Showing the money: Insurance industry ranks high in political giving

Insurers and associations give to Republicans, Democrats and Independents in state-level politics

In the 2004 election cycle, the insurance industry was among the top 10 contributing industries to state party committees, according to the Institute on Money in State Politics, giving $10,183,943 overall, with $2,631,211 going to Democrats and $7,552,733 filling Repub-lican political purses.

Nationally so far in 2006, insurers have made political contributions of $4,808,882 to state party coffers, with $1,583,724 going to Democrats and $3,162,612 supporting Republi-can causes. Independent parties have taken in $62,545 this year from the insurance industry.

One of the insurance industry’s big political contributors at the state level is the property/casualty trade group, the American Insurance Association, according to an Institute-sponsored report, “Names in the News: American Insurance Association,” by Rachel Weiss.

Since the 2000 election cycle AIA has given more than $2 million to state-level political candidates and party committees, and in 2004, it gave $455,000 to support tort reform measures limiting the liability of businesses in lawsuits.

A preliminary tally for the 2004 election cycle shows that AIA contributed more than $746,000, not including its independent expenditure contributions. Between 1999 and 2004, AIA gave in 35 states, with most of the money going to candidates and committees in the most populated states. Republicans received nearly $1.2 million in AIA contributions; Democrats got slightly less–$818,000.

Med-mal, big money
The issue of tort reform and limiting liability, especially in the area of medical malpractice, generated significant contributions from various sectors during the 2004 election cycle, according to the Institute’s report: “Tort Laws on Trial, Lawsuit Liability Measures 2004,” by Rachel Weiss.

Overall, $101.3 million was raised in seven states on behalf of the issue. Lawyers and lobbyists contributed the most–$33.8 million; hospitals, physicians and other medical providers gave almost $21.5 million; the insurance industry pitched in $5.7 million. More than $72.6 million in campaign contributions went to promote medical malpractice measures in five states during 2003 and 2004 elections.

For support of liability measures, 22 insurance companies or associations gave 53 percent of the money, the report said. State Farm alone gave nearly $1.1 million to committees in California, Nevada and Texas. Florida raked in the most money with regards to medical malpractice measures–$32.8 million; Texas was next with $18 million in contributions.

The Institute on Money in Politics can be found online at www.followthemoney.org.