Vigilant Transport

Commercial Insurance Rates Continue to Climb in December 2012

noreply@blogger.com (Michael) — Tue, 08 Jan 2013 22:02:00 +0000

Business Insurance
Mark Hofmann
January 8, 2013

Commercial property/casualty insurance rates continued to climb in December, increasing an average 5% over those of the same month a year earlier, Dallas-based electronic insurance exchange MarketScout reported Monday.

Rates for commercial automobile increased the most at 6%, followed by commercial property and general liability at 5% each. Surety rates increased the least at 1%.

The manufacturing, service and transportation industries sustained the largest increases at 6%, while public entity and energy industry accounts reported the smallest increases at 4%.

Best Maintains Negative Outlook

MarketScout Report

16,290 People Died in Vehicular Crashes Through June 2012

noreply@blogger.com (Michael) — Mon, 01 Oct 2012 18:01:00 +0000

...and PAY ATTENTION...

9/28/2102
CNN
By: Jim Barnett

The U.S. government reports a 9% increase in motor vehicle traffic fatalities for the first half of 2012, the largest jump during the first six months of any previous year since data was first collected in 1975.

A statistical projection from January through June estimates 16,290 people died in vehicular crashes this year, according to the National Highway Traffic Safety Administration.

The previous highest increase during the first half of the year was 6.4% in 1979.

In releasing the report, the administration said, "While it is too soon to speculate on the contributing factors or potential implications of any increase on our roadways, it should be noted that the historic downward trend in traffic fatalities in the past several years... means any comparison will be to an unprecedented low baseline figure."

The government pointed out fatalities during the first half of the year have declined by about 27% from the recent high in 2006 (20,500 fatalities) to the first half of 2011 (14,950 fatalities.)

The American Automobile Association called this year's numbers "alarming."

"This news is very disturbing," Lon Anderson, spokesman for AAA Mid-Atlantic, said in a statement. "We have worked decades to reduce fatalities in America... but this is a serious shot across the bow, a warning that as we drive more, our roads may not be as safe as we thought they were." Complete CNN Article

NHTSA Report

MnDOT Launches Pedestrian Safety Campaign

noreply@blogger.com (Michael) — Tue, 25 Sep 2012 19:14:00 +0000

MnDOT Office of Communications
9/25/2012

ST. PAUL, Minn. – The Minnesota Department of Transportation and several partners are launching a new statewide pedestrian safety campaign with crosswalk events in five Minnesota cities Tuesday, Sept. 25, from 3 – 6 p.m.

Crosswalk locations:

Duluth – Lake Avenue/Superior Street
Minneapolis – Hennepin Avenue South/West Lake Street
Minneapolis – Chicago Avenue South/East Lake Street
St. Cloud – Fifth Avenue South/Second Street South (Highway 23)
St. Paul – West Seventh Street/Kellogg Boulevard West
Rochester – Second Street South/Broadway (Highway 63)

Share the Road crossing ambassadors will raise awareness for pedestrian safety by holding a banner that provides safety tips for pedestrians and motorists while crossing in marked crosswalks and following the crosswalk law.

“The number of pedestrian fatalities remains at about 40 per year, even though total fatalities on Minnesota roads have been steadily decreasing” said Sue Groth, MnDOT state traffic engineer. “This is an important area to focus on because pedestrians are more vulnerable than motorists who are protected by the vehicle, seatbelts and air bags during a crash.”

The campaign aims to increase the percentage of motorists and pedestrians who follow the Minnesota crosswalk law and exhibit safe walking and driving behaviors. This includes pedestrians making eye contact with drivers before proceeding into the crosswalk and motorists always being prepared to stop for crossing pedestrians at every corner. Every corner is a crosswalk. These behaviors will help reduce pedestrian-vehicle crashes on Minnesota roadways.

This fall’s launch also includes bus advertising, restaurant/bar bathroom advertising and billboards across the state, as well as radio messages on Minnesota Public Radio and 93X-FM. It is an extension of the existing Share the Road campaign for bicyclists and motorists.

The launch is happening in the fall because October is traditionally the deadliest month for pedestrians.

About Share the Road

The Share the Road pedestrian safety campaign provides materials, information and resources for anyone looking to improve pedestrian safety.

After the launch, the campaign heavily relies on local partners, community groups and schools to spread pedestrian safety messages. All materials, information and campaign resources including crash facts and safety tips are available at www.sharetheroadmn.org.

Department of Public Safety pedestrian crash facts

To date, there have been 23 pedestrian deaths in Minnesota in 2012. There were 16 at this time in 2011.

October is traditionally the deadliest month for pedestrians, followed by November and December.

Annual pedestrian deaths in the last five years: 2011 - 40; 2010 - 36; 2009 - 41;
2008 - 25; 2007 - 33.

Toward Zero Deaths

The Share the Road pedestrian safety campaign supports Minnesota’s Toward Zero Death efforts.

TZD is the state’s cornerstone traffic safety program that is a partnership between the departments of Public Safety, Transportation and Health, the Minnesota Emergency Medical Services Board and other traffic safety partners.

A primary vision of the TZD program is to create a traffic safety culture in Minnesota, in which everyone supports a goal of zero road fatalities by practicing and promoting safe and smart behaviors. TZD focuses on the application of four strategic areas to reduce crashes — education, enforcement, engineering and emergency trauma response.

Additional from Minnesota Public Radio

"The laws are harder to enforce, and it involves both motorist and pedestrian behavior," Groth said. "A lot of this could be solved just with pedestrians and motorists looking for each other, making eye contact and following the laws."

Groth said many motorists don't yield to pedestrians who are in the crosswalk, and many pedestrians either don't pay attention or cross the street against the light or away from the crosswalk.

The numbers bear that out. Because motorists and pedestrians are equally at fault, transportation officials are targeting both groups with the safety campaign.
Fall is a good time to get people's attention, Minnesota State Patrol spokesman Lt. Eric Roeske said.

23 MN Pedestrians Already Killed in 2012...

noreply@blogger.com (Michael) — Mon, 10 Sep 2012 21:35:00 +0000

Last year, 857 Minnesota pedestrians were killed or injured, up by nearly 50 from the year before. In 35 percent of those cases, drivers failed to yield to pedestrians.

Already the deadliest of the last five years --

23 MN pedestrians have been killed so far in 2012

The Pedestrian Death Toll this Time Last Year

This Is Not A Movie

As reported in the Star Tribune by Kelly Smith:

Cléo Thiberge seemed to do everything right.

Before crossing Hamline Avenue in St. Paul, the 19-year-old waited. She watched traffic. And when the walk sign blinked on, she stepped off the curb.

That's when a vehicle rounding the corner struck the exchange student from France. She died on Sept. 2, a day after a couple was struck and killed in Ramsey.

"We owe it to ourselves, because we are all pedestrians, to talk about it and focus on it," said Gordy Pehrson of the Department of Public Safety. "There needs to be more awareness and enforcement."

Across the metro, police are ratcheting up crosswalk crackdowns, cities are installing more neon yellow crossing signs and engineers are shifting street design to consider pedestrians as well as motorists. The state is this month also launching its first pedestrian safety campaign in nearly 15 years
"I don't think people really understand what they're supposed to do" near a crosswalk, said Minnetonka Police Chief Mark Raquet. "... Common sense would tell you if you see someone in the curb, you should stop -- if you're paying attention."
Concerns over inattentive drivers have spurred police metro-wide to step up crosswalk patrols.

Last month, Robbinsdale police cited 80 drivers over two days in a first-ever crosswalk sting. Edina boosted their crosswalk enforcement in July, starting a new annual crosswalk campaign around such popular areas as Southdale Center. In Minneapolis, the city has increased crosswalk times and is experimenting with a new pedestrian-friendly signal pattern in Uptown, giving pedestrians a four-second head start to enter the crosswalk so drivers can see them before turning. Complete Article

From the Minnesota Safety Council

The Minnesota Crosswalk Law: Key Elements

Where traffic control signals are not in place or in operation, a driver must stop for a pedestrian crossing within a marked crosswalk or at an intersection with no marked crosswalk. A vehicle that is stopped at a crosswalk can proceed once the pedestrian has completely crossed the lane in front of the stopped vehicle.
A pedestrian must not enter a crosswalk if a vehicle is approaching. There is no defined distance that a pedestrian must abide by before entering the crosswalk, but common sense should prevail. The law states: "No pedestrian shall suddenly leave a curb or other place of safety and walk or run into the path of a vehicle which is so close that it is impossible for the driver to yield."
When a vehicle is stopped at an intersection to allow pedestrians to cross the roadway, drivers of other vehicles approaching from the rear must not pass the other vehicle.
It's unlawful for the driver of a motor vehicle to proceed through a group of school children crossing a street or highway, or past a member of a school safety patrol or adult crossing guard who is directing children across the roadway and who is holding an official signal in the stop position.
Failure to obey the law is a misdemeanor. A second violation within one year is a gross misdemeanor.

Traffic Fatalities Up 13.5% in First Quarter 2012

noreply@blogger.com (Michael) — Mon, 23 Jul 2012 14:54:00 +0000

Let's Be Careful Out There!

July 23, 2012.

Traffic deaths launched 13.5 percent in the first quarter of 2012 compared to the same period last year, and the number of deaths per miles driven also rose significantly, according to preliminary NHTSA estimates released Friday, July 20, 2012.

An estimated 7,630 people died in motor vehicle crashes in 1st Quarter 2012, up from 6,720 deaths in the first quarter of last year, according to the National Highway Traffic Safety Administration.

Both the total number of fatalities and the fatality rate per 100 million vehicle miles of travel (VMT) during 1st quarter 2012 were the highest Q1 results since 2008. NHTSA Report

Auto Crash at 60 mph is Like Jumping Off a 12 Story Building

noreply@blogger.com (Michael) — Fri, 01 Jun 2012 19:02:00 +0000

Minnesota Department of Public Safety

Increased seat belt patrols are rolling on state roads now, so buckle up — unbelted drivers and passengers, including in the back seat, can be ticketed. And watch this other reason to fasten your seat belt: If you're in a crash at 60 mph, and you're not buckled up, it's like falling from 12 stories high.

Unbelted motorists have represented a significant amount of Minnesota’s traffic fatalities during 2009–2011 — with teens and young adults, and motorist in Greater Minnesota, as the main victims:

There were 878 motorist traffic deaths of which 377 (43 percent) were not buckled up.
Of the 377 unbelted deaths, 179 (48 percent) of the victims were age 30 or younger.
Of the 377 unbelted deaths, 300 (80 percent) occurred outside the seven-county Twin Cities’ area.

LogistiCare Solutions: Investigation Into Transport Safety

noreply@blogger.com (Michael) — Wed, 16 May 2012 21:28:00 +0000

"The company made a decision to

forgo compliance," Williamson said.

ATLANTA, GA (KCTV5) -

Missouri taxpayers spend $30 million annually on a Medicaid program that transports the sick and poor to medical appointments.

KCTV5 has uncovered patient concerns about the safety of the vehicles in which they ride and the drivers who are behind the wheel.

This latest investigation follows two prior ones.

In February, KCTV5 began a series of reports revealing troubles inside the transport program, run by Atlanta-based LogistiCare Solutions, LLC. KCTV5 first exposed patient complaints about the hundreds of late or missed rides that led to medical complications for more than one client. In April, KCTV5 followed up on that report.

The list of complaints filed with the state of Missouri include reports of one transportation provider driving drunk and another reeking of alcohol. The patient accounts to the state include incidents of a driver getting in a wreck while texting along with drivers who speed, run red lights and use unsafe vehicles.

None of those accounts surprised Jackie McGlothen. She and her husband own Mill-Jacks, a LogistiCare-approved transportation provider out of Belton, MO. McGlothen said she's heard similar stories about other transport companies from her own clients.

"I know I've heard some horror stories," McGlothen said. "One lady told me that the driver had to use a screwdriver."

"A screwdriver to start the car?" asked KCTV5 investigative reporter Stacey Cameron.

"No. To get her out," McGlothen replied.

The state's Medicaid office, MO HealthNet, refused to respond to KCTV5's numerous inquiries about the safety complaints. A representative told Cameron it would be "inappropriate" for the state to comment about its contract company, LogistiCare.

No one from the Atlanta-based company would agree to address the issues on camera.

Don't stop now...there's more...

And More...

And when it came to compliance, Missouri

gave LogistiCare a "grace period."

LogistiCare stated that safety inspections are now ongoing.

Commercial Property/Casualty Pricing Toughened in Q1 2012

noreply@blogger.com (Michael) — Fri, 11 May 2012 15:44:00 +0000

The time has come to Manage Risk and

Position One's Business for a

Changing Insurance Environment.

Underwriters re-learned the "No" Word

The Council of Insurance Agents & Brokers

WASHINGTON, D.C. – May 8, 2012 – Prices hardened and underwriting toughened in the commercial property/casualty market in the first quarter of the year, according to The Council of Insurance Agents & Brokers’ quarterly Commercial P/C Market Index Survey. On average, small, medium and large account pricing rose 4.4 percent compared with 2.7 percent last quarter. Large account pricing realized the biggest increase quarter-to-quarter. Prices also rose across most lines surveyed.

“We’ve been cautious up to now about declaring a market turn, but I think it’s reasonable to say that the market has made a hard turn after two quarters of price increases and tighter underwriting,” said Ken A. Crerar, president/CEO of The Council. “It’s difficult to predict length and severity, but the market has turned.”

A broker from the Midwest summed up the past quarter market environment: “Insurers sought rate [price] increases of five percent-plus across the board. For those accounts with losses, higher rate [price] increases were sought. For those risks, other markets were more selective in considering than in prior years.” A broker from the Northwest said, “Most carriers were asking for a five-to-eight percent increase depending on the line of business. DIC, earthquake and flood all increased about 25 percent or coverage is hard to find.”

The rising cost of natural disasters clearly had an impact on insurer pricing, particularly for coastal properties, as insurers embraced new modeling programs such as RMS11.

“We manage coastal property and pricing increased due to RMS 11, substantially on some accounts,” a broker form the Southeast said. Brokers in the Northeast experienced much the same. “RMS 11 treaty reinsurance price increased and the general market for companies with CAT-prone properties made carriers dictate structure, terms and premium increases.”

Workers’ compensation toughened as carriers raised prices or rejected the business. Sixty-eight percent of brokers responding said workers’ compensation prices increased 1 percent to 10 percent in the first quarter of the year. A broker in the Southeast commented, “Workers’ compensation was up with any kind of losses or up just a little even with no losses. Certain classes were not being accepted like they were.” A broker in the Northwest said, “Workers’ compensation increased in pricing or many carriers are non-renewing accounts.”

In an indication that the economy may be improving, 59 percent of respondents said demand for insurance was up in the first quarter, compared to 53 percent who said demand did not improve in the previous quarter. Survey Results and Charts

Property/Casualty Insurance Buyers Facing Tougher Pricing

noreply@blogger.com (Michael) — Mon, 30 Apr 2012 18:59:00 +0000

Press Release
4/30/12

KANSAS CITY, Mo., April 30, 2012 /PRNewswire via COMTEX/ -- Chief financial officers, risk managers, and other commercial insurance decision makers face a tougher pricing environment in the coming months in the property and casualty insurance market, according to the latest Lockton Market Update.

Prices for many risks are flat, and commercial insurance buyers face tougher underwriting and rising prices in many markets. The new package of market updates from insurance broker Lockton outlines the market dynamics and approaches to mitigate insurance cost increases.

Casualty Insurance Market "Although casualty insurance capacity is still strong, its impact on pricing continues to fade," Lockton casualty experts Jesse Olsen and Stacy Seaburg say. "Instead, carriers are focused on return on capital." Many insurance carriers are attempting to raise prices and stiffen underwriting guidelines to increase returns to stakeholders, meaning tougher renewal conversations for insurance buyers.

Commercial Property Insurance Market Lockton's Jim Rubel writes that the commercial property market is not yet hard, where capacity is not available at any price. "However, it has become a very difficult market for buyers of property-catastrophe insurance--a market where capacity is available, but only at a price."

Rubel says insurance buyers who begin the renewal process early and provide underwriters with plenty of detailed information will be in a position to minimize the potential for significant price increases. Lockton Full Report

Commercial Property/Casualty Rates Continue Moving Up

noreply@blogger.com (Michael) — Fri, 06 Apr 2012 14:25:00 +0000

Business Insurance
By Mark Hofmann
April 5, 2012

Commercial property/casualty insurance rates increased an average of 3% in March compared with a year earlier, MarketScout reported Thursday.

According to the Dallas-based electronic insurance exchange, workers compensation and commercial property experienced the greatest rate increases at 4% each.

No line of insurance tracked by MarketScout reported a rate decrease, although rates for fiduciary and crime insurance remained flat compared with those of a year earlier.

Among industry classes, manufacturing, contracting, transportation and energy each experienced 3% rate increases; service and habitational accounts registered 2% increases; and public entities experienced the smallest increase at 1%.

“Our results continue to show a slow and steady path towards rate increases in all segments,” whether by line of coverage, industry group or account size, MarketScout CEO Richard Kerr said in a statement.

Vigilant Transport: Another factor driving rate increases is the vulnerability to rising interest rates.

"Interest rate increases could result in a capital loss of between $40 billion and $60 billion on the industry's $874 billion bond portfolio in 2012, or 7% to 11% of its equity capital base,"

Teen Girls Cell Phone Usage While Driving Twice That of Teen Boys, but the boys...

noreply@blogger.com (Michael) — Thu, 29 Mar 2012 18:32:00 +0000

Inside Line says: Forget Baby on Board.

An entrepreneur needs to make some yellow

Distracted Teen on Board window signs to warn other drivers.

Edmunds Inside Line
By Rene Wisely
3/28/12

AURORA, Illinois — Big Brother caught little sister using her phone too much while driving.

A new in-car video study released this week by the AAA Foundation for Traffic Safety reveals that teen girls are twice as likely as teen boys to use cell phones and other electronic devices while driving. While electronic devices were the most commonly observed distracted-driving activity for new teen drivers of both genders, video captured many other distractions as well.

Females were more likely to be observed reaching for an object in the vehicle (nearly 50 percent more likely than males) and eating or drinking (nearly 25 percent more likely) while driving.

Males, on the other hand, were roughly twice as likely to turn around in their seats while driving, and were also more likely to communicate with people outside of the vehicle.

As evidenced by the AAA study, the subject of distracted driving, particularly distractions involving the use of mobile devices, is commanding increasing attention across the country.

In her opening remarks yesterday at the Attentive Driving Forum: Countermeasures to Distraction in Washington, National Transportation Safety Board Chairman Deborah Hersman noted: "Our nation is at a deadly intersection of mobility and connectivity."

Hersman lauded an unprecedented move yesterday by the town of Chapel Hill, home of the University of North Carolina, which passed a complete ban on cellphone use — including hands-free — while driving.

Coincidentally, AAA's study, called Distracted Driving Among Newly Licensed Teen Drivers, is based on data and analysis of video clips collected as part of a three-part study of 50 North Carolina families with novice teen drivers by researchers at the UNC Highway Safety Research Center.

The first part looked at how parents supervise their teens during the learner's stage of a graduated driver's license, and the second examined how teen behaviors and driving conditions shift during the transition to unsupervised driving. For the third part, 7,858 clips from the first six months of unsupervised driving were re-analyzed to investigate distraction specifically.

Age makes drivers cocky as well, the study revealed. Those who use electronic devices, adjust controls and groom themselves while behind the wheel were more prevalent among the older teens in the study group, suggesting rapid changes in these behaviors as teens get more comfortable with driving.

The study also revealed that parents' presence in the car curtailed the distractions, yet when multiple teens rode as passengers, horseplay and loud conversation abounded. Drivers were six times as likely to have a serious incident when there was loud conversation in the vehicle, and were more than twice as likely to have a high g-force event — including swerving, hard braking or rapid acceleration — when there was horseplay.

Additionally, distracted drivers were three times as likely to take their eyes off the road when using electronic devices and were two-and-a-half times more likely to look away when engaged in other behaviors. On average, teen drivers using electronic devices took their eyes off the road for a full second longer.

"This new study provides the best view we've had about how and when teens engage in distracted driving behaviors believed to contribute to making car crashes the leading cause of death for teenagers," said AAA Foundation President and CEO Peter Kissinger.

Just the Facts:

A new in-car video study of teen driver distractions released this week by the AAA Foundation for Traffic Safety reveals that teen girls are twice as likely as teen boys to use cell phones and other electronic devices while driving.
Females were more likely to be observed reaching for an object in the vehicle (nearly 50 percent more likely than males) and eating or drinking (nearly 25 percent more likely).
Conversely, males were roughly twice as likely to turn around in their seats while driving, and were also more likely to communicate with people outside of the vehicle.

Commercial Insurance Pricing Continues to Increase (Review One's Claims)

noreply@blogger.com (Michael) — Mon, 12 Mar 2012 17:15:00 +0000

"We are now at a point where we can

'call the pricing turn' in the market."

MarketWatch
Business Wire
3/12/2012

NEW YORK, Mar 12, 2012 (BUSINESS WIRE) -- Commercial insurance prices increased an aggregate 3% during the fourth quarter of 2011 -- the fourth consecutive quarter during which prices for all standard commercial lines rose. Additionally, earned price increases are beginning to offset portions of reported claim cost inflation levels, according to the most recent Commercial Lines Insurance Pricing Survey (CLIPS) released by global professional services company Towers Watson (NYSE, NASDAQ: TW).

CLIPS data reveal that, once again, prices for workers compensation and commercial property showed the largest quarterly increases -- in the mid- to high-single digits -- followed closely by general/products liability. During the fourth quarter of 2011, workers compensation pricing continued to exhibit the increasing trend observed earlier in the year, after flat pricing during all of 2010. Prices for commercial property increased for the third consecutive quarter.

"While modest, aggregate increases in prices continued, and more importantly, these increases accelerated in each quarter of 2011," said Thomas Hettinger, Property & Casualty sales and practice leader for the Americas at Towers Watson. "We are now at a point where we can 'call the pricing turn' in the market."

CLIPS data also show that specialty lines as a whole were relatively flat, as directors and officers (D&O) liability pricing finally showed signs of stabilizing. The D&O liability line had been the last remaining holdout with respect to soft market conditions, with significant price reductions reported in each of the prior seven quarters.

Price increases were observed across all account sizes for the standard commercial lines, with the largest increases observed in mid-market accounts.

Historical loss cost information reported by participating carriers points to a 3% deterioration in loss ratios in accident-year 2011 relative to 2010. This indication is more favorable than the estimated level of 5% deterioration for the accident-year 2010 loss ratio over 2009, as earned price increases are beginning to offset portions of reported claim cost inflation.

"We will have a more complete picture of companies' overall 2011 performance as we analyze year-end reserve adequacy and releases," continued Hettinger. "We have seen signs of insurers reacting to the deteriorating loss ratios by raising prices, and we are still getting an understanding of how strong pricing discipline will need to be to overcome the trends in losses."

Premiums on the rise so it is even more imperative

to manage existing claims and to do so well

in advance of your insurance renewal

Order currently valued auto loss reports
Review the loss runs and make notes for each claim based on you knowledge of the circumstances pertaining to each claim
Identify those claims that should be reviewed in a formal meeting with the adjustor or adjustors
Make sure the adjusting staff provides you with a written report on each claim you selected for review
You should expect a solid reason (s) for the amount of the reserve and paid claims and a detailed plan to resolve the claim as timely as possible

Property-Casualty Rates Continue to Rise

noreply@blogger.com (Michael) — Tue, 06 Mar 2012 20:01:00 +0000

Business Insurance
By Mark Hoffman
3/6/2012

Signs of change in the commercial property/casualty insurance market continue with rates rising by an average of 2% in February over those of the same month a year earlier, according to an analysis released Monday by MarketScout.

According to the Dallas-based electronic insurance exchange, workers compensation and commercial property coverage experienced the greatest increases at 3%. General liability, umbrella/excess and business owners’ policies each rose by an average of 2%. All other lines surveyed increased by 1% except fiduciary and surety coverages, which remained flat.

“In September, 2011, rates were flat,” said MarketScout CEO Richard Kerr in a statement announcing the February figures. “Since then, we have continued to see evidence of a slowly turning market with the composite rate at 0% in October, 1% in November 2011 through January 2012, and now a 2% increase in February 2012.”

22 Percent Decline in Traffic Deaths from Prohibited Cell Phone Use...NUFF SAID

noreply@blogger.com (Michael) — Tue, 06 Mar 2012 19:54:00 +0000

An analysis of states with laws prohibiting the use of hand-held cell phones by motorists shows a 22-percent decline in overall traffic deaths, according to the California Office of Traffic Safety (OTS).

School Transportation News
By: Ryan Gray
3/6/2012
In addition to the drop in overall traffic deaths, researchers of the study also found that fatalities of motorists who used hand-held cell phones decreased by 47 percent. The study was performed by the Safe Transportation Research and Education Center (SafeTrec) at the University of California at Berkley and reviewed traffic crash records two years before and two years after state laws went into effect.

“These results suggest that the law banning hand-held cell phone use while driving had a positive impact on reducing traffic fatalities and injuries,” said Dr. David Ragland, director of SafeTREC.

One reason for fewer crashes may be due to increased law enforcement. The California Department of Motor Vehicles said there were 460,487 hand-held cell phone convictions in 2011, a 22-percent increase from 2010 and a 52-percent jump from 2009. The cost of a ticket in California for a first offense is at least $159 and $279 for subsequent offenses.

Cell phone usage while driving is top of the mind with California drivers, which they see as carrying a significant traffic safety threat. The same OTS statewide opinion survey reported that 62 percent of respondents stated that texting and talking are the biggest safety concerns on California roadways. Eighty-four percent claimed cell phone conversations or texting while driving constitute the most serious distractions while driving.

Meanwhile, another OTS opinion poll commissioned with federal funds and performed last summer showed that four in 10 California drivers said they talked less with either hand-held or hands-free phones since the state's ban was enacted in 2008. The report contradicts a study performed by the Highway Loss Data Institute in January 2010 that there had been no significant changes in crashes.

One month later, the Insurance Institute for Highway Safety published results from a telephone survey that found that 44 percent of drivers in states with bans reported they don't use either hand-held or hands-free cell phones while driving. In comparison, IIHS found that 30 percent said they continue to operate both types of phones while behind the wheel in states that do not have bans.

Backover Accidents Kill 228 People Per Year and Injure 17,000

noreply@blogger.com (Michael) — Wed, 29 Feb 2012 19:04:00 +0000

Government statistics indicate that 228 people of all ages — 44 percent of whom are under age 5 — die every year in backover accidents involving passenger vehicles. About 17,000 people a year are injured in such accidents.

Backing Rules

Rule #1:

Do not back unless you absolutely have to

Rule #2:

Never back when children are present

Rule #3:

Back first, meaning you should back before you park your vehicle,

not when you leave

Rule #4

Walk Around Your Vehicle Prior to Backing

The New York Times
By Nick Bunkley
2/27/2012

On average, two children die and about 50 are injured every week when someone accidentally backs over them in a vehicle, according to KidsAndCars.org, a nonprofit group that pushed the government to begin tracking such tragedies. And more than two-thirds of the time, a parent or other close relative is behind the wheel.

Now, auto safety regulators have decided to do something about it. Federal regulators plan to announce this week that automakers will be required to put rearview cameras in all passenger vehicles by 2014 to help drivers see what is behind them. The National Highway Traffic Safety Administration, which proposed the mandate in late 2010, is expected to send a final version of the rule to Congress on Wednesday.

Cars are filled with safety features that have been mandated by government regulators over the years, including air bags and the Liddy Light, the third brake light named for Elizabeth Dole, who made it standard as secretary of transportation in the 1980s.

But the rearview camera requirement is one of the biggest steps taken to protect people outside of a vehicle.

“We haven’t done anything else to protect pedestrians,” said Clarence Ditlow, executive director of the Center for Auto Safety in Washington. “This is one thing we can do and should do.”

However, in a preliminary version circulated for public comment, regulators predicted that adding the cameras and viewing screens will cost the auto industry as much as $2.7 billion a year, or $160 to $200 a vehicle. At least some of the cost is expected to be passed on to consumers through higher prices.

But regulators say that 95 to 112 deaths and as many as 8,374 injuries could be avoided each year by eliminating the wide blind spot behind a vehicle. Government statistics indicate that 228 people of all ages — 44 percent of whom are under age 5 — die every year in backover accidents involving passenger vehicles. About 17,000 people a year are injured in such accidents. Continue Reading Nick Bunkley's Article

Proof of Auto Insurance App Coming to a Smartphone Near You

noreply@blogger.com (Michael) — Wed, 29 Feb 2012 16:15:00 +0000

PCI

News Release

2/27/2012

CHICAGO — Have you ever been pulled over in a traffic stop, fumbled through your glove compartment only to find out you don’t have your proof of insurance card with you? Now you are stuck with a court date or a fix-it ticket even though you did indeed have insurance. There is a simple solution to this inconvenience: show proof of insurance electronically with your smart phone, says the Property Casualty Insurers Association of America (PCI).

Long before personal computers even existed, states adopted laws and regulations requiring drivers to carry physical insurance identification cards as proof that they had auto insurance. Now, we live in a technology driven world where smart phones are everywhere and people can do just about anything on a phone with the click of a button. In an effort to keep up, policymakers across the country are changing the rules to allow drivers to show proof of insurance electronically.

The Idaho Senate Transportation Committee unanimously approved a measure Thursday (SB 1319) giving drivers the flexibility to show proof of coverage electronically with a smart phone. Similar bills are under consideration in Arizona, California and Mississippi.

“As we move into the 21st century, state legislators and regulators are beginning to update laws to recognize the increasing prevalence of technology by allowing insurers to provide policyholders electronic ID cards. That little piece of paper will still count, but it will no longer be the only option motorists have to show they have auto insurance,” said Alex Hageli, PCI’s director, personal lines policy. “Electronic display of proof of insurance will save insurance companies the cost of printing and mailing ID cards to policyholders. It will also save law enforcement and court personnel time and money because they will no longer need to process tickets written to drivers who had coverage but forgot to put that little piece of paper in the car.”

All states except New Hampshire and Tennessee require drivers to carry liability insurance to cover other drivers in an accident. A report by the Court Statistics Project shows there were more than 56 million traffic violation cases filed in state courts in one year alone. Drivers had to show proof of insurance coverage at each one of those stops.

“Electronic proof of coverage is the wave of the future,” said Kenton Brine, PCI assistant vice president. “Many policyholders are living green and want to go paperless, but without changing the law insurers are still required to send paper ID cards. Legislation like the measures under consideration in Arizona and Idaho are a win-win situation because insurers and customers retain the flexibility to use paper ID cards or use an electronic device. It is all about having choices.”

Nationwide Legislation and Regulations Allowing Electronic Proof of Insurance:

NHTSA States 2011 Traffic Deaths Decline...BUT 24,050 Traffic Deaths in 9 Months

noreply@blogger.com (Michael) — Wed, 22 Feb 2012 21:18:00 +0000

The National Highway Traffic Safety Administration (NHTSA) reports an estimated 1.6% decline in traffic fatalities during the first three quarters of 2011 compared to the same period in 2010.

This decline is hardly a reason for breaking out the party favors as 24,050 traffic fatalities occured during the first 9 months of 2011. 24,050 is over 1/2 of the entire population of Edina, MN and almost the entire population of Stevens Point, WI.

For the first 9 months of 2010, an estimated 24,437 people died in motor vehicle crashes.

While the estimated traffic fatalities decreased by an estimated 1.6% year over year, total vehicle miles traveled (VMT also declined by an estimated 1.3%.

According to the NHTSA, motor vehicle fatalities have been on a downward trend since 2005. Traffic fatalities have declined approximately 24% from the 43,510 fatalities in 2005. NHTSA has traffic fatality data going back to 1975. NHTSA Preliminary Report

A disturbing trend is the increase in teenage driver deaths.

From EHS Today:

The new GHSA report revealed that 211 16- and 17-year-old drivers died in the first 6 months of the year, compared to the 190 who died in the first half of 2010. Researchers have not yet determined whether that increase in fatal teen crashes continued in the second half of 2011 – but if it did, the 8-year streak of continuous decline in teen driver deaths for this age group might be over.

Rental Car Industry Not Regulated Yet They are Largest Purchaser of New Cars...say what?

noreply@blogger.com (Michael) — Tue, 21 Feb 2012 19:39:00 +0000

"The rental car industry is the single largest purchaser of new cars, and the single largest source of used cars in North America, yet they have escaped all regulation and oversight from the National Highway Traffic Safety Administration (NHTSA)," Houck says.

USA Today
By: Gary Stroller
2/20/2012

Raechel and Jacqueline Houck died in a fiery 2004 crash in a rental car that "was essentially a ticking time bomb," their mother, Cally Houck, says.

The vehicle — a PT Cruiser under a safety recall for a power-steering fluid problem — was not repaired and had been rented to three other renters and then the Houck sisters at an Enterprise Rent-A-Car facility in Capitola, Calif.

The power-steering fluid leaked and caught fire, Cally Houck says, causing Raechel, 24, and Jacqueline, 20, to lose control of the car, which slammed into a semi tractor-trailer.

Enterprise admitted liability, and Houck was awarded $15 million in damages by a jury two years ago. She says she will keep fighting to improve auto-rental safety until Congress makes the industry adhere to federal safety regulations.

Documents submitted to NHTSA by Chrysler and General Motors do not reveal how many recalled vehicles were rented out before they were fixed, but they show that it can take months, a year or more before rental companies repair a recalled vehicle.

The documents show that no major auto-rental company fixed all its recalled vehicles within a year. GM documents, for example, show that a year after getting a recall notice about a shift lever indicator problem in 2009 Buick Enclaves, Chevrolet Cobalts and seven other types of vehicles in their fleets, Avis Budget had fixed 35% of them. The documents show that Enterprise fixed 34% of these types of vehicles in their fleets within 30 days after the recall, 52% within 60 days, 62% within 120 days and 74% within a year.

Hertz, according to the documents, fixed 18% within 30 days after the recall, 36% within 120 days and 52% within a year.

Hertz Senior Vice President Richard Broome says data submitted to NHTSA by auto manufacturers are inaccurate. The data include "countless instances" of vehicles that rental companies had sold before recall notices were issued, he says.

Consumer-safety advocates aren't convinced that rental companies are so conscientious about fixing their vehicles. Rosemary Shahan, president of Consumers for Auto Reliability and Safety (carconsumers.org), says lobbyists for rental car companies told her last year at a meeting in the State Capitol Building in Sacramento that their companies sometimes needed to rent cars under recall, particularly during busy holiday weekends.

Continue Reading Article at USA Today

Commercial Insurance Rates Increase Again in Q4 2011

noreply@blogger.com (Michael) — Wed, 25 Jan 2012 22:45:00 +0000

Time to Get One's Risk Management Groove On!!
as

The Soft Market Party is Serving Soggy Pretzels

Business Insurance
By: Mark Hofmann
1/24/2012

Commercial property/casualty rates increased an average of 2.8% during the fourth quarter of 2011 compared with the same period a year earlier, the Council of Insurance Agents & Brokers said in its quarterly survey released Tuesday.

“It's clear from the data that the market continued its upward momentum in the fourth quarter,” Ken A. Crerar, president and CEO of the Washington-based council, said in a statement. “Capacity was still strong, but prices rose in the face of declining underwriting profitability, dwindling reserves and huge catastrophic losses.”

Workers comp leads increases

The council's “Commercial P/C Market Index Survey” found that workers compensation experienced the largest rate increase at 7.5%. Commercial property ranked second with an average increase of 5.7%.

Large accounts reported the smallest increases, with an average increase of 1.8%. Medium-size accounts reported a 3.5% increase, and small accounts reported a 3.1% increase.
By contrast, commercial property/casualty insurance rates dropped an average of 5.4% in the fourth quarter of 2010 compared with a year earlier, the council reported early last year.

Speaking of Workers' Compensation...

Signs point to more unprofitable years ahead for the workers compensation insurance industry, according to a Standard & Poor's Corp. report released Monday. S&P also called the workers comp industry's track record of underwriting results “dismal,” with only three years of underwriting profits being earned during the past two decades.

Insurance Risk Managers Favor Cellphone Ban

noreply@blogger.com (Michael) — Tue, 03 Jan 2012 18:48:00 +0000

John Toay, president, SC Risk Mgt. Consulting and president, LPM Enterprises Inc., says, “As a former police-accident investigator I handled more cases caused by inattention than I can count.”

Property/Casualty 360
By: Caroline McDonald
1/2/2012

Even though the National Transportation Safety Board’s recommendation that all cellphone use be banned in automobiles has been nixed by theU.S.transportation secretary, the suggestion is applauded by some corporate and public-entity risk managers.

The mid-December recommendation by the NTSB calls for all 50 states and theDistrict of Columbia “to ban the nonemergency use of portable electronic devices (other than those designed to support the driving task) for all drivers.”

The safety recommendation also urges use of high-visibility enforcement to support the bans and implementation of targeted communication campaigns to inform motorists of the new law and the heightened enforcement.

U.S. Transportation Secretary Ray LaHood, however, announced on Dec. 22 he won't back the proposal and supports hands-free driving.

Risk managers say they are in favor of a total ban of cell phone usage while behind the wheel.

Lori Seidenberg, vice president, enterprise risk management, and insurance risk manager with Centerline Capital Group inNew York Cityand a director of the Risk and Insurance Management Society Inc. notes, “As a risk manager, I support the implementation of a total ban on cell phone usage. Using cell phones while driving is a hazard for both the passengers in the car you are in and the cars around you.”

While some states allow hands-free usage while driving, Seidenberg says, “This, too, is hazardous, as you still need to look at your phone or PDA to answer or dial the call.”

She adds, “I can see a corporation's perspective, that they want travelling employees to be as efficient as possible” and that an employee driving a long distance might multitask by participating in conference calls or answering emails.

But she says corporations have to weigh the risks and decide which is more important: “employee productivity or a risk of injury or death by distracted driving?” Continue Reading

Cell Phone Ban While Driving: Mixed Opinions

noreply@blogger.com (Michael) — Tue, 27 Dec 2011 19:19:00 +0000

The National Safety Council says drivers

on the phone see only 50 percent

of the traffic information around them.

NewsObserver
By: Bruce Siceloff
12/27/2011

Sure, it would be hard to push through the legislature. It would be harder still to enforce on the highway.

But Lewis Lokitz of Cary is cheering a push by the National Transportation Safety Board for a sweeping, 50-state ban on phoning at the wheel.

"It may be unpopular, but it is the right, moral, and life-saving thing to do,"Lokitz said by email, responding to a recent Road Worrier column. "I don't understand how anyone could object. Especially if you have children."

He could be thinking of Erin Lindsay-Calkins and her 5-year-old son, Nicholas. Witnesses said Erin appeared to be holding a phone to her ear on Dec. 22, 2009, when she crashed through the flashing barrier gate at a railroad crossing in Orange County. She drove into the path of a fast-moving train. Both were killed. Nicholas' baby sister, Aven, survived.

Safety researchers cite other grim examples of phone-impaired drivers who behave as if they've been struck blind. They run red lights and blunder into disasters they should have seen coming, without even tapping their brakes. The National Safety Council says drivers on the phone see only 50 percent of the traffic information around them.

After a multitasking real-estate agent rear-ended Mike Stanford a few years ago, both drivers stopped their cars. Stanford walked back to speak to her, but she was still on the phone.

"She was holding her finger up and saying, 'Just a minute, just a minute,' " said Stanford, who lives in Charlotte. "She was completing her call." Continue Reading

Property/Casualty Insurance Industry Earnings DROP 70.5%

noreply@blogger.com (Michael) — Tue, 27 Dec 2011 17:39:00 +0000

Business Insurance
Mark Hoffman
12/27/2011

U.S. property/casualty insurers' aftertax net income dropped 70.5% to $7.98 billion during the first nine months of this year compared with a year earlier, according to a survey released Monday by the Insurance Services Office Inc. and the Property Casualty Insurers Assn. of America. Inc.

The survey found that P/C insurers' net underwriting losses grew to $34.91 billion during the first nine months of 2011 from $6.30 billion during the same period of 2010.

The industry's combined ratio deteriorated to 109.9% from 101.2% a year earlier.

Catastrophe Losses Triple

“The deterioration in underwriting results is largely attributable to a spike in net losses and loss adjustment expenses—LLAE—from catastrophes,” the ISO and PCI said in a statement. “ISO estimates that insurers’ net LLAE from catastrophes rose to $33.2 billion” in the first nine months 2011 from $10.8 billion in the first nine months 2010. “These amounts exclude LLAE that emerged after insurers closed their books for each period, but do include late-emerging LLAE from events in prior periods.”

The survey found that net investment gains partially offset the underwriting results, with investments rising 5.4% to $41.97 billion during the first nine months of this year.

Policyholders’ surplus dropped 1.6% to $538.63 billion as of Sept. 30 vs. $547.19 billion at the end of 2010.

Net written premiums grew 3.1% to $334.53 billion during the first nine months of the year.
Property/casualty insurers’ third-quarter net income fell 68.7% to $3.22 billion, according to the survey. Net written premiums rose 4.1% to $115.74 billion.

823 Minnesota DWI Arrests in 11 Days

noreply@blogger.com (Michael) — Fri, 23 Dec 2011 17:33:00 +0000

Albert Lea Tribune
12/23/11

ST. PAUL — Midway through a month-long statewide DWI enforcement campaign, preliminary reports from 191 law enforcement agencies indicate 823 DWI arrests were made Dec. 1–11. Nearly 400 agencies are conducting increased patrols through New Year’s Eve. The Minnesota Department of Public Safety Office of Traffic Safety is coordinating the campaign that includes approximately 8,500 extra hours of DWI patrols.

Multiple agencies made arrests where the driver registered a blood alcohol concentration of 0.30 or higher (the legal limit is 0.08), including Dakota, Goodhue, Martin, Olmsted and south St. Louis counties’ sheriff’s offices; State Patrol St. Cloud district; and Bloomington, Robbinsdale and St. Cloud police departments.

In Minnesota during the month of December, 2008–2010, alcohol-related crashes accounted for 34 traffic deaths. During this same period, 8,503 motorists were arrested for DWI.
Consequences for a DWI include loss of license for up to a year, up to $20,000 in legal costs and heightened insurance rates and possible jail time.

On average, there were 170 alcohol-related traffic deaths in each of the last five years in Minnesota — accounting for one-third of all state’s total road deaths annually. These crashes and fatalities have been declining in recent years, and DPS officials say enhanced DWI enforcement campaigns have been a major factor in Minnesota’s continuing trend of lower alcohol-related traffic deaths.

There were 131 alcohol-related traffic deaths in 2010 in the state, the fewest on record and down 21 percent from five years ago. Still, during 2006–2010, 791 people were killed in alcohol-related crashes — reflecting impaired driving as a factor annually in one-third of the state’s road fatalities.

Each year, 30,000 motorists are arrested for DWI; one in seven Minnesota drivers has a DWI on record.

A DWI offense can result in loss of license for up to a year, thousands in costs and possible jail time. Stronger DWI sanctions are also now in effect for all repeat DWI offenders, as well as for motorists arrested for a first-time DWI with a 0.16 and above alcohol-concentration level. Under these sanctions, offenders must use ignition interlock for at least one year or face at least a year without driving privileges. Continue reading

Hang Up and Drive (Editorial)

noreply@blogger.com (Michael) — Fri, 23 Dec 2011 17:23:00 +0000

Distracted drivers are a menace, and they're not getting the message. But we don't need a broader law; we need more enforcement of laws already on the books.
Chicago Tribune
Editorials
12/23/2011

The National Transportation Safety Board wants all 50 states to ban cellphone use by drivers. No texting, no tweeting, no talking — not even on a hands-free phone.

It's a standard that goes beyond anything on the books in any state. The board has no authority to impose it. The data on accidents involving cellphones is inconclusive, the government is not our nanny, and eating a chili dog while driving is dangerous, too.

A nationwide ban will not happen.

That doesn't mean the NTSB isn't onto something. If you're not frightened by what's going on around you during your daily commute, you're not paying attention. Drivers are texting while flying down the expressways, sending emails in stop-and-go traffic on Lake Shore Drive, carrying on animated conversations while changing lanes with one hand on the phone and the other holding a Starbucks.

All of that is already illegal in Chicago and beyond. Have you noticed fewer people doing it? Neither have we.

A second agency, the National Highway Traffic Safety Administration, says distracted driving was a factor in more than 3,000 fatal accidents in 2010. It doesn't say how many involved texting, how many involved talking on the phone or how many involved reaching behind the seat to retrieve the toddler's fallen pacifier.

But one of those accidents provided the NTSB with a horrific anecdote to support last week's call for a comprehensive ban. A 19-year-old driver sent or received 11 texts in the 11 minutes before his pickup truck plowed into a tractor trailer near Gray Summit, Mo. The chain-reaction collision also involved two school buses. The teen driver and a student on one of the buses died, and 38 others were injured.

But a nationwide ban wouldn't have prevented that tragedy. Missouri already prohibits drivers under 21 from texting while driving. Thirty-five states prohibit texting by all drivers; 30 ban cellphone use by novice drivers; and 10 have outlawed the use of even hands-free phones. Hundreds of local governments have their own laws covering behind-the-wheel cellphone use. And we would argue that all of those prohibitions (and a lot more) are covered under broader distracted driving laws in force in most states, including Illinois. (Think about that, you in the gray car, with the eye makeup implements in both hands, gazing at yourself in the rearview mirror, while drifting lane to lane on Columbus Drive, in Grant Park.)

Still, a traffic safety commission survey found that 1 in 10 drivers — and half of those ages 21 to 24 — said they'd texted or emailed while behind the wheel. At any given moment, 1 in 100 drivers is texting, tweeting, emailing or web-surfing, a rate that's up 50 percent over the previous year. Most of them said they don't think it's dangerous.

While states have been busy passing laws to limit distractions, Americans have been acquiring all sorts of new gadgets that promote multitasking in the car. GPS systems; MP3 players; smartphones that enable users to play games, pay bills, order dinner or watch a movie while barreling down the Eisenhower. But the distractions aren't all high-tech. The worst local example we can think of involved a driver who struck and killed a motorcyclist while painting her nails.

Distracted drivers are a menace, and they're not getting the message. But we don't need a broader law; we need more enforcement of laws already on the books.

What if police pounced on behind-the-wheel texting with the same zeal applied to parking meter violations? What if those hated red-light cameras could bust you for talking on your handheld phone? If the risk of killing yourself or others isn't deterrent enough, maybe a ticket or three will get your attention.

It's time we all started taking these dangers seriously. Keep your hands (thumbs and all) on the wheel.

NTSB Wants to Ban Cell Phone Use While Driving

noreply@blogger.com (Michael) — Tue, 13 Dec 2011 20:38:00 +0000

In 2009, nearly 5,500 fatalities and 500,000 injuries resulted from crashes involving a distracted driver, according to the National Highway Traffic Safety Administration.

The Washington Post
By: Michael Bolden
12/13/2011

The National Transportation Safety Board recommended a nationwide ban on driver use of personal electronic devices Tuesday, following its investigation into a deadly accident last year in Missouri.

NTSB Chairman Deborah A.P. Hersman discussed the recommendations during a press conference after a meeting on that accident.

Take this poll: “Do you use your cell phone while driving?”

“According to [the National Highway Traffic Safety Administration], more than 3,000 people lost their lives last year in distraction-related accidents,”she said. “It is time for all of us to stand up for safety by turning off electronic devices when driving.”

While the NTSB investigates transportation and pipeline accidents and makes recommendations on safety rules and regulations, it has no power to implement them.

The NTSB’s recommendations urge all 50 states and the District ”to ban the nonemergency use of portable electronic devices (other than those designed to support the driving task).” According to the Governors Highway Safety Association, 35 states, including Maryland and Virginia, and the District ban texting while driving.

The NTSB has been investigating a deadly crash in Gray Summit, Missouri last year. A 19-year-old pickup driver sent 11 texts in the 11 minutes before before the accident, according to the NTSB, including one “right before impact.” The accident killed two people and injured 38. Continue Reading