Declarations
Travelers on The Dow
“The selection of Travelers, a property and casualty insurance company, is intended to restore the financials industry to full representation in The Dow. When we removed American International Group, Inc. last fall, we substituted Kraft Foods, Inc. rather than another financial stock because the financials industry was then in great upheaval. That choice left financials underrepresented in The Dow, a deficiency we are now correcting.”
—Dow Jones announcing that The Travelers Companies, Inc. (TRV) is taking the place of Citigroup, Inc. (C) and Cisco Systems, Inc. (CSCO) is going in for General Motors Corp. (GM) on The Dow.
Sprinkler Priority
“I am sensitive to the costs associated with installing the fire sprinkler systems, especially in these challenging economic times. However, in the event of a fire, public safety for residents and for the firefighters and emergency medical personnel who lay their lives of the line to provide services greatly outweigh all other considerations.”
—Florida Gov. Charlie Crist explaining his veto of a bill to fix glitches in the state’s condo insurance laws
Insurer Ruse
“…State Farm is overexposed in the homeowners market and will likely not offer coverage to many of its policyholders irrespective of its freedom to charge an excessive rate. In fact, State Farm and other companies may actually use excessive rates to effectively non-renew policyholders under the ruse of consumer choice.”
— Florida Insurance Commissioner Kevin McCarty suggesting that a bill deregulating rates for large national property insurers would not help the marketplace as proponents claim.
Bad Behavior
“I find your professional behavior reprehensible.”
—Florida state Sen. Mike Bennett, R-Bradenton, demanding that Insurance Commissioner Kevin McCarty resign because, Bennett said, lawmakers can no longer trust his word. Bennett claims that McCarty had told him he would not oppose a measure designed to let large national property insurers operate without rate approval by the state.
Heck of a Job
“They’re going to have a heck of a time getting somebody.”
—Alan Johnson, managing director of New York-based compensation consultant Johnson Associates, on the prospects of American International Group finding someone to fill the shoes of Edward Liddy, current CEO, who is stepping down.