United Companies Insurance

Assist customers with service issues as well as quoting and writing property and casualty insurance.

Donelon Warns of Flooded Cars Hitting Resale Markets
Commissioner Jim Donelon is reminding Louisiana consumers to be vigilant when purchasing used vehicles that may have been flooded in Texas as a result of Tropical Storm Imelda. These damaged vehicles are sold at auction and unscrupulous sellers may ship automobiles, trucks, boats and RV’s to other states and not disclose their origin to unsuspecting buyers.
“One month ago, Tropical Storm Imelda caused extensive flooding in Texas and as a result, we caution Louisiana buyers to look for signs of water damage in vehicles they are considering for purchase,” said Donelon. “Often, when a deal is too good to believe, there’s a reason.”
Stains, mildew, rust and discoloration are obvious indicators that should make buyers cautious. Mismatched carpet, headliners and dirt or debris in the tracks under seats or in the area where the spare tire is located are often indicators of flooding.
Buyers are encouraged to run a vehicle history report and ask to see the physical title. If the vehicle has been declared a total loss, the title must indicate salvaged or non-reparable status. Also, the National Insurance Crime Bureau offers VINCHECK, a free database of vehicles that have been listed as a total loss.
Additionally, it is smart to have any used vehicle you are considering for purchase reviewed by a trusted mechanic or body shop.

THE HEALTH INSURANCE TAX IS RETURNING, AND IT'S AFFECTING 2020 RATES.
January renewals are on the way, and for those of you seeing rate increases, you should know about the Health Insurance Tax (HIT), one of the drivers of the increase. The HIT has roots tracing back to 2009 when the Affordable Care Act was being negotiated, and it formally went into effect in 2014.
What is the HIT?
The federal government creates a fixed tax liability each year ($16B for 2020) and then divides that liability up among all the health insurance companies that have fully insured customers, whether they be individual customers or group customers. The carriers are assessed a piece of the liability based on their national market share of fully insured business.
How does it impact renewals?
For the last few years, Congress has suspended the tax. At this point, there is no such suspension for 2020, so we had to start building the tax into your rates beginning with 1/1/20 renewals. A measurable portion of your rate increase in 2020 will be to cover the HIT.

Blue Cross Update from Brian Keller, Sr VP and CMO