Market Watch has reported that falling prices for commercial insurance and other coverage is beginning to affect insurance broker’s revenue growth.   Property and casualty insurance prices rise and fall in cycles.  When insurance companies are profiting from business, they compete more aggressively to win new business, driving prices down and cutting future profits.  …

     We previously reported on Hawaii’s settlement with Travelers in a suit filed in Florida.  Pacific Business News and the Honolulu Advertiser report that Hawaii and eight other states and the District of Columbia have settled its claims in the same suit against American International Group Inc.  AIG will pay Hawaii $12.5 million.

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     The Hawaii Appellate Courts have never decided whether the insurer may seek reimbursement of defense or settlement costs if it is determined there is no duty to defend under the policy.  Federal District Court Judge Helen Gillmor, however, believes that Hawaii case law permits an insurer to obtain reimbursement of defense costs in …

     The New York Times reports that a special Florida State Senate committee is conducting hearings this week to investigate the soaring cost of hurricane insurance.  After the 2004 and 2005 hurricane seasons, insurance companies complained about huge cost increases because of rising prices of reinsurance, the coverage they purchase for catastrophic events.  Last

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     The Hawaii Insurance Code provides that a cancellation notice sent by the insurer shall not be deemed valid unless evidence of mailing is provided.  Haw. Rev. Stat. §431:10-226.5.  What if the insurer sends the notice by certified mail, but the notice is returned as undelivered?  Although never addressed by the Hawaii Supreme Court, …

     Subject to the dangers of hurricanes, Hawaii has an interest in the vitality of the National Flood Insurance Program (NFIP) that is set to expire on September 30, 2008, unless renewed by Congress.

     The program was created in1968 because the private sector does not adequately provide flood insurance. Under the program, …

     Reuters reports that a battle is forming in the Senate regarding legislation to reform federal flood insurance.  Congress established the flood program in 1968 to provide flood insurance that private companies refused to offer.

     The Senate Banking Committee voted unanimously in October to reform the program, but refused to follow the …

     In Sentinel Insurance Company, Ltd. v. First Ins. Co. of Hawaii, Ltd., 76 Haw. 277, 875 P.2d 894 (Haw. 1994), the Hawaii Supreme Court addressed equitable apportionment of liability among two insurers who provided coverage at various times over a number of years during which property damage occurred.  In Sentinel, the …

     Reuters reports that Florida insurance regulators have suspended Allstate from writing auto policies because of its failure to cooperate with an investigation regarding the company’s property insurance policies.  Allstate was scheduled to testify for two days before regulators regarding a proposed rate increase of 41% for property insurance.  The hearing was cancelled after …