Insurance agent charged with theft

Branko Cekarmis, a 37-year-old insurance agent from Kent, Wash., has been charged with four counts of theft for allegedly misappropriating thousands of dollars from his customers.

When Cekarmis, an Allstate agent, collected premium payments, he was supposed to deposit the checks and cash into a specific bank account managed by Allstate. The company would then apply those premiums to the customers' policies.

But 20 times between early February 2009 and late January 2010, Cekarmis either failed to deposit the money or failed to properly allocate it to the appropriate customers' policies. In some cases, he only allocated part of the payment to a policy. In others, he put the money toward a different customer's policy.

All told, he's believed to have misappropriated $7,767.

Allstate's corporate security department investigated the matter and sent the case to state Insurance Commissioner Mike Kreidler's Special Investigations Unit.

On June 3rd, the insurance commissioner's office revoked Cekarmis' insurance license. On Monday, Cekarmis was charged in King County Superior Court with four counts of second-degree theft.

Life expectancy table

We recently heard from an unhappy consumer who was searching our agency website:

"Could not find the life expectancy chart. As a result, have lost all of this time and effort -- thereby reducing my life expectancy."

Happy to help: Here's the life expectancy table. (It's not a new one; it's been in effect since late 2004.)

Job opening: life and health insurance compliance analyst

We're looking for a life and health insurance compliance analyst to work in our Consumer Protection division in Tumwater, Wash.

The person will help investigate consumer complaints against insurance companies and answer consumer questions about insurance issues. The person will also be a technical expert on helping consumers appeal insurance denials, as well as on writing and formatting consumer publications for the Web.

For more details, including salary and application process, please see the job listing. Deadline is 4:59 p.m. on Aug. 19, 2011.

We're also still accepting applications for a financial examiner job, but time's running out. The deadline for applying for that job is Friday at 5 p.m.

To keep up with any job openings at our agency, please check our jobs page frequently.

Health care reform update

Here's an update on health care reform from Barb Flye, our senior health policy advisor:

A song about insurance fraud? Really? Really.

It turns out that someone has actually written a song about, yes, insurance fraud.

A reporter for the Seattle Weekly (thanks, Jonathan) turned us on to the tune.

Insurance agent pleads guilty to theft for selling bogus insurance

Brenda MacLaren-Beattie, a longtime insurance agent in Des Moines, Wash., has pleaded guilty to first-degree theft for selling fake insurance to oral surgeons in two states.

Our investigation found that MacLaren-Beattie, 67, sold thousands of dollars in fake business-insurance policies, often issuing counterfeit certificates of insurance to doctors and clinics. She pleaded guilty yesterday in King County Superior Court to eight counts of first-degree theft, a felony.

From late 2001 through 2009, she issued fake insurance to 25 oral surgeons in Washington and 16 in Oregon. During that time, she is believed to have collected more than $532,000 in premiums for fictitious insurance policies. Her insurance license expired in 2009.

In some cases -- a lost camera, some water damage -- she paid out small insurance claims. One of her clients became suspicious after a claim check was issued by MacLaren-Beattie, rather than from an insurance company.

The fictitious policies were for business owners' general liability insurance. General liability insurance typically covers things like slip-and-fall accidents, employee theft, and damage to rented property.

Sentencing in King County Superior Court is expected later this month.

New guidelines expand preventive coverage for women

New guidelines issued by the federal government require health plans to cover many preventive services for women with no additional cost.
The Affordable Care Act requires health plans to include preventive services with no cost-sharing (ie. deductibles, copays, etc.). The guidelines issued yesterday describe the specific preventive services for women that apply. They include:

Well-woman visits
Screening for gestational diabetes
Human papillomavirus (HPV) DNA testing for women 30 years and older
Sexually-transmitted infection counseling
HIV screening and counseling
FDA-approved contraception methods and counseling
Breastfeeding support, supplies, and counseling
Domestic violence screening and counseling

Here's a chart showing the specific preventive service, a description of the service, and frequency (ie. whether the coverage is annual or for a specific occurrence.)

10 things your homeowners insurance DOESN'T cover

Surprise: Here are 10 things a typical homeowners policy doesn't cover:

• Damage due to animals or rodents.
• Mold, mildew or dry rot.
• Earthquakes -- including earth movement, landslides, etc.
• Slow leaks.
• Flooding: You have to buy a separate flood insurance policy to be covered for floods, tidal surges and tsunamis.
• Intentional damage.
• Foundation settling and cracking.
• Volcanoes: Deposits of volcanic ash? Not covered. Nor is damage from tremors caused by the eruption.
• A home business: If you operate a home-based business, you might be uninsured and not even realize it. Your homeowners policy may provide a limited amount of coverage for business-related personal property in the home, but don't wait until you have a loss to find out if you're covered. Talk to your agent.
• A second residence on the property: Most homeowner policies don't cover a second residence.

Here, on the other hand, is a list of what is covered under a typical homeowners policy.

Need help with insurance problems?

If you live in Washington state, we can help with insurance questions and problems. (We're the state agency that regulates insurers, agents and brokers. We get tens of thousands of calls a year from consumers.)

What kind of help? Here are a few examples of recent cases we've handled:

-We helped a dentist get paid when one insurer didn't process a claim because it didn't have the medical codes from the primary insurer. We looked up the codes (on the primary insurer's website; not so hard), provided them, and passed along a friendly reminder about the legal requirements for timely claims processing. The insurer processed the claim the next day.

-We helped another consumer get a life insurer to pay out the proceeds -- more than $250,000 -- on his mother's annuity policy.

-We helped a consumer after an insurer found him 100 percent at fault for an accident. We reviewed their investigation and discovered that they'd failed to get statements from key players (the other driver, for one, and a police officer witness who happened to be sitting beside the road when the accident occurred).  We asked the company to contact the two. Result: they reversed their decision, finding the other driver 100 percent at fault for the accident.

-We helped a homeowner expedite and settle a disputed home repair claim for more than $145,000.

Need help? Call us at 1-800-562-6900 or see http://www.insurance.wa.gov/.

(And if you live in another state, here's a handy map with contact info for your own state's insurance regulator.)

Health insurance exchanges: Who's doing what?

The Kaiser Family Foundation has put together handy maps illustrating what each state is doing in terms of setting up health insurance exchanges. The maps are sortable by actions, status, etc.

Exchanges are new marketplaces where consumers will be able to comparison shop for health insurance.

Health insurance rate requests now public

Individual and small employer health insurance rate requests are now public. See the complete filings received since July 1, as well as a summary for each request.

Several health insurers filed rate requests prior to July 1, but have voluntarily made their filings public. They include: Asuris Northwest Health, Kaiser Foundation Health Plan, and Regence BlueShield.

Insurance Commissioner Mike Kreidler proposed the legislation (HB 1220) making health rates public on behalf of the consumers who contact his office, demanding to know what's driving their higher premiums. State law prevented him from sharing the information that insurers use to justify rate requests - even after the rate was approved.

The new law makes most individual and small employer health insurance rate filings public shortly after they're received. This includes how much of the requested rate will be spent on medical claims, administrative costs and profit. Also, the public will see if their rate change includes any benefit changes.

Kreidler's office is building an interactive web tool where the public can search rate requests, post comments, and sign-up to get an e-mail when their health plan requests a change and a decision is made. The new tool is scheduled to go live early this fall.

Owner of auto glass companies sentenced in $1.6 million fraud case

A Burien auto glass company owner has been sentenced to jail for a billing scheme that's believed to have cost insurers more than $ 1.5 million.

Michael Alan Perkins, 44, pleaded guilty to three counts of first-degree theft in King County Court July 1. He was sentenced to 9 months in jail, with 30 days of the sentence converted to 240 hours of community service.

Investigators for state Insurance Commissioner Mike Kreidler are recommending a total of more than $1.6 million in restitution to the companies. The court will decide the amount at an upcoming hearing.

Perkins is the owner of Autoglass Express Inc. and Premier Auto Glass, LLC., both run out of Perkins' Burien home. The glass shops overbilled insurers, including State Farm, Allstate and MetLife insurance companies.

An investigation by Kreidler's office's anti-fraud Special Investigations Unit, which spent months combing through more than 10,000 records, found more than $1.5 million in deceptive billing by Perkins' companies between September 2005 and December 2009. Read the full release.

10 things to do after a car crash

The National Association of Insurance Commissioners recently put out a checklist to help you gather the neccessary information after a car crash. Here are the their 10 things to do after a car crash: (And here's a printable form for your glove compartment)

1. Remain calm.

2. Assess the scene. Do not get out of your car if it is not safe to do so.

3. Check for injuries.

4. Call the police. Tell them where you are, what happened and if there are injuries.

5. DO NOT admit fault.

6. Exchange information with the other drivers. Get: NAME, ADDRESS, PHONE, INSURER’S NAME, INSURER’S PHONE and POLICY NUMBER for all of the drivers involved.

7. Get names and phone numbers of witnesses.

8. Take photos/video of the scene including the damage to all cars. Cell phone photos will work to document initial damage.

9. Write down/record your record of the events.

10. If the police respond, find out where to get a copy of the police report for your claim. If the police do not come to the scene, ask police dispatch where you can file an incident report.

Your homeowners policy probably does NOT cover flooding

Many residents of Minot, North Dakota believed they were safe from flooding due to a revised flood map and either canceled their flood insurance or failed to purchase a policy. Today, only one in ten residents have flood insurance.

A New York Times article today chronicles how the number of people in Minot with flood insurance was cut in half in just a year.

Most people know this, but your standard homeowners policy doesn't cover flooding. If you want coverage, you must buy a policy from the National Flood Insurance Program.

Get a flood map or learn more about flood insurance.

Job opening: Chief market conduct examiner

Due to a retirement, we have a job opening for a chief market conduct examiner in our Seattle office.

The person will supervise the market conduct team of examiners, who work directly with insurance companies to determine compliance with consumer protection laws and regulations.

For more details, salary info, and more about the agency, travel requirements, etc., please see the full job listing.

If you want to stay up to date on any future openings at the Insurance Commissioner's Office, here's our job opportunities page.

Insurance companies and agents fined more than $750,000 this year in WA

Washington State Insurance Commissioner Mike Kreidler has fined insurance companies, agents and brokers more than $750,000 this year. Violations included charging unapproved rates and submitting false documents.
“These fines are the `teeth’ that help us protect insurance consumers,” said Kreidler. “It’s our job to see that the insurance industry’s playing by the rules.”

From January through mid-June, the insurance commissioner’s office has imposed $787,815 in fines. The largest, by far, was a $534,000 fine issued in January. More recent fines are listed below.

The money does not go to the agency. It is deposited in the state’s general fund to pay for other state services.

Any Washingtonian with a complaint against an insurer, agent or broker can contact the office at 1-800-562-6900 or file a complaint online at http://www.insurance.wa.gov/.

For a list of companies fined recently, read the press release here.

Pierce County man charged in insurance fraud case

A Tacoma man faces multiple charges after allegedly filing forged documents in an auto theft claim.

Cash B. Knott, 45, has been charged in Pierce County Superior Court with three counts of forgery, one count of insurance fraud, and one count of attempted 2nd degree theft.

On Nov. 6th, less than a month after getting coverage from Progressive Direct Insurance Co. for his 1992 Ford Ranger pickup, Knott filed a $5,674 insurance claim with Progressive. He said someone had scratched the paint, stolen his chrome wheels and tires, and stolen his navigation and entertainment system, 1,000 watt amplifier and other electronic components.

He provided Progressive with a Sept. 2 stereo shop invoice for $4,547.84 worth of stereo equipment, a copy of his check, and a bank statement showing the withdrawal from his checking account.

The problem: When contacted by an insurance adjuster, the stereo shop said it had no record of such a purchase. All they could find was that Knott had bought an amplifier -- for $109 -- on Sept. 2.

Insurance Commissioner Mike Kreidler's Special Investigations Unit obtained a search warrant for Knott's bank records. The bank found no checks written to the stereo shop, and none whatsoever for $4,547.84.

The upshot: The investigators believe that Knott altered the invoice, forged a check, and created a phony bank statement.

He's scheduled for arraignment on June 27th.

Job openings: Analyst and .NET developer

We have two job openings:

Functional Program Analyst 3 - The application period ends June 22.

.NET Application Developer - Open until filled. This is a limited-duration project, funded by a federal health care reform grant.

Note: The link to this post has been fixed. Sorry about that.

New free iPhone app guides you through steps after a car accident

AAA has released a new iPhone app that will walk you through the steps to take after an auto accident, including a list of information to gather for police and your insurers, photos to take, and a diagram of vehicle damage.

You don't have to be a AAA member. The app is free, and AAA says it's working on a version for other smartphones.

No smartphone? Here's a comprehensive auto accident checklist, put together by the National Association of Insurance Commissioners, that you should print out and keep in your car.

Here are the steps we recommend:

• Stay safe, but try to warn oncoming traffic of the danger at the scene. Turn on your hazard lights.
• If someone's hurt, give reasonable aid and call 911 immediately. Don't move them unless absolutely necessary.
• Notify the police.
• Give and get info for the accident report, including insurance information, license plates, names and contact information of those involved, including police and witnesses. Diagram the scene.
• If you can do it safely, take photos with a camera or phone.
• Call your agent or insurance company.
• Many experts advise not admitting fault or assigning blame, and only discussing the details of the accident with police or your insurer.

Things that can affect your auto insurance rates

A new survey says that more than half of Americans have recently made an economic-driven change that may affect how much they pay for car insurance.

The National Association of Insurance Commissioners survey found that:

• nearly 40 percent of respondents were driving less or taking public transportation more
• nearly 20 percent traded in a vehicle for a lower-priced model or got rid of a second vehicle entirely
• and almost 20 percent of drivers reduced or canceled their car insurance to save money -- something we do not recommend. You'll almost certainly pay more to get coverage later, and if you continue to drive without coverage, you expose yourself to potentially devastating financial liability.

(Bonus round: Here's a long list of NAIC tips for lowering your auto insurance premiums.)

Here are some of the changes that can affect how much you pay for insurance:

• You moved: A change in zip code may affect your premium, depending on crime statistics in the area.
• You changed cars: A lower-value car, not surprisingly, is usually cheaper to insure. If you're car's paid off and not worth much, you might consider saving money by raising your deductible or canceling your collision coverage. But keep your liability coverage.
• A new job, or no job: These can affect whether you commute, and how far.
• Driving less: Almost 40 percent of consumers said they're driving less. Many are walking or taking public transportation more often. If this sounds like you, you should talk to your insurer and see if you qualify for a low-mileage discount.
• Bad credit score: The weak economy, layoffs and the collapse of the housing market have left many people with battered credit. Most states, including Washington, allow insurers to use your credit information to decide how much to charge you. (Here in Washington, we have successfully fought to limit this practice, but have not yet been able to convince lawmakers to ban it entirely.)

Also, if you're struggling to find coverage here in Washington, we maintain an online list of companies offering policies for hard-to-insure drivers.

Insurance investigators shot and killed in Louisiana

Our hearts go out to our colleagues in Louisiana, where yesterday two Louisiana Department of Insurance fraud investigators were shot and killed while trying to gather information from an insurance agent.

Here's the statement from Louisiana Insurance Commissioner Jim Donelon.

According to the New York Times, the agent was found dead by SWAT team members after barricading himself in his business, where the shootings happened.

One accident, two claims: Seattle man charged with insurance fraud

A Seattle man has been charged with insurance fraud and second-degree theft for allegedly filing multiple auto insurance claims for a single accident.

Thanh Thai "Derrick" Dang, 31, was charged Wednesday in King County Superior Court. Both charges are class C felonies, carrying a maximum penalty of 5 years in prison and a $10,000 fine.

An investigation by the state insurance commmissioner's Special Investigations Unit found that in May 2010, Dang contacted insurer Ameriprise to say that his Toyota RAV4 had been hit by a hit-and-run driver while parked outside a home in Seattle. Ameriprise issued a check for $3,887.

Eight days after the accident, Dang obtained coverage over the internet from Allstate. Almost immediately, he filed a claim with Allstate for damage to the RAV4, saying that the car had been rear-ended while he was driving on Interstate 5. He also claimed that he'd been injured. Allstate issued a check for $3,502 for repairs to the vehicle.

A subsequent investigation by Allstate's anti-fraud unit showed that the RAV4 damage was identical in both claims.

A hearing in Dang's case is scheduled for June 13th.

Chiropractor pleads guilty to making false statements under oath

A chiropractor with several clinics in Pierce and King counties has pleaded guilty to making false statements under oath during insurance-related depositions.

Alnoor Haider Bhanji, 43, of Issaquah, pleaded guilty to three counts of false swearing in King County Superior Court on Tuesday.

In depositions in three different lawsuits (in 2007, 2008 and 2010) involving insurers, Bhanji lied under oath. The false statements included:

• claiming that he didn’t know who owned his Federal Way clinic building,

• claiming that his brother was not associated with the chiropractic business in any way,

• and repeatedly denying knowing an individual who had a long history of bringing patients to Dr. Bhanji.

Each count is a gross misdemeanor with a maximum penalty of one year in jail and a fine of $5,000.

Sentencing is set for June 17.

How does a ticket affect my insurance rate?

A new study shows just how damaging speeding tickets or other moving violation citations can be to your insurance rates.

Insurance.com did an analysis of more than 32,000 insurance policies sold last year, and concluded that a single violation on a driver's record drove up rates by an average of 18 percent. Drivers with two violations paid an average of 34 percent more, and those with three paid 53 percent more.

Some of the violations that affect your auto insurance rates are no surprise: a DUI, for example, or fleeing from police, or wrong-way driving. But an improper passing citation also counts, as does failure to use a proper child restraint.

What typically doesn't count? Parking tickets.

Your driving record, of course, isn't the only thing that auto insurers consider. Here are some of the other factors that affect the cost of your auto insurance.

Medicare phone scam reported

The state attorney general's office is warning about a phone scam that attempts to get people to reveal their banking information, supposedly as a way to get a special Medicare card.

From the post:

"Remember, government programs will never make unsolicited calls seeking financial or health information. Anyone who does so is a crook."

Click on the link above for more information about the scam -- as well as a similar one that the Nevada AG is warning about.

Filing a Holocaust-related life insurance claim

This morning's New York Times had a story about the ongoing struggle for Holocaust survivors to collect on life insurance policies.

The International Commission on Holocaust-Era Claims, which helped collect more than $1 million for Washington state claimants, stopped accepting claims in March of 2007. But you may still be able to file a claim. The following companies have agreed to accept post-deadline Holocaust-era claims directly from individuals:

• Generali
• Allianz
• AXA
• Winterthur
• Zurich
• as well as their affiliates and other German companies.

Also: After the closure of the international commission's claims period, Washington state's Holocaust Survivors Assistance Program has continued to help some claimants recover money from the Austrian General Settlement Fund.

For help or questions -- if you're a Washington state resident -- contact our office at 1-800-562-6900. (If you live in another state, here's a list of contact information for other state insurance departments.)

Our 2010 annual report

We've just posted our annual report for calendar year 2010.

It can tell you things like:

• Washington premiums for earthquake insurance last year ($118 million). Claims were almost nonexistent.
• Medical malpractice insurance premiums totaled ($157 million).
• Who the top 40 companies are, for each line of insurance business.
• Accident and health coverage is a $14 billion business in Washington.
• Health insurers pay out an average of nearly 86 cents for every dollar in premiums they collect.
• Mortgage guaranty insurance, due to the housing market turmoil, has seen a big surge in payouts over the past few years, and continues to lose money. Last year, these policies paid out nearly $1.76 for every dollar in premiums they collected.

And if you want to compare data year-to-year, we've posted all our annual reports online since 1998. (Here's an interesting one: Take a look at mortgage insurance claims in 2005, for example, compared to the last couple of years.)

New report: Fixed-payment insurance policies decreasing in Washington state

Fixed payment insurance plans pay a specific amount -- $25 per doctors visit, say, or $200 a day for a hospital stay -- regardless of the bill. The patient pays the rest.

Plans like this allow employers a way to buy minimal coverage for employees. But it's not comprehensive health insurance. The medical bills may be much more than what the plan pays out.

Each year, we survey fixed-payment companies doing business in Washington state, and compile the results into a report on fixed payment insurance plans.

Here's what we're seeing:

• Sales for group policies have decreased significantly, as has the number of group enrollees. (Group enrollees decreased by 88 percent.)
• Among individual plans, the number of policies and enrollees both decreased.

The full report -- click on the link above -- includes a breakdown in the number of policies sold by each company.

Have a serious medical condition and need health insurance?

Do you have pre-existing condition and need health insurance? Here’s how the new federally-funded Pre-existing Condition Insurance Plan helped a local Olympia man:

Dusty of Olympia, is a 28 year-old with lymphoma. When he was 25 he started his own business. In order to save money he chose not to purchase health care insurance - like others of his age, he felt he could take the risk. Six months later he was diagnosed with stage 4a lymphoma. He received treatment and owes over $200,000 in medical bills. He hadn’t been to the doctor in months because he could not afford any treatment that may be recommended and didn’t want to add to his debt.

Dusty learned about the new Pre-Existing Condition Insurance Plan (PCIP-WA) from one of our employees who met his girlfriend. Today, he’s enrolled in PCIP-WA and finally receiving the care he needs. Here’s what he had to say about the plan:

“As of this July this year, I’ll have been in remission for three years. The
Pre-existing Condition Insurance Plan lets me get all of my tests and everything
is showing that I’m still clear. Life is going really well! My partner and I are
expecting a baby in August and we’re excited.”

If you have a pre-existing condition medical condition and need health insurance – or know of a family member or friend in need, tell them about PCIP-WA today.

Who can apply?
How much does it cost?
How does the plan work?

Apply today!

How to look up info on your agent or broker (plus the answer to the quiz)

Last week we posted a quiz question: How many agents and brokers are licensed in Washington state?

Out of three choices, about half picked the right answer: 118,415.

If you want to check your agent's credentials, find a broker in your area, look for past disciplinary cases, etc., take a look at our new online lookup for agents and brokers.

If you want to also look at company cases, check our insurance disciplinary orders search engine.

Quiz: How many agents and brokers are licensed in Washington?

We've posted a one-question quiz: How many agents and brokers are licensed in Washington state?

You can pick an answer in the poll box, which on the lower right-hand side of this web page.

Check back --we'll post the correct answer in a few days.

More than 1/4 of hospital emergency rooms in non-rural areas have closed in the past two decades

More than a quarter of urban/suburban hospital emergency rooms have closed in the past two decades, researchers have found.

The Journal of the American Medical Association published the study, titled "Factors Associated With Closures of Emergency Departments in the United States." The researchers found that the number of non-rural emergency rooms declined from 2,446 to 1,779 between 1990 and 2009. That's a decline of more than 27 percent.

Health insurance rates, by state

What's an average health insurance premium?

The Commonwealth Fund recently came out with a lengthy report summarizing state trends in health insurance premiums and deductibles from 2003 through 2009. (The upshot: premiums rose 41 percent nationally during those years, while per-person deductibles jumped 77 percent.)

In Washington state, the study found, the cost of premiums rose 38 percent between 2003 and 2009, with family coverage costing an average of $12,758 here in 2009.

How's that compare to everyone else? About in the middle. In a list of the 50 states plus Washington, D.C., from highest family premiums to lowest, we come in 28th.

Also, the Kaiser Family Foundation does an annual survey on employer health benefits. The most recent one -- based on data from January through May 2010 -- found that premiums had risen 114 percent from 2000 through 2010, to a national average of $13,770. Worker contributions during the same time rose -- brace yourself -- 147 percent. (Here's a link to the gigantic full health benefits report.)

Recent cases from our consumer files

Got an insurance question or problem and live in Washington? We may be able to help. (We're the state insurance regulator for Washington.) Give us a call at 1-800-562-6900 or e-mail AskMike@oic.wa.gov.

What kinds of things do we deal with? Here's a sampling of cases from last month:

• We convinced a health insurer to pay an additional $3,000 in surgery claims for a patient.
• We got another insurer to pay more than $10,000 in claims that had been denied due to what the company maintained was a pre-existing condition.
• We helped a Seattle consumer resolve claim delays on his mother's life insurance policy, leading to a $25,000 payment, plus interest.
• When a health insurer repeatedly refused to pay claims because the patient's birthdate on the claim forms didn't match what they (erroneously) had in their records, we got the situation resolved and the claims paid.
• And we helped mediate a dispute over a totaled vehicle's value, meaning that the consumer got nearly $1,000 more than originally offered.

New study: Dog bites account for 1/3 of homeowners insurance liability claims

The Insurance Information Institute, an industry-funded research group, has released a study saying that dog bites account for more than one third of all homeowners insurance liability claims last year.

The total: nearly $413 million, which averages out to more than $26,000 per claim.

The number of claims dropped slightly in recent years, although the cost of the claims rose.

According to the III, there were 15,770 dog bite claims filed last year. According to the federal Centers for Disease Control and Prevention, 4.5 million Americans are bitten by dogs each year, with one in five of those bites needing medical care.

Update: Also, here's a summary of Washington's dog bite liability laws from, yes, the website dogbitelaw.com. (Thanks to Fritz for passing that along, and all these links come with our usual disclaimer: linking ≠ endorsement.)

Seattle woman pleads guilty to insurance fraud

A Seattle woman has pleaded guilty to insurance fraud after claiming $6,503 for auto damage that occurred prior to getting coverage.

Margaret Balderama told Seattle police and her insurance company, GEICO, that she was driving home shortly after midnight on July 5, 2010 when an unknown vehicle hit her 2005 Honda CRV and fled the scene.

She had renewed her auto insurance policy that very afternoon. (It had been cancelled for nonpayment more than 7 months earlier.)

The problem: Area residents told an investigator that they'd seen the car with extensive damage nearly 24 hours earlier than Balderama claimed -- and hours before she called GEICO to renew the lapsed policy.

Balderama pleaded guilty to a gross misdemeanor charge of insurance fraud on April 25th. Sentencing is slated for May 13th.

Free help with insurance complaints, questions and problems

We offer free insurance help to Washington state residents. (We won't try to sell you anything; we're the state agency that regulates the insurance industry.)

You can call us at 1-800-562-6900 or e-mail AskMike@oic.wa.gov. We have staff insurance experts who can answer questions or help you file a complaint about an insurance company or agent.

In many cases, you can even track the status of a complaint online, seeing what we send to the company, their response, etc.

(Not a Washingtonian? Contact your state's insurance regulator.)

Here are some real-life examples of the sorts of cases we've handled recently:

-A business owner near Yakima was hosting a business event, but couldn't get a copy of her insurance certificate from her company. With time running out, she had to buy additional coverage to make sure she was covered. She complained to us, and we got the company to refund the cost of the extra coverage.

-An insurer offered $1,695 for a totalled vehicle. We helped get the consumer $3,250 -- plus tax, title and license fees.

-When a Puget Sound man's trip was delayed, boosting his costs more than $7,000, his travel insurance company paid him $3,266. We got them to boost that by an additional $4,035.

-We helped speed up payment on a delayed claim for a mobile home fire. The amount: $74,362.

University Place man pleads guilty to insurance fraud

A University Place, Wash. man has pleaded guilty to felony insurance fraud after lying about the cause of a Pierce County crash that damaged his Jeep.

Warren Gardinier, 22, was sentenced on April 20th to 40 days in jail (concurrent with an unrelated firearms charge) and ordered to pay court fees and a victim penalty assessment.

On Dec. 9, 2009, Gardinier told the Tacoma Police Department that another vehicle had clipped his red 1996 Jeep Grand Cherokee, causing him to spin out of control, into a fence and then into a tree. He and a passenger sustained minor injuries. The vehicle was insured by his 26-year-old sister for liability coverage only. (Liability coverage will pay for damage you cause to someone else or their property, but not damage you cause to your vehicle or yourself.)

Gardinier called his sister. She called State Farm 36 minutes after the wreck and added uninsured motorist coverage.

Five days later, the two told State Farm the damage stemmed from a hit and run collision Dec. 10. State Farm paid $4,523 for the damage to the Jeep.

Unbeknownst to Gardinier and his sister, however, a witness had seen the crash and called 911. The witness -- who followed the Jeep and got the license plate number -- said there was no other vehicle involved. He said that Gardinier's Jeep had been speeding erratically, fishtailing, and driving off the shoulder and across the road. After several swerves, the witness said, Gardinier's Jeep crashed into the fence and rapidly left the scene.

That 911 call took place before Gardinier's sister called State Farm.

Gardinier's sister agreed to pay full restitution to State Farm. When she has paid that in full, an insurance-fraud charge against her will be dismissed.

Washington state to bar insurer from writing new coverage

(Updated -- see note at bottom of this post.)

Washington State Insurance Commissioner Mike Kreidler has issued an order barring Ability Insurance Company, of Omaha, Neb., from writing new policies in Washington for the next six months.

The order, issued Wednesday, takes effect in 10 days.

The order stems from the company’s failure to honor long-term care coverage that lapsed after a senior citizen with dementia failed to make her payments. In such situations, state law allows a consumer to reinstate coverage within five months of the policy’s lapse.

“Situations like this are exactly why we have this law,” said Kreidler. “It protects people who, through no fault of their own, have lost the ability to keep up with their financial records.”

The suspension does not affect the company’s duties under current policies. The company can also continue to renew existing policies.

In this case, the company on March 20, 2009 sent the woman a notice of non-payment, warning that her policy would lapse unless paid within the next 35 days.

When her daughter called the company about a claim on Aug. 4, 2009 – well within the five-month period – the company failed to tell her that the policy had lapsed. The daughter didn’t learn of the lapsed policy until she checked her mother’s mail in September. This was still well within the five-month period.

Nonetheless, the company refused to reinstate the coverage. It contended that the five-month window started the day the premium was due, not at the end of the 35-day period mentioned in its March 20 letter.

Also Wednesday, Kreidler issued a cease-and-desist order telling the company to stop violating state law in such cases. He is also imposing a $10,000 fine on the company.

The company has the right to demand a hearing.

Update on May 4, 2011: Ability has requested a hearing, which automatically stays the suspension pending the outcome of the hearing.

How to file an appeal when a health insurer denies your claim

Picture this: Your 24-year-old daughter is seriously injured in a snowboarding accident. She suffered head injuries. She's heavily sedated. Your doctor wants to do urgent surgery to stem internal bleeding. It will be costly. But your health insurer refuses to authorize the surgery.

What do you do?

In the past, your options were to pay for the procedure yourself, get another opinion that will be less costly or do nothing. All are bad choices and time is critical.

We've posted a new "appeals kit" designed to help when insurers deny requests to authorize a particular service -- or to pay a claim afterward. The site can help you challenge decisions and appeal denials. We're one of the first states to compile this information into a one-stop, consumer-focused site.

In the case above, you'd have several choices:

• File an urgent appeal with your health insurer.
• If the insurer still says no, you can appeal to an independent third-party group made up of health care professionals. They can overrule your insurance company and make it pay. (Over the last three years, nearly 1 in 4 appeals that were sent to an independent review organization by a health plan ruled in favor of Washington consumers.)
• You can sue.
• Or you can file a complaint with our office. 

All this can be complicated, depending on your type of coverage, type of appeal, and the timeline. But the online guide walks you through those options, with a handy worksheet to keep track of key information, etc.

Check it out.
(Corrected two links. Thanks to Public Data Ferret for the heads-up.)

How to find old life insurance policies (and other unclaimed property)

The case: A woman recently called us, trying to track down a life insurance policy that her grandmother had bought in 1971. The policy had been sold by one company to another.

"Makes me wonder how many policies go unclaimed," she said.

A lot. According to the New York Times, hundreds of millions of dollars each year.

So how do you track down a relative's old policy?

• Gather as much information as possible: name, insurer and any relevant documents. Try to find the policy itself, which will have a number on it. Make sure you have a copy of the death certificate.

• Tip: If you can't find the company, try going through the person's financial records, looking for payments made to an insurer. Also, look through old mail -- the company may have sent periodic statements or billing reminders. If you know which company they had their auto= or homeowners coverage with, consider contacting that company. People often use the same insurer for life insurance.

• Then, make sure the company still exists, or if it merged with another company. If you live in Washington state, we can help with this, for free. Call us at 1-800-562-6900. If you live in another state, call your state's insurance regulator for help.

• If you can't find any information, even the name of the company, you may want to pay a search company to run your relative's name against insurance industry databases or to contact a large number of insurers directly. Examples include companies like MIB Solutions or The Lost Life Insurance Finder Expert. (Note: mentioning a company or product on this blog ≠ endorsement.)

• If the policy goes unclaimed for a long time, insurers are supposed to turn the money over to state unclaimed property funds. Run your relative's name through these free, state-run online search sites. Here's Washington state's official unclaimed property site. And here's a list of similar official unclaimed property sites in other states.

• Tip: Online companies can also search for unclaimed property for you, but with a little time at your computer and the sites listed above, you can do the same thing, for free, yourself.

As for that life insurance case, we helped the woman figure out the current company holding the policy and file a claim.

"This is incredible," she wrote. "We can't thank you enough."

Bonus round: Here are our tips if you're buying life insurance or an annuity.

8 things to know about pet insurance -- and what's it cost?

1) What's it cost? Here in Washington, according to rates filed with our office:

• Coverage for cats ranges from $83 to $926 a year; most policies are $150-$250 annually.
• Coverage for a dog ranges from $107 to $1,059 a year, but most coverage is between $225 and $400 annually.

2) Coverage varies a lot. Some policies cover a broad range of things: accidents, sickness, surgery, x-rays, drugs, hospitalization, cancer treatment, etc. Others are much narrower, covering accidents and illness after a waiting period.

3) Look for exclusions. Insurers consider hereditary conditions pre-existing conditions and may exclude them or limit coverage. They may also exclude or limit coverage for incurable conditions like diabetes or cancer.

4) Qualifying: A vet may have to examine your pet and certify its health before you can insure it.

5) The rules can change when the policy renews. If your pet's treated for something, some insurers may consider that a pre-existing condition when the policy renews, meaning they'll exclude coverage for it.

6) And they can change based on your type of pet. Exclusions may vary by type of pet and breed.

7) Who pays the bills? Some companies will pay the vet directly, but often you'll be responsible for the full amount at the time of treatment.

8) Which vet? Some insurers will require you to use a specific network of vets.

For more specifics, please see our pet insurance page.

Two agents lose their licenses for misappropriating clients' money

Insurance Commissioner Mike Kreidler has taken action against two insurance agents who misappropriated thousands of dollars from their clients.

• Nancy M. Bishop, of Puyallup, has been notified that the insurance commissioner’s office refuses to renew her insurance license. She has been barred from doing insurance business in Washington and ordered to repay consumers more than $131,000.

A state examination of Bishop’s business records revealed that she violated state insurance laws in dozens of instances, including repeatedly accepting premium payments for policies that did not exist, and keeping the money herself. She also wrongly kept some clients’ refunds and issued false certificates of coverage.

The examination found that Bishop owes dozens of Washington consumers more than $131,000, including overcharges and misappropriated funds.

The violations, according to Kreidler’s order, show Bishop to be “untrustworthy and a source of injury and loss to the public and not qualified to be an insurance producer in the state of Washington.”

• Isaac Mayanja, an agent in Redmond, has had his insurance license revoked.
In 2010, a state investigation determined that Mayanja sold at least 19 unapproved annuities to Washington residents. He also repeatedly engaged in the unauthorized withdrawal of clients’ funds, including forgery and misappropriation of their money.

Specifically, he submitted withdrawal forms totaling $15,570 for several clients’ annuities, changing their addresses on the forms to his own address and then transferring the money to his own personal bank accounts.

In both cases, the agents have the right to demand a hearing. The orders take effect immediately.

Important: Open enrollment for many kids ends April 30th

We cannot say this enough: If you want to buy an individual health plan for your child or enroll them in your individual health plan, you have until April 30 to do it. Do not delay.

Individual coverage is typically bought by people who don't have access to employer-sponsored coverage, or whose employer doesn't cover dependents.

The next open-enrollment period for kids this year won't be until Sept. 15 through Oct. 31.

For more on this, please see our March 14 news release.

Seattle couple pleads guilty in storm-damage insurance scheme

The owners of a Seattle construction company have pleaded guilty to attempted theft for an insurance-billing scheme based on inflated storm-cleanup bills.

James and Cheryl-Lin Philo pleaded guilty March 25th in King County Superior Court to two counts of second-degree attempted theft. In addition, their company, Philo Construction Co., of Seattle, is guilty of one count of first-degree theft.

An investigation by Insurance Commissioner's Mike Kreidler's anti-fraud unit found dozens of cases of apparent fraudulent billing by the company.

Here's what happened: In December 2006, a major windstorm swept across Washington, knocking down trees and causing substantial damage to a numerous homes. The Philos hired subcontractors to remove many of those trees from customers’ homes.


In March 2007, a former employee contacted our office, saying that Philo was submitting inflated invoices to insurers. Other workers provided information as well.

An investigation by the agency’s Special Investigations Unit, working with more than 15 insurance companies, found that the Philos had been asking their subcontractors for two invoices for each job. The Philos paid the subcontractors the smaller amount, and then submitted the larger invoice to their customers’ insurance companies for reimbursement.

The markup averaged close to 30 percent, plus another 20 percent that insurers allow for profit and overhead. For example, a $2,150 bill from a tree service company was reported to the insurer as a $2,795 job. Once profit, overhead and sales tax were added, the Philos were paid a total of $3,649.

The Philos also created a fictitious company, Pro Line Construction Resources, to act as a subcontractor when they needed to support a particularly high estimate.

The Philos were each assessed a $500 victim penalty assessment. They'll also pay restitution totalling $19,849.15, and $220 in court costs.

Samaritan Ministries ordered to stop offering unauthorized insurance in Washington state

This post has been updated. See below.

Washington state Insurance Commissioner Mike Kreidler on Friday ordered a health-care sharing ministry to stop offering unauthorized insurance in Washington.

Illinois-based Samaritan Ministries International, a nonprofit corporation, maintains that its member “need-sharing” program is not insurance. Under Washington state law, however, the program is considered insurance.

Insurers doing business in Washington must register with the state, submit their policies and rates for review, and meet state financial solvency requirements. Samaritan Ministries hasn’t done any of those things.

Kreidler on Friday issued a cease-and-desist order telling Samaritan to stop engaging in the unauthorized business of insurance in Washington state, which includes organizing the transfer of money between members.

“Our insurance laws exist to protect consumers and make sure that insurers live up to their promises,” said Kreidler. “Members of groups like this don’t have those protections.”

Samaritan Ministries members agree to pay monthly shares of $135 to $320 to other members who have medical costs, plus a $170-a-year administrative fee. A separate program is available to cover auto-accident injuries.

Members submit medical claims, and the group directs members to send their money to members with medical bills. The group says it has a total of 15,500 members in all 50 states, with shares totaling about $3.5 million per month.

The cease and desist order includes Samaritan Ministries International, its Christian Health Care Newsletter and 20 individuals.
Samaritan Ministries has the right to demand a hearing. The order takes effect immediately.

Update (5/31/2011) The order has been rescinded. On May 11, 2011, Washington Gov. Chris Gregoire signed Senate Bill 5122 into law, excluding health sharing ministries such as Samaritan from regulation under the Washington state insurance code.

Kreidler: Premera doesn't want you to see what's behind your health rates

 

 

Insurance Commissioner Mike Kreidler called out Premera Blue Cross for attempting - again - to gut a bill that would give the public access to health insurance rate filings.

 

"I'm extremely disappointed in Premera," said Kreidler. "Their latest attempt to gut our legislation is very troubling. What don't they want the public to see?"

  

Kreidler's proposal (ESHB 1220) makes the information in a health insurance rate filing public shortly after his office receives it. This includes how much of the proposed rate will go to:

  

• Pay medical claims
• Cover administrative costs -- including salaries
• Profit

 

Kreidler added, "People who pay their premiums year after year -even when their rates go up - deserve to see what's behind those increases. Today, state law prevents me from sharing that information with the public. Now, more than ever, people struggling to pay for health insurance deserve full transparency."

 

Under the latest amendment sought by Premera, the public would see only summaries of rate filings, and only for those filings with increases greater than 10 percent. They could not see the entire rate filing.

 

"Premera's latest attempt to water down transparency is nothing more than a cruel charade on the public," said Kreidler. "Giving people a pre-canned summary of only certain rate filings is meaningless. Washington consumers deserve better."

 

A vote on the bill could come as early as tomorrow.

 

Read the full release and see letters of support from two other major health insurers.

WA insurance commissioner issues more than $167,000 in fines against insurers

Insurance Commissioner Mike Kreidler has fined insurance companies more than $167,000 for violations including wrongly denying medical claims and overcharging customers.
“It’s important that companies follow the law, and when they don’t, we’ll hold them accountable,” said Kreidler. “Consumers, competitors and the marketplace all rely on insurers following the rules.”
In 2010, Kreidler’s office levied $583,750 in fines. Fines collected by the state insurance commissioner’s office do not go to the agency. The money is deposited in the state’s general fund to pay for other state services.
Fines and disciplinary actions so far this year include:
■Aetna Life Insurance Co., of Hartford, Conn., was fined $65,000 for violations, including unreasonably denying 220 claims for acupuncture treatment. The company also refunded $16,427 to policyholders.

■Ace American Insurance Co., of Philadelphia, Penn., was fined $50,000 for violations, including using rates that it had not filed with the state.

■Progressive American Insurance Co., Progressive Northwestern Insurance Co, and Progressive Max Insurance Co, all of Mayfield Village, Ohio, were fined $30,000 for improperly deducting sales tax and fees from cash value calculations in more than 1,700 auto claims. The company also refunded $415,299 to customers.

■Homesite Insurance Company of the Midwest, of Mandan, N. Dakota, was fined $12,000 for overcharging more than 300 policyholders for renter’s insurance. The policyholders are receiving refunds.

■Austin Mutual Insurance Co., of Maple Grove, MN, was fined $10,000 for issuing insurance policies that weren’t in accordance with the rates it had filed with the state. As a result, 324 policyholders were overcharged a total of $26,200. The company also agreed to refund the overcharges to policyholders within 60 days.

■Doctors and Surgeons Benefit Association, of Charlestown, Nevis, West Indies; and several related entities were ordered to stop selling unauthorized insurance in Washington state.

In addition, Kreidler also took the following actions against agents or brokers:
■Mitchell A. Steitz, of Cashmere: License revoked, effective March 31, for misappropriating $12,500 from clients and spending it himself, rather than investing it.

■Allen D. James, of Sumner, agreed to pay a $1,000 fine for failing to promptly pay a premium refund to a client.

For details on cases, please see the agency's disciplinary orders site.

Tom Hanks sues his insurance broker

Actor Tom Hanks and his wife, Rita Wilson, are suing their former insurance brokers of 20 years, alleging that the brokers:

-falsely inflated and overcharged the couple, "misrepresenting the amounts of the premiums on insurance policies"
-"altering insurance documents and related records to conceal their fraudulent scheme"
-"and...taking other acts to engage in, and conceal, their embezzlement scheme through manipulation and deceit."

(All these quotes are from the Hanks' legal complaint.)

How much, you ask? The complaint says "hundreds of thousands, if not millions, of dollars."

How'd they find out? The couple last month got a new broker, who promptly told their business managers "that he was concerned that the insurance premiums from policies in the last year to two years appeared extraordinarily high for the coverage provided."

The complaint also alleges that the brokers illegally issued certificates of insurance without appointments, charged the Hanks for insurance that was never procured (or overcharged them), and bought "unecessarily duplicative insurance coverage," among other things.

Free app helps you create a home inventory

If you're like most of us, you know you need to create a home inventory, but you haven't taken the first step.

The National Association of Insurance Commissioners has just made it easier. They've developed a cool app for your iPhone - and it's free.

The myHOME app helps you capture photos, bar codes and serial numbers of your items. It also organizes the information for you, room by room, and creates a back-up file for e-mailing.

Need health insurance for your kids?

If you'd like health insurance for your kids - don't wait to enroll! You have until April 30 to get an individual health plan or add them to your coverage. (Individual plans are for people who don't get health insurance through their employer).

Until April 30,you can get health insurance for your kids without having them take a health screen.

Use this map to see which companies are available in your county. Then, contact the company directly to enroll. If you have any problems, call our Insurance Consumer Hotline at 1-800-562-6900.

The next chance to get an individual plan for your kids is Sept. 15-Oct. 31. There are some exceptions for people to enroll outside of these time periods. You must apply 31 days after one of the following events:

• You no longer qualify for a state program.


• You lose your coverage due to a divorce.


• You lose your employer's health plan (including COBRA).


• You move and your plan is not available where you live.


• Also, parents or guardians can apply year-round for a health plan with 60 days of birth, adoption.

More tips and what if you miss an enrollment period?

How do you get tsunami insurance?

How do you get tsunami insurance?

Buy a flood policy.

Earthquake coverage generally doesn't include damage and flooding from a tsunami. But flood policies under the National Flood Insurance Program, a federally run program that insures millions of homes and businesses, do cover tsunami damage. The surge of water is treated the same way as a storm surge from a hurricane would be.

We double-checked this with the NFIP, which steered us to the following definition of flood in the National Flood Insurance section of federal law:

Sec. 1370 (42 USC 4121)

(1) The term “flood” shall have such meaning as may be prescribed in regulations of the Director and may include inundation from rising waters or from the overflow of streams, river, or other bodies of water, or from tidal surges, abnormally high tidal water, tidal waves, tsunamis, hurricanes, or other severe storms or deluge.

The federal flood program has issued more than 5 million policies across the country, insuring more than $1.2 trillion in property. Here in Washington state -- a quake-prone region with hundreds of miles of coastline -- some 51,000 policies are in force. Coverage is particularly heavy in places like Centralia, Aberdeen, King County and Snohomish County.

Here's a plain-language summary of federal flood coverage.

And we should also point out that the federal program does not cover things like business-interruption coverage, which can be crucial for businesses. Also, NFIP commercial coverage maxes out at $500,000 for a building and $500,000 for contents. The good news: insurance brokers can find additional flood coverage for you, often through what are called surplus line insurers.

WA insurance agent arrested in alleged $1 million theft

Investigators from the Washington state insurance commissioner’s office on Tuesday arrested a King County woman on suspicion of stealing more than $1 million in retirement funds from five elderly insurance clients.

Jasmine Jamrus-Kassim, of Kent, was arrested in Factoria by members of the insurance commissioner’s Special Investigations Unit and the Washington State Patrol. She was booked into the King County Jail on 21 counts of first-degree theft.

“This is an appalling abuse of trust,” said state Insurance Commissioner Mike Kreidler. “Vulnerable people trusted this agent with much of their life’s savings. And she just pocketed the money.”

A months-long investigation by Kreidler’s office found that several of Jamrus-Kassim’s clients repeatedly cashed out large portions of their annuities with Bankers Life and Casualty. Jamrus-Kassim was an agent for the insurer.

“We want to see justice done,” said Kreidler. “We also want to see if there’s any way to make these victims whole. We’re still investigating to what extent Bankers Life may have any liability for the actions of their agent.”

The victims, who ranged from age 74 to 90, typically made out their checks to “S.A. Saad” and gave them to Jamrus-Kassim. Several said they believed that S.A. Saad was an insurance company official. They thought their money was being reinvested.

In reality, Jamrus-Kassim has two daughters, both with the initials and surname “S.A. Saad.” Most of the money was deposited briefly in the girls’ accounts, then moved to Jamrus-Kassim’s personal credit union account. Jamrus-Kassim’s financial records show thousands of dollars spent on clothes, jewelry, and a trip to Mexico. They also show large payments to online psychic advisors, including $20,000 in charges from one psychic website in one month.

In total, Jamrus-Kassim is believed to have stolen at least $1,052,088 from the five victims between late 2007 and late 2009. She returned $25,503 to a 90-year-old Renton woman after the woman complained to the insurance commissioner’s office. That’s one of two complaints that triggered the state investigation.

Jamrus-Kassim submitted a letter of resignation to Bankers Life on Jan. 13, 2010.

Subsequent investigation by state insurance officials found three other victims. Last week, investigators interviewed an 83-year-old Seattle man who had no idea that Jamrus-Kassim had taken his $352,000.

Want a health plan for your kids? Enrollment starts today

If you're looking to add your children to your own individual health plan or want to buy health insurance for your children, you have from today through April 30 to do so.

Be sure to apply early. In most cases, applications received after March 20 will not have coverage until May 1.

This is the first of two open-enrollment periods this year for children in the individual health insurance market -- the second is from Sept. 15-Oct. 31. During these times, health plans cannot screen children or deny them coverage because of a pre-existing medical condition.

Federal health care reform prevents health insurers from deny coverage to children because of a pre-existing medical condition. However, individual plans -- like most employer-sponsored health plans -- can create open-enrollment periods.

If you need a health plan outside of the enrollment dates, you can apply either to the Washington State Health Insurance Pool (WSHIP), or if you qualify, to the new Pre-existing Condition Insurance Plan (PCIP-WA).

Exceptions where you can apply for individual coverage anytime include the birth or adoption of a child or if a child or parent:
No longer qualifies for a state program.

• Loses coverage due to a divorce.
• Loses employer-sponsored coverage (including COBRA).
• Moves and their plan is not available where they live now.

In 2014, when the full federal health reforms take effect, no one of any age can be denied health insurance because of a pre-existing condition.

What a Seattle tsunami would look like

Due to a spike in visits, we're reposting this post:

The experts say it's inevitable that the Seattle area will be hit with another tsunami similar to the one from 1,000 years ago. Here's a computer-generated video of what a tsunami hitting Seattle would look like:

(video courtesy of NOAA's Center for Tsunami Research)

The animation assumes a magnitude 7.3 quake on the Seattle Fault.
Here are similar projections, based on a 9.1 quake, for Long Beach, Ocean Shores, and Bellingham, all modeled on a quake similar in size to what Japan experienced last week. (These are very big files; give them plenty of time to load. Smaller, less-detailed versions are at the NOAA link above.)

Daylight savings time: Move your clocks AHEAD 1 hour

OK, so this has nothing to do with insurance. But just a friendly reminder: Daylight Savings Time begins at 2 a.m. Sunday.

Don't forget to move your clocks ahead 1 hour.

Why to wear your seatbelt

A British team put together this extraordinary video to encourage people to wear seat belts. It's a big change from the scary crash ads we've all seen -- and it's probably more effective.

What a tsunami would look like in Seattle

The experts say it's inevitable that the Seattle area will be hit with another Tsunami similar to the one from 1,000 years ago. But now we have the technology to show you what it would look like.

(video courtesy of NOAA's Seattle Inundating Mapping Project)

Tsunami and insurance - what's covered

A Tsunami advisory was issued today in response to Japan's 8.9 earthquake. An advisory means that a tsunami capable of causing strong currents or waves dangerous to people near the coast is expected --- although widespread flooding is not expected.

What counties are affected? Check Washington's Emergency Management Division site for specific county information.

If you're concerned about property damaged by flooding or high waves, the National Flood Insurance Program has helpful information on:

Preventing flooding around your home
Sandbagging
Pumping out a flooded basement
Protecting your home from back flow
Cleaning up and drying out your home

Unfortunately, if your home, business or property is damaged by increased waves or flooding, your typical homeowner's policy or commercial policy most likely will not cover it. You must have a flood insurance policy from the National Flood Insurance Program

Learn more about flood insurance, See if your home or property is in a flood zone and if so, what's your level of risk.

"My dog was hit by a car. Will the driver's auto insurance cover the vet bills?"

Here's what happened: A woman was walking her dog. Both got hit by a car. Both survived.

The woman's medical bills were covered by the driver's Personal Injury Protection (PIP) coverage. (This is a little-known fact, by the way: PIP also covers pedestrians.)

But for the dog, the insurer only offered what it considered the animal's value: $75. The company wouldn't pay the veterinary bills for the badly injured dog.

The sad fact for pet owners is that under insurance law, pets are considered personal property. An auto policy's medical coverage doesn't cover pet injuries. Under the law, it's as if the driver had struck a mailbox. The company estimates the value of the personal property, then offers to pay that amount.

That said -- and this is not legal advice -- the owner might be able to sue the driver for the dog's medical expenses, as they are part of the dog owner's damages and may be covered under liability for property damage. But the owner would have to weigh the costs involved.

And if the animal was a fancy show dog, for example, the owner could likely prove a higher value for the dog. Our Consumer Advocacy folks once helped intervene to get a higher insurance payment for a dead goat.

The key point, however, is probably this: It often pays to buy health insurance for a pet. Here in Washington state, 11 insurers sell a total of 39 different policies covering pets. Some cover accidents only. Others include annual physicals, vaccines and cancer coverage. Most cover only dogs or cats; one company also offers coverage for birds and exotic pets. Every policy offers a multi-pet discount, and some offer discounts for pets with a microchip, etc.

What's it cost? According to the rates they've filed with our office,

• Coverage for cats ranges from $83 to $926 a year; most policies are $150-$250 annually.
• Coverage for a dog ranges from $107 to $1,059 a year, but most coverage is between $225 and $400 annually.

Bill to end secrecy of health insurance rate info passes WA House

A bill that would let the public see far more health insurance rate information has passed the Washington House of Representatives.

Under state law, Washington Insurance Commissioner Mike Kreidler's office is now barred from releasing virtually all the information that insurers submit to justify premium increases. House Bill 1220 -- requested by Kreidler -- would end that secrecy.

"In today's tough econmic climate, people deserve to see where their money's going," said Kreidler

Here's a link to a press release about the bill.

Power restored at our main building

Just fyi: Our main office in Tumwater, lost power at about 9:19 this morning. It's still out. Many of us are working on backup power.

UPDATE: Power's back on. (10:30 a.m.) This post headline originally said "Power's out at our main building."

Washington to get $500,000 from AIG settlement

Washington state will receive $500,000 as part of a multi-state settlement with American International Group, Inc., better known as AIG.


The settlement includes a $100 million fine, divided among the 50 states and the District of Columbia. The company will also pay roughly $46.5 million in additional taxes and assessments. It also agreed to follow a compliance plan designed to fix the problems uncovered in a multi-state probe.

At issue was the company’s pattern of failing to comply with laws related to their handling of workers’ compensation programs. An examination team found a pattern of widespread violations, including using rating plans that hadn’t been filed with regulators and false reporting of the insurance premiums from workers compensation.

Although Washington state provides workers compensation coverage through a state-run program, it became part of the process because it was uncertain if the premium re-allocation would affect the state.

The $500,000 settlement does not go to the insurance commissioner’s office. The money will be deposited in the state’s general fund to pay for other state services.

Job opening: Receptionist

Due to a retirement, we have a job opening for a receptionist.

The person will greet and help visitors and customers visiting our building, as well as answering the main phone line and provide first-tier assistance for people. The person will also analyze service-of-process papaerwork, assist with mail, scan documents, and other duties.

For a more detailed description, please see the job description. Applications are due by Monday, March 7, at 5 p.m.

Insurance commissioner: Premera is "stonewalling" on public disclosure of rate information

Washington State Insurance Commissioner Mike Kreidler today issued an open letter to health insurance consumers, calling for public disclosure of health insurers' rate requests.

"This is a critical week of the legislative session," Kreidler wrote. "Our biggest battle is still underway -- ending the secrecy of health insurance rates."

Under current law, the insurance commissioner's office is barred from disclosing virtually all the information submitted by insurers to justify health insurance rate requests. Kreidler wants to release those documents to the public, so they can see what’s driving health rates and comment on rate requests. Oregon and nearly a dozen other states have similar policies already.

Two of the state’s largest health insurers – Regence BlueShield and Group Health Cooperative – agree that rate information should be transparent. But a third – Premera Blue Cross – is balking, and only wants insurers to see the information once rates have been decided.

"I'm deeply troubled that Premera isn't willing to let you -- and their own policyholders -- see what's really driving health care premiums," Kreidler wrote, adding that he hopes they'll change their mind and help "put an end to the pointless secrecy of health insurance rates."

"We all know that health insurance rates have been rising dramatically in recent years," he wrote. "I believe that the people paying the premiums deserve to see why."

Pet insurance tips

We're hearing more from consumers about pet insurance, which will come as no surprise to anyone who's paid a vet bill lately.

To help, we put together a pet insurance tips page, with advice on:
-what to look for when comparing coverage
-how to find out how many complaints have been made about a pet insurer
-and questions to ask (such as "Do you give discounts for multiple pets?")

Job openings: market analyst and market conduct examiner

We have a couple of job openings:

Senior Market Conduct Examiner: Among other tasks, this person will review and analyze insurance company records and procedures, including advertising, agency activity, complaint/grievance procedures, corporate structure, rate and form filings, provider networks, underwriting and claim administration. The application period ends March 2 at 5 p.m.

Senior Market Analyst: This person will plan, coordinate and perform market analysis of insurers and other regulated entities, reviewing company data statements and assisting in the design of audit programs. Applications are due by March 9 at 5 p.m.

The links have much more information about duties, qualifications, education, etc., as well as information on how to apply.

Car accident? How to file an insurance claim

Lots of snow, packed snow and ice on roads in Puget Sound this morning, which likely means a lot of fender benders. Here are some tips on filing an insurance claim and key information to know.

First: try to warn oncoming traffic, if it can be done safely. Give reasonable aid to the injured. Call police and, if necessary, an ambulance. If property damage exceeds $700 -- which is very often the case -- you must notify law enforcement.

Then: call your insurer. They can start the claims process and talk you through the details.

Who was at fault? Insurance adjusters typically gather information from the drivers and passengers, any witnesses, and accident reports filed with the state patrol or local law enforcement. If fault isn't clear, adjusters may decide that the fault is shared between drivers.

Which auto body shop to go to? In Washington state, unless you signed a contract with an insurer to take your car only to a specified repair shop, you can choose where to take it. But the shop still needs to work with the insurer to agree on a price. If they don't, and the car's repaired, you may be responsible for costs not covered by the insurer.

What if my car was totaled? We get this question all the time, and have a lot of information available about how to determine the vehicle's value (be ready to negotiate), how to keep your damaged vehicle, etc.

Check if your policy -- or the at-fault driver's -- covers "diminished value." This is the difference between the value of an undamaged vehicle and what it's worth after repairs are made.

Rental car? If the other driver was at fault, his or her insurer will negotiate with you for rental car payment. If you were hit by an uninsured driver, your insurance may pay for a rental.

Finally, what's "subrogation?" Subrogation allows your insurer to recover its costs from the person legally responsible for the accident. In other words, they seek reimbursement from the at-fault person.

Winter storm watch -- and info on how to file auto insurance claims

A winter storm watch is in effect from Wednesday morning through Thursday morning for much of western Washington, with snow accumulations of up to 6 inches possible.

Anyone who lives in Puget Sound knows that much-feared snowstorms sometimes turn out to be, well, just more rain. But if this one turns out to be real, and west-siders are trying to drive around in it, here's a link to keep handy. It's our page about how auto insurance claims work -- diminished value, repairs using aftermarket parts,  rental cars, deciding who's at fault, etc.

Also: Many school districts in Washington state use schoolreport.org to put out information on school closures.

Drive carefully.

White Swan fire victims: We may be able to help you with insurance claims

On Saturday, a wind-whipped blaze tore through the town of White Swan, southwest of Yakima, torching 18 homes and leaving 120 people homeless.

If you're one of those families and you had insurance, our office may be able to help. We're the state agency that regulates insurance in Washington state, and we have a toll-free consumer hotline where analysts can help any Washingtonian with insurance questions or problems.

If claims are wrongly denied or delayed, we can contact insurers on your behalf and try to resolve the situation quickly.Call us at 1-800-562-6900 or send an e-mail to AskMike@oic.wa.gov.

If you'd like to help the White Swan families, MSNBC has put together a list of local donation sites. Any Bank of America branch can also accept donations in the name of the "White Swan Relief Fund."