To find the wellspring of the insurance industry's reputation for being technologically backward, one need only follow the glow of green screens to the heart of carriers' data centers where "Big Iron" still holds sway.To get a countervailing view, one could visit Erie, Pa., where Erie Family Life Insurance Co., a member of Erie Insurance Group, is undergoing a platform consolidation of its policy administration systems.

Remember when Johnny Carson would become Karnack the Magnificent and answer the question before he opened the envelope holding the question? Well, here is the answer: You will save time and money and improve customer service as well as compliance. The question: What will Check 21 do for me?Congress enacted Check 21, or more formally known as Check Clearing for the 21st Century, in 2004 at the behest of the Federal Reserve. Recall that when 9/11 occurred, all aircraft were grounded and could not fly. The small planes that would fly checks from various cities to Federal Reserve locations as a part of the check clearing and settlement process were not exempt. As a result, the Federal Reserve decided to implement new processing rules and utilize technology, coining this process as Remote Deposit Capture (RDC), to digitize checks and remove the physical check from the clearing process.

Los Angeles - Citing the potential benefits of saving more than 300 lives and hundreds of serious injuries each year, Farmers Insurance Group Inc. announced its support of the new Federal motor vehicle safety standard #214 by the National Highway Traffic Safety Administration (NHTSA), which requires automakers to conduct new side-impact crash tests. "Farmers fully supports this effort as a means to protect our customers," noted Kevin Mabe, economist for Los Angeles-based personal lines carrier Farmers. Mabe explained that the standard mandates a new crash test for automakers that mimics a 20-mph impact at a 75-degree angle. Additionally, NHTSA has introduced guidelines for automakers to provide head protection for rear seat passengers. Vehicles under 8,500 pounds must provide safety measures to comply with the test by late 2012. Heavier vehicles, from 8,500 to 10,000 pounds, have an additional year to fully meet regulations.

Washington–Insurance industry associations are giving mostly favorable reviews to the passage of H.R. 2761, legislation that would extend and expand the Terrorism Risk Insurance Act (TRIA). The bill, which passed the lower chamber yesterday by a vote of 312-110, aims to extend TRIA for 15 years, and expand the number of lines covered within it.

Washington – The Office of Management and Budget has released a “statement of administration policy” threatening a presidential veto of legislation aimed at extending the Terrorism Risk Insurance Act (TRIA).

Pearl River, N.Y.–Insurance standards association ACORD has chosen John Kellington as senior vice president.

Needham, Mass.–A new research report from TowerGroup Inc. says insurers should go above and beyond current regulatory requirements when dealing with the issue of annuity suitability.

Branchville, N.J. - Selective Insurance Group Inc. announced that its principal subsidiary, Selective Insurance Company of America, made several management changes as part of its leadership development process that created new roles for existing officers.

Columbia, S.C. - BlueCross BlueShield of South Carolina plans to electronically integrate personal health records with medical care plans and make these available in real time to BlueCross members and their health care professionals.

AGENTS DEMAND REAL-TIME SERVICEIndependent insurance agencies are poised for a major service breakthrough with the proliferation of real-time transactions, says a prominent participant in the industry-wide push to double real-time transaction volume in a year.

Over the last 20 years, the advances enabled by financial modeling are impressive. Insurers have made improvements in risk management, capital optimization, product development and other important aspects of their business with the help of financial models. The critical importance of financial models has never been more evident.Products today are increasingly complex, and the pressure to manage, measure and report risk continues to grow. As a result, models viewed as highly sophisticated just a few years ago are now inadequate to meet today's needs. However, keeping pace with these demands is becoming increasingly difficult.

VALUATION SOLUTION REDUCED CLAIMS SETTLEMENT CYCLEPlymouth Rock Assurance Corp., Boston, selected San Diego-based Mitchell International Inc.'s, Total Logic Valuation as the company's total loss valuation solution to deliver a customer-centric loss claims process.

Washington – The heads of two insurance industry associations have issued a joint letter urging the National Governor’s Association to drop their opposition to the National Insurance Act.

Stamford, Conn. – Nearly 90% of CFOs believe that the cost of compliance with Sarbanes-Oxley (SOX) outweighs the benefits, according to the latest survey from the Tillinghast business of Towers Perrin.

Pearl River, N.Y. – ACORD has released the first three of its standardized producer appointment forms.

Washington, D.C.– The National Association of Mutual Insurance Companies (NAMIC) pointed to a new government report showing a direct correlation between credit scoring and risk. A study released by the Federal Reserve Board comes on the heels of a report by the Federal Trade Commission (FTC) that also said credit scoring is not unfairly discriminatory.

New York — The need to comply with Section 404 of the Sarbanes-Oxley Act (SOX) is only having a minimal effect on enterprise risk management (ERM), new research has found.

New York - A subsidiary of New York-based American International Group, Inc. (AIG) has entered into an agreement to acquire Wurttembergische und Badische Versicherungs-AG (Wuba), its major subsidiary DARAG Deutsche Versicherungs- und Ruckversicherungs-AG (DARAG) and other minor subsidiaries from entities associated with J.C. Flowers & Co. LLC. Subject to regulatory approval from insurance and cartel authorities, the transaction is expected to close later this year. Terms of the agreement have not been disclosed. "We are pleased to have reached an agreement to acquire Wuba and its subsidiaries," said AIG President and Chief Executive Officer Martin J. Sullivan. "The transaction both reaffirms AIG's commitment to growing in the German marketplace and greatly enhances our insurance offerings to small and medium sized companies." Based in Heilbronn, Germany, Wuba offers property and casualty, marine, personal lines, and accident & health insurance through its 2,500 broker relationships across the country. "Wuba is an experienced and highly respected German insurer with a strong brand," said Nicholas C. Walsh, Executive Vice President of Foreign General Insurance for AIG. "We plan to continue their commitment to superior customer service, broker focus, distribution management and technology." AIG serves commercial, institutional and individual customers with insurance products, with operations in more than 130 countries and jurisdictions. Source: AIG

Washington- The National Association of Professional Insurance Agents (PIA) is reiterating its opposition to the National Insurance Act of 2007.

Washington— The National Association of Professional Insurance Agents (PIA) is reiterating its opposition to the National Insurance Act of 2007.