Two recent arbitration decisions from the Financial Services Commission of Ontario (FSCO) are heading for appeal: Webb and Lombard General Insurance Company of Canada and Mariano and TTC Insurance Company Limited. Both cases involve slip-and-fall accidents on the roadway outside of vehicles. The cases, in my view, represent costly precedents in terms of widening the definition of an “accident” for the purposes of collecting accident benefits under the Statutory Accident Benefits Schedule (part of Ontario’s Insurance Act).
In Webb, the claimant was a front-seat passenger in a cab that took her to a hotel in March 2005. The driver stopped the cab under a carport awning that extended out from the area of the main lobby entrance. The passenger side of the cab was facing away from the hotel.
The claimant, Webb, paid the driver, exited the front passenger seat and started walking around the cab. She noticed little patches of ice under the cab but she did not slip. When she reached the back of the cab, she turned to walk toward the lobby entrance. She noticed more big patches of ice.
Past the midway point of the vehicle’s rear, one of her feet slipped on the ice. She reached out with her right hand and her fingertips touched the bumper, but she was unable to break her fall. She fell on both knees. She testified she fell “maybe one minute” after she exited the cab.
On Nov. 10, FSCO arbitrator Robert Bujold found the use and operation of the cab was one of the direct causes of Webb’s slip and fall. He found the location, orientation and continued presence of the vehicle clearly initiated and directed an uninterrupted chain of events that led Webb to the point where she fell.
FSCO made a similar finding in Mariano, which also analyzed a slip-and-fall case. Arbitrator Joyce Miller decided on Sept. 15, 2006 that Victor Mariano, a cleaner, was entitled to accident benefits after a slip-and-fall incident immediately following a city bus ride.
Mariano boarded a Toronto Transit Commission bus heading northbound in the early morning on his way to work in May 2005. He intended to switch to a westbound bus on Bloor Street. But when his northbound bus arrived at Bloor Street, the driver could not stop at the bus bay because of an illegally parked truck. As a result, Mariano was discharged onto the roadway.
After exiting from the rear door, Mariano testified at the hearing that he took two steps on the roadway when his right foot tripped over a raised hump in the asphalt. He fell forward and hit his head on the curb. It was still dark outside, and he fell within one to two seconds after he got off the bus.
In the legislation under which Webb and Mariano made their claims, an accident “means an incident in which the use or operation of an automobile directly causes an impairment or directly causes damage to any prescription eyewear, denture, hearing aid, prosthesis or other medical or dental device.” This wording, introduced in 1996, replaced the wording in earlier legislation that allowed for such accidents caused “directly or indirectly” through the use or operation of an automobile.
Neither Webb nor Mariano were insured under their own auto insurance policies. Therefore, TTC Insurance Company Limited will pay Mariano’s claim and the cab’s insurer, Lombard, will pay Webb’s claim. The appeals of these decisions will be watched closely by auto insurers and personal injury lawyers in Ontario.
The issue of what constitutes an “accident” under the insurance legislation has been tested many times in court and at arbitration.
In 2002, Ontario Court of Appeal Justice John Laskin wrote in Chisholm and Liberty Mutual Group: “The legislative history of the Schedule shows an intent to differentiate between direct and indirect cause. Undoubtedly, as a cost-saving measure, the 1996 Schedule limits coverage to incidents in which the use or operation of an automobile directly causes an injury.”
In Clementina Pinarreta and ING Insurance Company of Canada, FSCO arbitrator Rosemary Muzzi decided in 2005 that Pinarreta was involved in an “accident” when she slipped and fell while exiting a TTC bus. The arbitrator made this finding even though Pinarreta had placed both of her feet outside the bus onto a snow bank present at the bus stop.
A parallel fact situation led to an entirely different result in Andrew Mahadan and Co-Operators General Insurance Company. In Mahadan, FSCO arbitrator Joyce Miller decided in 2001 that Mahadan was not entitled to accident benefits. He had parked his car in his usual spot in the parking lot of his condominium, took his groceries out of the trunk, closed the trunk and turned away from the car. He fell when his left foot twisted in a groove cut out of the pavement. As he fell, his right arm hit the trunk of the vehicle.
Arbitrator Joyce Miller found that what caused Mahadan to trip and fall was the crack in the pavement, not the use and operation of the motor vehicle.
Assuming the injuries to Webb and Mariano were not caused as a “direct” result of an “accident” within the meaning of the legislation, the insurance industry would therefore be hoping the appeals are successful.
The Webb appeal is scheduled for Apr. 27, 2007, and Mariano for July 11, 2007, both at the Financial Services Commission of Ontario.
Donna Ford is a chartered insurance professional, member of the Law Society of Upper Canada, and freelance writer who worked for years in the insurance industry.
A Series of Articles Provided by the Insurance Institute of Canada.
Loss adjusters must develop and use many skills, including communication skills. Every aspect of the claims process depends on good communication. When a loss is reported, the initial response must be to acknowledge the insured’s feelings. Being empathetic at a time when stress is running high can put an insured at ease and promote an increased degree of participation and cooperation.
When acknowledging feelings, sympathy can be expressed for the insured. But the loss adjuster should not make statements about how a policy should respond to a loss, nor should assumptions or presumptions about coverage be included in an acknowledgement of the insured’s feelings.
We can say something that validates feelings, but remain neutral in areas in which we haven’t got enough information to make the proper call.
Recognize that everyone reacts differently to a crisis. Whatever the state of mind of the insured, be flexible enough to respond to how the insured is feeling at that particular moment. Although it is not yet known how the policy will respond, the distraught feelings still need to be acknowledged. People are emotional beings. They have feelings. They get upset. There may be much more to a story than meets the eye. In some cases, an insured may be unable to move on to deal with practical issues until feelings have been resolved. For most of us, it is important to feel that we have been heard, that we are not alone, and that we have someone to talk to. The problem may still be there but somehow the weight of it lessens as the burden is shared.
Regardless of how the loss adjuster feels about the problem, it is real to the insured. A careless dismissal of feelings can create barriers. People need an opportunity to move through emotions so that the practical results required to move forward are obtained. For example, when an insured says “I feel sad,” instead of saying something like “You shouldn’t feel that way,” a more effective approach to acknowledging the insured’s feelings might be “I am sorry to see how sad you are.” Recognize that the issue is not about what should be felt, but rather about what is felt. To respond to emotionally-loaded phrases, words and actions, use language that soothes — for example, “I’m sorry to hear that,” or “you have every right to feel that way.”
To show a person we are listening, we could say something as simple as “Oh,” with an intonation that shows our concern but permits the person to speak on. An interjection like “Oh” could express a great deal of emotion based on how it is said. Try saying it out loud and see how many variations in intonation can be mastered.
To acknowledge the insured’s feelings effectively, incorporate active listening techniques into your conversations. Active listening as a principle of relationship-building is an excellent means of developing rapport with customers and improving communication levels. Active listening involves many facets:
* listening to what is being said;
* interpreting how it is being said;
*processing non-verbal cues;
* questioning those parts that were not understood; and
* confirming that what was heard was understood correctly.
Active listening enables a professional relationship to grow. It encourages the claims personloss adjuster to really hear what is being said–including unspoken messages. It enhances our understanding of the situation and the person. Sensing the emotions and feelings experienced by others assumes an ability to pick up on subtle clues and cues. Do not look to justify a person’s thoughts and feelings, just acknowledge them. Active listening demonstrates respect for the person, even though feelings and views may not be understood or agreed with.
When we understand ourselves and we are open to our emotions, we will be more effective in deciphering an insured’s feelings. Even a less serious loss can still be devastating to an insured. In a highly emotional state, the insured may be unable to think or act rationally. Sympathy at this particular time may relieve some stress, and eventually the insured will come to terms with what must be done.
If empathy is placing oneself in the other person’s shoes, then sympathy is putting the shoes on and feeling the squeeze. Each situation is different and the loss adjuster must be flexible yet focused on resolving the claim. Look for ways to understand the situation from the policyholder’s point of view. Seek to identify the questions on the claimant’s mind even though they are not verbalized.
It is not just saying the right thing: it is saying the right thing at the right time. Timing plays an essential role when gathering information about a loss. If a question or a solution was presented too early in the process, a positive resolution might be jeopardized because the insured was not ready for it.
Over-identifying with a client can also impede the claims process. For example, if a loss adjuster or claims person becomes too sympathetic to a client’s situation, unrealistic demands may be made of appraisers who need to determine the extent of damage. In this example, although very sympathetic to the claimant, the claims person or loss adjuster failed to maintain a proper perspective on the adjustment requirements; in this case, their sympathy impeded one of the important adjustment requirements, which is the provision of prompt appraisal services. As a result, the important service to the client of timely claims handling is lost. The loss adjuster must remain objective and rational in order to maintain his or her purpose.
As we said earlier, acknowledging feelings is an important concern. This must be balanced by focusing on the facts. The claim will be resolved more quickly when the relevant facts are determined and the insured’s expectations about what will happen have been managed effectively.
This article is based on excerpts from the study material in the Claims Professional Series of applied courses – a core of the CIP Program that helps adjusters learn the functional knowledge and skills required of their profession.
More than 150 exhibits from across Canada showcased the latest services and products for the claims industry at the Ontario Insurance Adjusters Association (OIAA) Claims 2007 Conference and Exhibition held Feb. 7, 2007 at the Metro Toronto Convention Centre. The extremely popular event for Insurance Claims Professionals provided a full day of education, enrichment and networking.
Welcome to the inaugural issue of Claims Canada magazine! In this issue, and in many more to come, we plan to provide perspective and bring insight to many of the issues facing the loss adjusting profession in Canada. And we hope to put a renewed brand on the official publication of the Canadian Independent Adjusters’ Association. As CIAA president Miles Barber puts it, this is a part of the “new skin” of the CIAA.
A bi-monthly magazine (published six times each year), Claims Canada aims to bring together the entire national property and casualty insurance claims market through the sharing of information and insight regarding the profession. In addition, the magazine will feature the activities, opinions and values of the people involved in the business of insurance claims and loss adjusting.
All key claims process stakeholders make up a part of our readership community; that includes both CIAA member and non-member independent claims adjusting firms; insurance and reinsurance company executives, claims management and claims adjusting personnel; corporate risk managers and loss control professionals; insurance brokers; insurance law firms; forensic engineers and accountants; appraisal, restoration, rehabilitation and collision repair professionals; Insurance Institute chapters; insurance associations, regulators and related claims market recipients.
This first issue comes at a time when there is an interesting crossroads in the evolution of the loss adjusting profession. Independent adjusting firms face a host of challenges to their business model, including diminished volume and frequency of smaller routine claims, sharp expense management from insurance companies and the threat of unlicensed adjusting from contractors and service suppliers.
Adjusters have been quick to adapt, whether at the large national company level or within the small regional niche firms. All play an invaluable role in the membership of the CIAA and the provision of professional independent adjusting services in Canada.
National adjusting firms, for example, are investing in state-of-the-art technology to allow client access to claims files. In addition, they are providing tools for remote adjusting from field locations. The ability to handle claims efficiently gives larger firms the ability to process claims quickly.
Smaller adjusters have relied on strong regional relationships to build business, often in specialty areas.
There is no one “right” strategy to address the competitive nature of today’s insurance marketplace.
CIAA represents the diversity of the industry when it covers critical regulation issues such as uniform licensing, standards for continuing education and provincial frameworks for dealing with disasters. Although the disparity in licensing requirements across provinces — and the resultant lack of portability — has been on adjusters’ radar screens for many years, there are distinct signs that regulators are coming to the table. CIAA needs to push ahead with its proposed model to harmonize licensing and enshrine a consistent standard of continuing education for adjusters across jurisdictions. The association is working closely with provincial regulators and emergency management organizations to develop appropriate frameworks for handling the non-insured losses of natural or man-made disasters.
Of course perhaps the most crucial issue facing adjusters is the perpetuation of the profession itself.
Many in the industry have noted a shrinking base of personnel and the imminent retirement of hundreds of senior adjusters. Individual firms and the national association are therefore focusing in the future on recruitment, training and retention. Gone are the days of the junior adjuster coming in to cut his or her teeth on smaller claims. Those claims are gone; in many instances, so are the junior adjusters.
CIAA has a vital role to play in promoting the profession through trade shows, career fairs and educational information events. This profession needs postsecondary graduates who are willing to take dedicated insurance courses, embrace training by seasoned industry veterans and who wish to take part in a long, prosperous and rewarding career in the claims business. This is a process that will take years, not months, and could mean the difference between a vibrant adjusting profession and a dwindling labour force.
Claims Canada will be profiling, describing and discussing the issues, threats and opportunities that face claims adjusting professionals in today’s ever-changing property and casualty insurance marketplace.
Together with the management team of the CIAA, the editorial and publishing staff of this magazine will be putting this “new skin” into the game.
B.C.’s stormy winter of 2007 is expected to result in more than 17,000 claims, according to the Insurance Bureau of Canada (IBC). In total, IBC said the province’s insurers “expect to pay more than Cdn$135 million to help British Columbians recover from the storms that struck earlier this winter.” That will make it the largest insurance loss in British Columbia since the wildfires of 2003, which resulted in losses of Cdn$200 million.
Among the hardest hit areas were the Lower Mainland, Southern Vancouver Island and the Gulf Islands. Most of the claims were for windstorm and sewer back-up damage. “Insurers appreciated the patience of claimants while they helped those most in need first,” said Lindsay Olson, IBC vice president, British Columbia and Yukon. “Restoration of damaged homes and businesses was also longer than usual in some cases due to the shortage of available resources. This shortage is a result of the province’s booming economy.”
One in three global businesses see loss of data as a significant threat and the key issue to address in operational risk management planning, according to the latest global risk briefing report conducted by the Economist Intelligence Unit (EIU) and sponsored by ACE European Group (ACE).
The survey of 181 senior executives and risk professionals revealed that loss of data was the most important consideration in terms of operational risk, with over 40% saying their organization focused more on loss of data than other issues – including systems failure, human error and even natural disasters.
The results mark a growing risk management trend towards a greater emphasis on the operational impact of data loss. “The survey shows that risk managers clearly understand the value of data and increasingly are focusing on its associated losses,” Gareth Tungatt, senior underwriter specializing in IT and cyber-risk at ACE, said in an online posting on the ACE European Group site.
The study shows 71% of those questioned said they have increased the time and resources they dedicate to focusing on their business continuity programs. When asked about the business impact of poor planning, 43% of respondents identified reputational damage as the main threat. However, only 19% said loss of revenue. “The apparent lower level of fear about loss of revenue is a concern,” Tungatt said. “Based on the survey’s findings, exposure to financial losses is expected to increase, so it is clear that businesses should be doing a lot more than they currently are to counter the financial implications of data loss.”
Rob Seal has been appointed to the position of president and CEO of Cunningham Lindsey Canada Limited (CLC). Seal has held many adjusting and management positions during his 20-year career with CLC, most recently as president of Canadian operations. “His technical adjusting skills combined with a customer-focused, employee-driven management style have enabled CLC to expand its service offerings and maintain its position as a premier provider of quality independent adjusting services in Canada,” says a CLC release.
***
Nancy Ng has been appointed manager of insurance services at PPG Canada Inc., a manufacturer that supplies vehicle-related products around the world. In her new role, Ng will work closely with the Canadian auto insurance industry to provide value through products, services and outsourcing options.
***
Joseph A. Hardy has been appointed account development executive of Compliance Management Inc. (CMI). Working out of CMI’s Markham office, Hardy will be responsible for compliance risk management in Canada. With more than 20 years working with large corporations in the risk management field, Hardy has also served as the president of Ontario Risk & Insurance Management Society, as well as serving five years as board director of the Risk & Insurance Management Society.
***
Ontario Bar Association grants Excellence in Insurance Law Award
The Ontario Bar Association (OBA)’s insurance law section has announced that Jesse T. Glass of Laxton Glass LLP (Toronto) and Eric R. Williams of Williams McEnery LLP (Ottawa) are the recipients of the 2007 OBA Award for Excellence in Insurance Law.
Glass has worked as a lawyer since 1959. He is past chair of the insurance law section of the OBA. He currently sits on both the Canadian and Ontario bar associations.
Williams is the founding partner of an eight-person civil litigation firm that has operated in Ottawa since 1978. He is a member of the Law Society of Upper Canada, the Canadian Bar Association (civil litigation section), and the County of Carleton Law Association.
The award recognizes and thanks outstanding members of the OBA for their exceptional achievements, distinguished service and contributions in the following areas:
* the development of insurance law through advocacy, teaching, writing or legislative reform;
* leadership in the profession and particularly of lawyers practicing in insurance law;
* maintaining the highest standards of professional competence and the highest levels of honesty, integrity and civility; and
* enhancement of the profession of law and the well- being of the community.
Glass and Williams will be honoured at a gala dinner and award ceremony to be held on Thursday, Apr. 26, 2007 at the Marriott Toronto Downtown Eaton Centre.
***
The Toronto Insurance Women’s Association (TIWA) hosted their annual Wine & Cheese event at the Metro Toronto Convention Centre on Feb. 15. More than 2,000 insurance professionals mingled to the tunes of a live jazz band while sampling a spread of culinary delights and sipping some reds and whites.
***
CICMA/CIAA Ontario’s 40th Annual Joint Conference was held at the Metro Toronto Convention Centre on Feb. 6. The theme was ‘Slipping into Chaos.’ Emcee Brian Maltman provided a retrospective of the 40-year history of the meeting while introducing the various speakers of the day. The session began with a few words from CIAA Ontario president Mary Charman and CICMA Ontario president Ron Bouwmeister, along with a very fitting and heartfelt claims career retrospective from Larry Gilbertson. Speakers representing Canadian Defense Lawyers provided both plaintiff and defence perspectives on various current legal issues of interest. Speakers included Sandra Corbett, Parlee McLaws LLP, Calgary, AB (“Standardization of Insurance Limitation Periods: What’s coming?”); Marie Audren, partner, Borden Ladner Gervais LLP, Montreal, PQ (“Quebec Ice Storm Class Action: Pushing the Boundaries for Economic Loss”); Carmen Place, partner, Lindsay Kenney LLP, Vancouver, BC and president of the Canadian Defense Lawyers (“Social Host Liability: What’s Next?”); and Jamie Chipman, partner, Stewart McKelvey Stirling Scales, Halifax, NS (“Reflex Sympathetic Dystrophy: Causative Issues”).
The luncheon presentation included a mock trial performed by individuals from member firms of The ARC Group Canada Inc., a network of independent law firms focusing on insurance law and risk management. Mock trial presenters included Kevin McLaren and Todd Davies of Alexander Holbur Beaudin & Lang LLP in Vancouver, BC, and Kim Jossul and Jamie Trimble of Hughes Amys LLP in Toronto, ON.
***
Giffin Koerth Forensic Engineering & Science and Blouin Dunn LLP graciously co-hosted a cozy event on Feb. 6 at the Steam Whistle Brewery’s ‘Roundhouse’ on a very, very cold afternoon/evening.
Dozens of claims managers from the CICMA/CIAA Joint Conference and participants of the OIAA Claims 2007 event attended, along with other invited guests from the industry.
***
The Ontario Insurance Adjusters Association (OIAA) held their Claims 2007 Conference & Professional Development Seminars on Feb. 7 at the Metro Toronto Convention Centre.
***
Held in conjunction with the conference, OIAA once again hosted a Claims 2007 Career Fair, bringing together more than a dozen insurance company and independent adjusting firm employees. More than 100 insurance-program students from Mohawk College in Hamilton, Ontario and Fanshawe College in London, Ontario attended the annual event.
***
At the Claims 2007 conference luncheon, OIAA president Marie Gallagher presented a cheque from the OIAA for Cdn$12,780 to the Toronto Big Brothers/Big Sisters. Attendees were treated to a pep talk from Michael “Pinball” Clemons about the importance of character.
***
TorQuest Partners Acquires Majority Ownership Position in EW Disaster Kleenup L.P.
TorQuest Partners Inc., a Canadian-based manager of private equity funds, has acquired EW Disaster Kleenup Canada L.P. (EW), a newly formed entity that purchased the assets of Edenvale Restoration Specialists Ltd. and Woodhouse Contracting Ltd. (both independent disaster restoration providers). The current shareholders and management team will be significant owners in this new partnership and will continue to manage the business on a day-to-day basis.
This transaction unites two large independent companies in the Canadian disaster restoration industry. Edenvale, with headquarters in Abbotsford, British Columbia, operates in the British Columbia Lower Mainland with operating branches in Burnaby, Chilliwack and Surrey. Woodhouse, with headquarters in Kitchener, Ontario, operates in Southern Ontario with operating branches in Stratford, Brantford, Guelph, Hamilton, Orangeville and Mississauga.
Both Edenvale and Woodhouse have been active members of Disaster Kleenup International (Canada) Ltd. (DKC). As part of the transaction, EW was successfully admitted as a new DKC member. “We are very pleased to welcome EW to the DKC Network and look forward to the unique skill set that TorQuest has to offer,” says Matt Johnson, CEO of DKC.
Lyle Kerr, the newly appointed CEO of EW Disaster Kleenup L.P., will complement Allen Booth and Ken Woodhouse, the divisional heads of Edenvale and Woodhouse respectively. Kerr was the CEO of CNC Global, a former portfolio company of TorQuest.
***
The Insurance Brokers of Toronto Region (IBTR) hosted their January luncheon at the Sheraton Parkway Hotel with keynote speaker Toronto Police Chief William Blair, as well as guest speakers from both York Region and Toronto Crime Stoppers. Blair and Toronto Crime Stoppers’ chairman Lorne Simon thanked the insurance brokers for their generosity in donating Cdn$10,000 to the Crime Stoppers School program.
***
The Insurance I
nstitute of Ontario’s 108th Annual Convocation & Awards Night acknowledged the achievements of more than 500 CIP and FCIP graduates on Feb. 8, 2007 at the Metro Toronto Convention Centre. Guests cheered on the most recent graduates at the ceremony, which included special guest speaker Jerry Linenger, a former United States Navy flight surgeon and NASA astronaut. Linenger both inspired and informed the audience with his stories about what it was like to participate in one of the most dangerous and dramatic missions in space history, aboard the Russian space station Mir.
Numerous awards were presented as part of the National Prize Competition (Toronto Area Winners) CIP Program. They included: The Canadian Independent Adjusters’ Association Prize (Top Independent Adjuster Graduate): Gayle Hertzman, CIP, of the Pinnacle Adjusters Group Inc.; The Reinsurance Research Council Prize (Top Reinsurer Graduate): Serge Thomas, CIP, of Aon Re Canada Inc.; FCIP Program awards included The Daphne Mullaly Award (Top Returning Fellowship Student): David Campbell, FCIP, of The Co-operators; The Robert Fisher Clark Award (Top Claims Major Fellowship Student): Timothy Vanderwillik, FCIP, of Aviva Canada Inc.; The Knollys Shield Awards (Top Underwriting Major Fellowship Student): Joanne Christiansen, FCIP; of Chubb Insurance Company of Canada.
In the Ontario Provincial Prize Competition, the Toronto Area Winners included the first runner-up Annie Wai-ling Chui, CIP, of TD Meloche Monnex; the second runner-up: Gayle Hertzman, CIP, of Pinnacle Adjusters Group Inc.; and the winner of the Douglas N. Hurlbut Award (best performance by a CIP student completing first five courses) was Paula Ximena Sanchez.
In the GTA Prize Competition, The Fellows Award (Top Fellow-GTA) went to Scott McMullen of ACE INA Insurance.
Instructor of the Year went to Ron Bouwmeister, FCIP, of Aviva Canada Inc. The Award of Merit went to Glenn Gibson, CEO of the Americas for Crawford & Company International, and an Honorary CIP went to Kathy Bardswick, president and CEO of The Co-operators Group Limited.
***
More than 350 participants attended the Canadian Collision Industry Forum (CCIF), held in Toronto on Jan. 27. Several thought-provoking speakers re-vealed to many segments of the industry the hard facts of collision repair in 2007. CCIF chairman Larry Jefferies (CARSTAR Automotive Canada) and CCIF administrator Mike Bryan opened the one-day session. Jefferies commented on the increasing challenges facing collision repairers, noting ‘points of separation’ such as training, equipment, process efficiency, accreditation and succession planning that will enable some shops to survive and prosper while others close or merge. Clearly those open to change, learn and act will prosper as the industry continues to adjust. Part of the CCIF’s mandate is to present meeting agendas designed to stimulate thinking, exchange ideas and provide new knowledge in support of those who aim to strengthen their business.
The day’s agenda included an introduction to impending VOC regulations and the use of waterborne paint; updates from the recycled and aftermarket parts sectors; and some novel ideas regarding Direct Repair Programs (DRPs). Session speakers included Mark Olson, VeriFacts Automotive; Rick Keister, Keystone Automotive; USA, Steve Fletcher, Ontario Auto Recyclers Assoc-iation (OARA); and Jay Perry, ABC Consulting. The next CCIF meeting is scheduled for Apr. 21 in Vancouver. Go to www.ccif.net for further details.
***
Crawford Adjusters Canada’s employees presented a cheque in the amount of Cdn$50,000 to the Women in Insurance Cancer Crusade (WICC) at a reception in WICC’s honour on Jan. 25 in Toronto.
Since its inception in 2004, Crawford Cares has raised more than Cdn$150,000 for WICC.
“Our employees have once again stepped up not only to raise awareness of this horrible disease, but also to donate their own time and raise funds to help find a cure and diminish the impact on Canadians affected by breast and prostate cancer,” said Crawford Adjusters Canada CEO John Sharoun.
Each year, Crawford employees select a national charity for Crawford Cares to support through corporate donations, payroll deductions, employee fundraising events and volunteer efforts. Crawford’s clients also raised Cdn$12,000 at the firm’s annual charity golf tournament in September.
Since the Crawford Cares initiative began three years ago, employees have consistently and overwhelmingly voted WICC as their charity of choice; 2007 is no different. “Crawford Cares will once again direct its fundraising and volunteer efforts to the Women in Insurance Cancer Crusade,” said Sharoun.
Campaigning and fundraising is already underway for 2007 and Crawford employees hope to yet again meet their goal. “We continue to raise the bar in regards to the amount of money raised and the number of volunteer hours given, but I am confident we are all up for the challenge,” Sharoun said.
***
During Crawford’s reception honouring WICC, Crawford Adjusters Canada CEO John Sharoun took time out to thank a member of the Crawford staff for his hard work and dedication to WICC and other community organizations. Gary Gardener, Crawford’s vice president, sales, was presented the 2006 Crawford Community Service Award for his continuing work as a member of the musical group The Accidental Benefits.
Since 1997, Gary Gardner and The Accidental Benefits have been rocking for a good cause, raising money for WICC and other community groups. The all-volunteer band offers their talent in exchange for a charitable donation to WICC. Band members donate countless hours of time for rehearsals and performances and rarely ask event organizers to reimburse them for out-of-pocket expenses to travel and rent equipment. Having produced four CDs and dozens of shows, this group has raised tens of thousands of dollars for WICC and helped countless people inside and outside the insurance industry learn more about WICC.
The Crawford Community Service Award is presented annually to Crawford employees who:
1.make lasting and meaningful contributions to a community or
not-for-profit organization;
2.volunteer their time on an ongoing basis, without payment;
3.demonstrate leadership and initiative to create greater public awareness of an association or community activity; and
4.are role models that inspire their peers to volunteer.
The winner receives $1,000 as well as a memento commemorating their achievement.
***
Sean Corner was the benefactor of the first annual HeartFelt Help Fund (HFHF) fundraising event, held Feb. 2 at Premier Place Banquet Hall in Woodbridge, Ontario. The evening dinner event, entitled “An Evening of Blue Eyes and Red Hearts,” saw 184 supporters from throughout the insurance industry and related markets gather for a multi-course dinner while enjoying evening-long entertainment by the dynamic, Frank Sinatra-lookalike tribute performer Rick Sonata and his seven-piece band. The fundraiser was a big success due to the hard work of volunteers and the generosity of dozens of key sponsors, contributors and, of course, attendees.
Special thanks was given to the evening’s Platinum Sponsors: Economical Insurance Group Head Office; Economical Insurance Mississauga Branch Mid-Market Team; Gilbertson Davis Emerson LLP; Hayven Developments; Jones Deslauriers Insurance Management Inc.; National Brokers Insurance Services Inc.; Pilot Insurance Company; Premier Place Banquet Hall; WINMAR Restorations; with Gold Sponsor: Enterprise Rent A Car. Special thanks was given to Economical’s Mississauga Branch employees, who were the impetus for starting HFHF and contributed in so many ways, as well as management and staff of National Brokers for their outstanding efforts.
In 2007, HFHF chose to make its first contribution to 21-year-old Sean Corner. Sean became an underwriting trainee at Economical Insurance (Mississauga Branch) after graduating from Mohawk College. While atten
ding Mohawk, Sean also worked part-time for the Insurance Institute of Ontario, Hamilton-Niagara Chapter. In September 2006, Sean, a local Hamilton rugby star, was injured and paralyzed from the waist down during a match just prior to learning the team’s insurance had been cancelled. Funds raised from the benefit will be used for Sean’s immediate medical expenses, home renovations, vehicle modifi-cations and future care.
HFHF is a charitable, non-profit organization raising funds to support those in need who have been recognized by the insurance industry. Founded by two insurance women, Debbiee Mason and Joyce Usher-Mesiano, along with the help of five others, HFHF – an insurance-based group of volunteers – is dedicated to fulfilling its mission to enhance the quality of life for the individual(s) chosen by the Fund each year.
***
The partners and staff of McCague Peacock Borlack McInnis & Lloyd, the Ontario member of the Canadian Litigation Counsel, recently hosted their 11th annual ‘Christmas In January’ party at the Design Exchange in Toronto. An industry favourite, this event attracts people from all sectors of the insurance industry throughout North America. Guests arrived from Boston, Minneapolis, Denver Vancouver Montreal and Edmonton. A great time was had by all!
The Alberta Civil Trial Lawyers Association (ACTLA) has officially started its Charter challenge of the Alberta government’s automobile insurance minor injury policy in the Court of Queen’s Bench (Calgary) before Mr. Justice Neil Wittmann.
ACTLA President Arthur Wilson, Q.C. says in a press release that the association wants the court to determine whether the minor injury policy contravenes Section 15 of the Charter, which prevents discrimination against a group of people based on disability.
Wilson said the trial, which started Apr. 10, is expected to last five weeks, with a decision likely this fall.
At issue is the policy that sets a ceiling of $4,000 on the amount of damages courts can award for soft-tissue injuries incurred by the victims of automobile collisions.
“It is our association’s contention that this ceiling unfairly discriminates against victims of automobile collisions because it separates a distinct group of people and treats them differently from others who have also had the misfortune to be injured through no fault of their own,” Wilson said. “We have seen too many cases since the government changed its policy in 2004 where victims have suffered and will continue to suffer because of the current situation.”
Wilson said his association agrees with the province’s right to make the rules around automobile insurance or any other matter, but adds that the Canadian Constitution states those rules must take into consideration the Canadian Charter of Rights and Freedoms.
“The reason our legal system works so well is because one group can make a decision and another group can straightforwardly question or challenge that decision,” Wilson said. “The system recognizes that there are no cookie-cutter solutions.
“It is our duty as responsible members of the legal profession to help ensure government policies are based solidly in law and applicable to all Albertans.”
At US$15.9 billion, insured catastrophe damage in 2006 represented the third-mildest loss year since 1990, according to a Swiss Re sigma report [No 2/2007]. Of these insured losses worldwide, natural catastrophes accounted for US$11.8 billion of the total. Storms caused insured losses of US$8.4 billion, which represented the most costly damage category.
The sigma report notes the rise in insured losses over the past decades is attributable mainly to weather-related natural catastrophes. “Whereas in the 1970s, the claims burden on property insurers due to severe storms, floods, etc. was still around US$2.9 billion per year, in the 1980s, it rose to US$5.7 billion and in the 1990s reached US$18.2 billion.”
Since 2000, the report adds, the average total of insured claims related to natural catastrophes has been US$30.4 billion per year. “The upward curve in insured losses reflects the trend towards an increasing concentration of property values, especially in highly-exposed regions,” the sigma report says. “Going forward, the loss situation is likely to be aggravated by the effects of global warming, which is almost certainly mainly driven by human activity.”
March marked National Fraud Prevention Month, and the Insurance Bureau of Canada (IBC) released information throughout the month to help educate about and prevent this type of crime.”Insurance fraud is big business,” said Rick Dubin, vice-president, investigations at the IBC.
“It is a low-risk, high-reward crime that costs Canadians about $3 billion per year. However, there are steps that Canadians can take to recognize it. Report it. Stop it.”
One of the most costly forms of insurance fraud is staged auto collisions, the IBC reports. Also referred to as a ‘swoop and squat,’ a vehicle participating in the fraud suddenly speeds up and cuts off a ‘squat’ vehicle (also participating in the fraud), forcing the ‘squat’ vehicle to slam on its brakes.
Ideally for the fraudster, an inncocent victim driving behind the ‘squat’ vehicle does not have enough time to brake, thus slamming into the back of the ‘squat’ vehicle. The innocent driver would thus look like the at-fault driver for failing to keep a proper distance. Usually, everyone who is in on the fraud (those in the ‘squat’ vehicle) claims some sort of injury, and makes an accidents benefits claim.
