Insurance Reforms die once again in our special interest owned legislature

Having seen our do nothing legislature in action up close and personal I was not surprised to see this morning’s front page story in the Sun Herald which declared dead every meaningful consumer friendly insurance proposal introduced this legislative session including the basic policyholder protections contained in a policyholder bill of rights. Here on Slabbed we’re not nice in that we name names and point out broken promises unlike a typical newspaper which will rip a pol on page 1 while endorsing his re-election bid on the opinion page. For better or worse it is a reflection of my style from the finance boards where I post with money on the line. With that in mind let’s break down Michael Newsom’s report:

Several bills South Mississippi lawmakers submit annually in response to insurance issues discovered after Hurricane Katrina are poised to die Tuesday without debate in legislative committees.

Each year, Coast lawmakers submit various versions of the “policyholders bill of rights” designed to protect homeowners in the event they file an insurance claim and also measures removing the “anti-concurrent causation” clause, which insurance companies used to deny payment of wind damage claims in cases where they said water also played a role. Court cases and insurance law experts have said the clauses don’t apply to hurricanes because the two weather events cause different kinds of damages.

I don’t know if this is bad editing or bad journalism but once again we see anti concurrent causation slaughtered by a reporter. To understand the ACC all one must understand is the definition of concurrent:

1. operating or occurring at the same time. Continue reading “Insurance Reforms die once again in our special interest owned legislature”