Life Insurance Companies Can Refuse To Write Policies For HIV-Positive

In the Spokesman-Review, there was a recent article by Kevin Graman confirming that life insurance companies are allowed to deny coverage to people who have HIV. Insurance regulators in Washington state ruled that Farmer's denial of coverage was not discriminatory. In 2006, a HIV-positive individual was denied coverage from a subsidiary of Farmer's Group, Farmer's New World Life. He then filed a discrimination lawsuit against them with the Insurance Commission. While insurers are legally permitted to deny someone coverage if they are considered too risky to insure according to sound actuarial data, human rights activists believe that Farmers routinely declines to write policies for this group because of outdated statistics.

Kevin writes that ever since anti-retrovirals have dramatically increased the life expectancy of the HIV-positive, it is considered by many to be a risk that could be insured. A Swiss study found that patients with HIV but without hepatitis C have short-term mortality rates similar to successfully treated cancer patients. Cancer patients whom have completed treatment are able to buy life insurance policies.

Obama Plans to Approve Children’s Health Insurance Funding Increase

President Barack Obama is doing an awful lot in his first 100 days: he is soon expected to sign into law a bill presented by the U.S. House soon after he takes office that will increase spending on government funded children's health insurance plans. The SCHIP bill was ratified by Democrats in both the House of Representatives and the Senate, but was vetoed by former President George W. Bush last year.

The bill would essentially add 4 million children to the existing roll of 7 million who are already receiving government subsidized health insurance. The bill proposes that increased taxes on tobacco will cover the $32 billion it will cost to expand the health coverage. Some Republicans believe this is an unfair burden on smokers.

Under the proposed bill, states are now given the option of eliminating the 5 year waiting period on providing government funded health insurance coverage to legal immigrants as well as pregnant immigrants.

Mercury Insurance Buys CA's Auto Insurance Specialists

According to the Insurance Journal, Mercury General has added insurance firm Auto Insurance Specialists to its portfolio. This gives Mercury a large presence in the California auto insurance market through the Auto Insurance Specialists, Aon Recreation Insurance, and PoliSeek brand names. In 2007, AIS wrote about $400 million worth of direct premiums.

The deal was brokered by Aon Corp. Mercury paid $120 million in cash immediately, with the possibility of an additional $34.7 million over the next two years. This deal will further expand the reach of Mercury's auto insurance subsidiaries.