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Ending the redlining lie

Article Abstract:

Property and real estate insurers need to address charges that the industries are using redlining criteria to determine where they will offer underwriting services. These insurers need to realize that the public perception is that redlining is based on racism and not on financial criteria. If insurers do not stem the negative publicity associated with redlining, then these companies may find that new legislation will increasingly control their businesses and their markets. To change public opinion, insurers need to establish insurance centers to educate the public about insurance issues.

Analysis, Mortgage discrimination

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Customizing coverage

Article Abstract:

Catastrophe insurers can cope with the huge coverage shortfalls that currently exist in this line by purchasing customized reinsurance, a vehicle that allows them to pay for losses over several years without disrupting cash flow. This kind of arrangement has the added benefit that it is not subject to the kind of price volatility that characterizes yearly contracts. Customized coverage policies must conform to transfer-of-risk accounting rules. Otherwise, they will merely be considered deposits.

Purchasing, Reinsurance

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Sounding the alarm for fire detection

Article Abstract:

The goals of fire protection are to protect people, property and the uninterrupted flow of business. Smoke detectors are more important than sprinklers because they detect fire, rather than contain it. Early-warning detectors have been improved and microprocessor-controlled detectors are being developed. The insurance industry should encourage and reward the installation of fire protection equipment.

Risk assessment, Innovations, Equipment and supplies, Fire detectors, Smoke detectors, Fire prevention

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