Declarations

June 2, 2008

A Crime Epidemic

“The increasing value of copper has made it a valuable commodity, and subsequently an attractive target for criminals. … This is a crime happening throughout the state, and it’s costing our citizens hundreds of thousands of dollars in damages each year.”

—Oklahoma Sen. Cliff Branan, R-Oklahoma City, commenting on Senate passage of SB 1856, which increases fines and punishments for the crime of copper theft and requires more stringent record keeping from scrap metal and junk dealers. The bill requires that scrap metal dealers keep records of information obtained from sellers, including a photo copy of the seller’s driver’s license and vehicle tag number. Brannan called copper theft a crime epidemic that affects, businesses, utilities, private citizens and even churches.

A Small Nuclear Bomb

“It really is like a small nuclear bomb went off.”

—U.S. Homeland Security Secretary Michael Chertoff, upon touring Picher, Okla., after a May 10 tornado ravaged the town of 800, leveling 114 homes and leaving at least six of its citizens dead. State and federal officials said any financial aid provided to Picher residents will be used to help people relocate, not rebuild. Picher is a federal Superfund site, a result of pollution from now closed lead and zinc mines. Government buyout of homes was already underway when the tornado struck. Gov. Brad Henry said the disaster would probably speed up the buyout process.

An Unmet Demand

“Many study participants had assets that they wanted to protect, for which they did not already have coverage.”

—Robin Newberger, economist in the Consumer and Community Affairs Division of the Federal Reserve Bank of Chicago said a study conducted by the reserve bank and the Urban Insurance Partners Institute indicated a low rate of coverage among low- and moderate-income households. The study found that many of the participants need more insurance, want to know more about it and anticipate using an insurance agent to purchase coverage. Newberger said the results of the study “suggest that there may be an unmet demand for insurance among this population.”

Bogus Plans

“Some Arkansans have purchased bogus plans from National Trade Business Alliance of America. … These unlicensed companies may not pay all your claims and do not abide by the insurance laws and regulations which are in place to protect Arkansas consumers.”

—Arkansas Insurance Commissioner Julie Benafield Bowman warned two companies are illegally offering health insurance plans in Arkansas via unsolicited faxes. One unlicensed company is National Trade Business Alliance of America. It may have marketed products under such names as Affinity Health Plans of America, National Trade Business Association, National Transportation Benefit Alliance, Qualified Administrative Specialists of America, Family Health Care Service Inc., America’s Best Benefits and American Employers Association. Another unlicensed entity using the same tactics is United Business Insurance Association, the insurance department said.

Topics Arkansas

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Insurance Journal Magazine June 2, 2008
June 2, 2008
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