The Business Week recently reported, Louisiana Insurance Commissioner Jim Donelon "said Monday that he'll support legislation to give the state's 'insurer of last resort' immunity against certain lawsuits, a proposal that could retroactively negate the firm's payout if it loses its appeal of a $95 million class-action. Donelon said he'll back such a bill in 2010 to protect Louisiana Citizens Property Insurance Corp. against lawsuits -- past and present -- that seek financial damages for failure to pay claims on time." Citizens "is appealing a ruling that the state-backed firm must pay $95 million to 18,573 policyholders because their Hurricane Katrina claims were not settled quickly enough." Donelon also intends to push for legislation "that would give the firm immunity against the requirement that a party post a bond while appealing a court's ruling."
Apparently, Donelon believes that insurance companies can break the rules, be held accountable in court and then should let of the hook for the "public good." Insurance companies that don not pay claims promptly, and fairly are in violation of industry standards and the law. Donelon should focus on forcing companies to pay legitimate claims timely and fairly. Instead he will insure there is an insurance company of last resort that does not have to follow the rules or pay claims fairly. Wow Jim great job!
Apparently, Donelon believes that insurance companies can break the rules, be held accountable in court and then should let of the hook for the "public good." Insurance companies that don not pay claims promptly, and fairly are in violation of industry standards and the law. Donelon should focus on forcing companies to pay legitimate claims timely and fairly. Instead he will insure there is an insurance company of last resort that does not have to follow the rules or pay claims fairly. Wow Jim great job!
