Happy Wednesday! In this week's Big I Buzz: Workers’ comp sees an increase in advanced medical practitioners. Plus, the pet insurance market continues to grow.

Comp Sees Increase in Advanced Medical Practitioners Treating Workers

The workers' compensation industry has seen a growing reliance on nurse practitioners and physician assistants for initial medical visits, largely due to physician shortages. According to a Workers Compensation Research Institute report, physician-led first visits dropped from 81% in 2013 to 60% in 2022, while visits with physician assistants and nurse practitioners nearly doubled. Despite provider shortages, the report found minimal impact on claim costs, disability duration, or types of care provided. The use of advanced practitioners varies by state, with higher reliance in Indiana, Nevada, New Mexico, and North Carolina. Rural areas also saw an increase, with nurse practitioners handling 26% of first visits in 2022. Read more here.

Growth of Pet Insurance Continues as Market Could Reach $4.5B

The pet insurance industry has experienced significant growth, with premiums reaching over $3.4 billion in the first three quarters of 2024 and projections suggesting a total of $4.5 billion for the year. This surge is attributed to rising veterinary costs and an increase in pet ownership; for instance, U.S. households owned 87.9 million dogs and 73.8 million cats in 2024. Notably, pet insurance now accounts for about 10% of the inland marine insurance market. However, the sector faces challenges due to escalating veterinary expenses, leading some insurers to adjust their policies. The market remains concentrated, with the top 10 insurers holding 90% of the market share. Read more here.

For more news, check out the Action News section of our weekly e-newsletter, Big I Buzz. If you aren’t subscribed, click here to add your email to our emailing list.

Happy Wednesday! In this week's Big I Buzz: insurance leaders and lawmakers work on California wildfire relief. Plus, a high-stakes battle over the Affordable Care Act.

Insurance Leaders, Lawmakers Working on California Wildfire Relief

California’s recent wildfires are driving swift action from lawmakers and insurance leaders to protect affected homeowners. Insurance Commissioner Ricardo Lara issued a one-year moratorium preventing insurers from canceling policies in wildfire-impacted areas and proposed a grant program to help low-income residents reduce wildfire risks with fire-resistant roofs and defensible space.

Lawmakers also introduced the FAIR Plan Stabilization Act to strengthen California’s insurer of last resort by issuing catastrophe bonds. Analysts estimate insured losses from the wildfires could hit $30 billion, with most from homeowners’ policies. Despite the losses, industry leaders say insurers have the capital to cover claims and see the crisis as a potential turning point for reform. Read more here.

SCOTUS Agrees to Hear Challenge to Obamacare’s Preventive Care Coverage

The Supreme Court will take up a significant case challenging the Affordable Care Act’s preventive care coverage in its upcoming term. This marks the latest chapter in ongoing legal battles surrounding the health reform law.

If the court sides with the Texas-based employers who brought the case, it could weaken protections for millions of Americans by allowing insurers to stop covering preventive services like birth control, vaccines, and mental health screenings at no out-of-pocket cost. Read more here.

Trusted Choice Relief Fund

The Trusted Choice Relief Fund is accepting donations and grant applications to help those affected by the recent wildfires in the Los Angeles area. According to the latest reports, the fires have burned over 45 square miles, forcing 179,000 to evacuate. Officials report at least five deaths, 1,300 structures destroyed, and 60,000 more at risk as strong winds fuel the flames in densely populated areas of Southern California.

The Trusted Choice Relief Fund is available to provide financial assistance to insurance industry personnel impacted by these wildfires. Whether you're looking to donate to help agents or are seeking financial assistance for recovery, the Trusted Choice Relief Fund is here to provide critical support. Learn more and donate here.

For more news, check out the Action News section of our weekly e-newsletter, Big I Buzz. If you aren’t subscribed, click here to add your email to our emailing list.

Happy Wednesday! In this week's Big I Buzz: The Big "I" and ACT provide a memo and sample policy on AI. Plus, the 2024 Insurance Fraud Hall of Shame.

Big ‘I’ and ACT Provide Memo, Sample Policy on AI

The promise of artificial intelligence (AI) is compelling. Agencies have access to newly available automated products or services that could make them more efficient, effective and profitable. However, there are important legal issues related to AI that Big “I" members should consider.

For example, like any other third-party vendor that handles data, AI raises potential data privacy and security risks that may—or may not—be addressed in the vendor's contractual terms. Agencies should also guard against risks relating to the accuracy of AI outputs, as well as intellectual property infringement and ownership issues.

Agencies should also watch out for new contractual restrictions imposed by carriers around AI usage, as well as regulatory compliance issues. Colorado recently became one of the first states to enact a comprehensive law regulating the use of AI in “high risk" systems that make “consequential decisions" in certain sectors, including insurance.

While the Colorado AI Act does not go into effect until February 2026, agents should consider proactively addressing AI usage with their staff. The Big “I" Office of General Counsel and ACT have published a memo on the legal issues relating to AI usage and a sample acceptable-use policy that members can customize for their business. The sample can be found at the end of the memo on legal risks, which is available on the Big “I" Legal Advocacy webpage.

The 2024 Insurance Fraud Hall of Shame

Insurance fraud comes in all shapes and sizes, and some cases are truly head-scratching. PropertyCasualty360’s 2024 Insurance Fraud Hall of Shame highlights some of the wildest schemes from the past year. View the list here.

Happy Holidays from the IIAW

Our office will be closed December 24, 25, 31 and January 1 for the holidays. This will be the final edition of the Big I Buzz of 2024. We'll return with fresh updates on January 8! In the meantime, stay connected with us on Facebook and LinkedIn. We'll see you in the New Year!

For more news, check out the Action News section of our weekly e-newsletter, Big I Buzz. If you aren’t subscribed, click here to add your email to our emailing list.

Happy Wednesday! In this week's Big I Buzz: Registration is now open for InsurCon2025, and the latest updates on the US personal lines insurance outlook and FEMA's action on Fort Myers Beach.

InsurCon2025 Registration Now Open

The Independent Insurance Agents of Wisconsin (IIAW) is excited to announce that registration is now open for InsurCon2025! This year’s convention will take place May 7-8 at the iconic American Family Field, home of the Milwaukee Brewers. Get ready for an unforgettable experience alongside Wisconsin’s top independent insurance agents, all set in a truly unique ballpark setting. You won’t want to miss out on the chance to network, learn, and enjoy a grand-slam experience at this one-of-a-kind event! Register today and save your spot!

AM Best Revises Outlook for US Personal Lines Insurance to ‘Stable’

AM Best recently revised its outlook for the US personal lines insurance segment to "Stable." The move reflects improved underwriting results, a favorable pricing environment, and enhanced capital positions for insurers. The outlook indicates a balance between challenges such as inflation and rising claims severity, alongside solid financials and a healthy competitive environment. As insurers continue to navigate these evolving conditions, this revised outlook offers a positive signal for the personal lines market. Read More Here.

FEMA Takes Action on Fort Myers Beach for Improper Rebuilding
FEMA has issued a sharp warning to the Fort Myers Beach area following reports of improper rebuilding in flood-prone zones. After Hurricane Ian’s devastation, officials discovered that several structures were rebuilt without adhering to the necessary floodplain management rules, prompting the agency to halt federal disaster relief funds. This action highlights the importance of compliance with flood mitigation measures and serves as a cautionary tale for other communities rebuilding after natural disasters. Read More Here.

For more news, check out the Action News section of our weekly e-newsletter, Big I Buzz. If you aren’t subscribed, click here to add your email to our emailing list.

Happy Wednesday! In this week's Big I Buzz: a New York man was charged with insurance fraud in a staged car crash captured on dashcam footage. Plus, a look at how the election could bring changes to the P/C insurance sector.

NYC Man Charged With Insurance Fraud in Staged Car Crash Captured By Dashcam

A New York City man was recently charged with staging a car accident in Queens to commit insurance fraud. The alleged incident, captured on dashcam footage that went viral, involved the suspect's vehicle cutting off another driver and then intentionally reversing into her car. The suspect was arrested upon returning to New York from Ecuador, while authorities are still searching for other accomplices. He faces multiple charges, including reckless endangerment and insurance fraud, to which he has pleaded not guilty. Read more here.

Election Could Bring Change to Property/Casualty Insurance Sector

The recent elections could lead to changes in the property/casualty insurance landscape as new policies emerge at both state and federal levels. The American Property Casualty Insurance Association (APCIA) aims to push federal legislation on third-party litigation funding transparency, while state-level tort reforms may continue. Experts suggest that Trump's potential tariff policies could increase repair costs for insurers, affecting premiums. Meanwhile, mergers and acquisitions may benefit from a stable tax environment, though challenges with foreign partnerships may arise. Read more here.

For more news, check out the Action News section of our weekly e-newsletter, Big I Buzz. If you aren’t subscribed, click here to add your email to our emailing list.