Monthly Archives: October 2014

A Guide to Homeowners’ Liability for Injury to Trick or Treaters

By Christopher J. Boggs | October 31, 2014

Halloween pranks. Google this phrase and more than 5 million results link you to a myriad of ways to “mess with peoples’ minds” on Halloween. Some of the recommended pranks require a higher education to understand; some ideas are, well, strange; but some pranks are meant to do one thing – scare people (mainly kids). When kids and adults get scared, they do strange things, and sometimes they get hurt, or hurt someone else.

This is not intended to take the pranksters’ fun out of Halloween. Rather this is a review of the legal liability placed on those who set out to scare the little candy
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California Earthquake Authority Proposes to Lower Rates

By Don Jergler | October 23, 2014

The California Earthquake Authority on Thursday proposed an average 8 percent decrease in rates.

CEA’s Advisory Panel recommended the rate decreases, along with additional coverage options in deductibles, discounts and certain limits, to the CEA Governing Board, which next meets in December. Board approval would advance the proposals to regulatory consideration by the California Department of Insurance.

If the board and CDI clear the way, CEA’s new expanded coverages and lower rates would begin to take effect Jan. 1, 2016.

CEA CEO Glenn Pomeroy said an increasingly rate-friendly reinsurance space and capital markets with an appetitive for investing in catastrophe bonds generated enough savings for the carrier to offer the rate
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Pelosi makes the case against Prop. 45

San Francisco Chronicle | October 27, 2014

House Minority Leader Nancy Pelosi covered plenty of territory in her meeting with The Chronicle’s Editorial Board on Monday, but one issue made her more animated than any other: state Proposition 45’s threat to the landmark federal health care law she shepherded through Congress in 2010.

“If I wanted to kill the Affordable Care Act, I would do this,” she said, slapping a copy of the initiative on the table for emphasis.

Pelosi’s expression of opposition to Prop. 45 was noteworthy in both its vehemence and its level of detail of its “potential to be very disruptive” to Covered California. It also was significant because Pelosi emphasized that
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Does Prop 103 Violate Itself?

By Ian Adams | Right Street Blog | October 20, 2014

The history of the American administrative state has been filled with attempts to introduce “rationality” and “discipline” to circumstances in which markets, left to their own devices, allegedly lead to socially or politically undesirable outcomes.

Brimming with good will and well-meaning intention, champions of state intervention seek to invent systems to accommodate and serve those least able to care for themselves. Californians can even directly participate in such efforts through the initiative process.

In 1988, a slim majority of California voters passed Proposition 103, a landmark initiative they were told would reform the state’s auto insurance market for the better. What they did not count
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RMS: ‘Big One’ in Northern California Could Cause $200B in Losses

October 13, 2014

Earthquake risk in the San Francisco Bay Area is on the rise while earthquake insurance penetration statewide has dropped significantly since the Loma Prieta earthquake that rocked the Bay Area 25 years ago, causing nearly $6 billion in economic losses, an analysis release Monday shows.

The next “big one” has potential to be financially devastating to the Bay Area economy, according to an RMS analysis.

A worst-case, magnitude 7.9 earthquake on the San Andreas Fault could strike an urban center with 32 times the destructive force of Loma Prieta, potentially causing commercial and residential property losses over $200 billion, the analysis shows.

Residential earthquake insurance penetration in California, which would be
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