Postal Service about the attack.

Anthem confirmed media repo...

Read More