Todd DeStefano

*** Texas Sues GM for Allegedly Collecting Drivers’ Data, Then Selling it to Insurers *** Excerpts from the Insurance Journal article: @general motors ⭐️has been sued by the state of Texas, ⭐️which accused the automaker of installing technology ⭐️on more than 14 million vehicles ⭐️to collect data about drivers, ⭐️which it then sold to insurers and other companies ⭐️without drivers’ consent. Paxton said GM’s data were used to compile “Driving Scores” assessing whether more than 1.8 million Texas drivers had “bad” habits such as ❌speeding, ❌braking too fast, ❌steering too sharply into turns, ❌not using seatbelts and ❌driving late at night. Insurers could then use the data when deciding whether ⭐️to raise premiums, ⭐️cancel policies or ⭐️deny coverage, Paxton said. Paxton said GM’s practice was for dealers to ⭐️subject unwitting consumers ⭐️who had just completed the stressful buying and leasing process ⭐️into believing that enrolling in its OnStar diagnostic products, which collected the data, was mandatory. Paxton said in a statement. “Our investigation revealed that General Motors has engaged in egregious business practices that violated Texans’ privacy and broke the law. We will hold them accountable.” “ #motor #insurance #insurancenews #data #privacy https://lnkd.in/g4SXiqcT

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NEW BMS Group Severe Weather Update 05/29/2024 Less than two months ago, on April 24th, the BMS Severe Weather update issued a stark warning to the insurance industry: prepare for another brutal, severe weather season in the U.S. This BMS insight is a timely update on whether this severe weather pattern will persist into June. Since the April 24th update, insurance losses have skyrocketed, surpassing $10 billion, and are projected to be nearly $20 billion by the end of May. These staggering figures are a result of several significant events, including severe thunderstorms in Dallas and a derecho in Houston, which left over 2.07 million customers in Texas without power. Estimating insurance losses from severe weather is a multifaceted task, with numerous variables at play. Recent high-profile events have demonstrated the wide-ranging effects of severe weather, from the destruction of a Dollar Tree distribution center in Oklahoma to damage sustained by wind turbines in Iowa. These losses in the commercial and renewable energy sectors underscore the challenges insurers face in adjusting claims and the potential for inflation to drive up repair costs across the industry. Insurers are responding with changes, such as higher deductibles and roof-only exclusions, but the full impact of these measures on reported losses may not be understood for years. Despite these efforts, this year's severe weather losses are already 128% above the 10-year average, with 27 loss events reported by the end of May, which surpasses last year's total of 23 events. The BMS Insight provides a comprehensive view of the persistent severe weather, as evidenced by various metrics, such as the high number of tornado warnings and severe weather days recorded by the Storm Prediction Center. With over 1,919 tornado warnings issued and 3,142 large hail events reported, 2024 is shaping up to be one of the most active years for severe weather since 2011. We also highlight some of the valuable lessons that can be gleaned from this recent severe weather. The insurance industry is closely monitoring these insights and using advanced tools and research to better understand and mitigate the risks. One notable example of this, is the work of the Insurance Institute for Business and Home Safety (Insurance Institute for Business & Home Safety - IBHS) who are focused on improving hail and wind damage mitigation. BMS is a proud member of the IBHS, demonstrating the industry's commitment to proactive risk management. While a potential shift in weather patterns by mid-June might reduce tornado activity, it raises concerns about increased wildfire risks due to drying conditions in the western U.S. as fine fuels become more susceptible to ignition. #Insurance #Reinsurance #RiskManagemnt #SevereStorm #Tornado Click The Link Below for Amazing Content 🔽 https://lnkd.in/gpwqv5Gd 

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Social inflation in the US, driven by litigation costs from mega-jury awards, hit a 20-year high last year at 7%. Social inflation now exceeds economic inflation as the main casualty-claims driver, leading to underwriting losses, higher premiums, and reduced insurance capacity. US casualty claims total was $143 Billion in 2023. The insured losses from natural catastrophes were only $108 Billion. Full article linked in the comments below. #claims #casualty #socialinflation 

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**Nice to hear the Insurance Journal say it:** Social Media Investigations Are a Winning Strategy for Insurers https://hubs.li/Q02PjHvl0 #socialmediainvestigations #subrosa #claimsdefense #riskmanagers #workerscomp #wcdefense #insurancedefense #liabilitydefense #Fraudsniffr

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