Best’s News & Research Service - January 18, 2008 12:20 PM (EST)
BestWeek: Insurance Professionals See Taxes, Health Care as Key Presidential Issues
OLDWICK, N.J. //BestWire// - Taxes, health care and retirement security top the list of issues insurance industry professionals would most like to see the presidential candidates address in the 2008 campaign, according to an exclusive A.M. Best survey highlighted in BestWeek U.S./Canada, with more than four out of five respondents dubbing those important to their lives and livelihoods.
The online survey drew responses from nearly 1,500 BestWeek and Best's Review subscribers, making it the most popular reader survey to date. Drawing heavily from those in the agent/broker and property/casualty insurer communities, which each constituted about 40% of respondents, the survey showed tax policy remains high on reader's agenda during this election, with 88.3% calling the issue either "important" or "very important."
On the key issue of the estate tax, which is set to disappear in 2010 before returning in 2011 at a 55% rate with a $1 million exemption, 40.1% endorsed totally abolishing the tax. Another 36% endorsed moving to the levels recommended to Congress by Berkshire Hathaway Chairman Warren Buffett, at a 45% rate and $4 million exemption.
Estate tax repeal has been opposed by the American Council of Life Insurers but endorsed by the Independent Insurance Agents & Brokers of America. Life insurer employees constituted 8.3% of responses. ACLI spokesman Jack Dolan said his group was encouraged to see the importance respondents placed on retirement security as an issue, with 85.9% calling it important or very important.
Health insurance reform was considered a priority for 80.9% of respondents, with 67.9% throwing their support specifically behind plans to expand health savings accounts and other consumer-driven products.
Also, in BestWeek Europe: As January renewals closed out a lackluster 2007, the reinsurance market found it would have to come to terms with a new cycle downturn.
Also, in BestWeek U.S./Canada: MassMutual Financial Group is among many U.S. life insurers eyeing growth in Japan because of the country's attractive demographic - an aging population that's a perfect target for retirement products.
And in both editions of BestWeek: The Best's Global Insurance Composite Index finished the week of Jan. 17 down 4.58% from a year ago. The composite index reflects the performance of 172 insurance stocks. The week's top stocks were First American Corp., China Insurance International Holdings, Castlepoint Holdings, Mitsui Sumitomo Insurance Co., and Independence Holding Co.
The bottom five stocks were Korean Reinsurance Co., XL Capital, Atlantic American, LIG Insurance Co., and Gainsco.
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