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Market tighter, but shoppers still have options for homeowners' insurance Updated Premium Comparison publication now available Currently, homeowners insurance in Arizona, as in other states, is generally less available and more expensive than previously. Increases in expense and claim costs, together with decreases in investment income that some insurers would otherwise use to offset losses, are the reasons insurers most often cite for these changes. Consumers are feeling this change predominantly in the form of higher premiums, but some insurers are not interested in new business right now or are being more selective in the risks they will write, making it more difficult for some applicants to obtain insurance.
Phoenix -- Today the Arizona Department of Insurance Fraud Unit assisted the Phoenix Police Department's Fugitive Apprehension and Investigations Detail in arresting the Juan Reyes Marrufo (35), Maricela Armenta (34), and Cristina Rodriguez (32). These individuals were part of a large-scale auto fraud ring that also involved lawyers, doctors, and chiropractors from California.
On December 24, 2002, Director of Insurance, Charles Cohen, issued an order1 that will result in lower premiums for most credit life and credit disability insurance products offered to Arizona consumers. The order establishes new prima facie rates for credit life and credit disability insurance that could save Arizonans over $19 million annually. Insurers must comply with the new rate requirements by April 1, 2003.
On December 13, 2002, James Kovacs was arrested in Tucson, AZ on an outstanding warrant charging him with witness tampering. The Pima County Fugitive Task Force arrested Kovacs who is now awaiting trial in Santa Cruz County Court for several felony counts involving fraudulent schemes, theft, and illegally conducting an enterprise. All charges arise out of a Department of Insurance fraud investigation
The Arizona Department of Insurance ordered State National Insurance Company (State National) to cease and desist from violating auto insurance laws on December 10, 2002.
Metropolitan Life Insurance Company (MetLife) was ordered to cease and desist from violating health care appeals and group health insurance laws by the Arizona Department of Insurance on November 21, 2002.
On October 2, 2002 the Arizona Department of Insurance suspended the license of Foundation Reserve Insurance Company (Foundation Reserve) due to its unsound financial condition. Consequently, Foundation Reserve is prohibited from writing any new insurance policies and they must non-renew their existing policies. Currently, Foundation Reserve has over 17,000 outstanding automobile and homeowners policies in Arizona. Most of its business was in Maricopa, Pima, Navajo, Apache and Coconino counties.