The person who served because the director of insurance coverage for the Shopper Federation of America for practically three many years is retiring.
The official assertion from the CFA describes J. Robert “Bob” Hunter because the “father of insurance coverage client advocacy” in saying Hunter’s retirement after 27 years within the place.
Whereas Hunter will proceed to serve in an advisory position as CFA’s insurance coverage director emeritus, CFA’s insurance coverage advocate, Doug Heller, strikes into Hunter’s former position as director of insurance coverage.
“For the previous 40 years, the insurance coverage business has all the time needed to ask themselves ‘what’s Bob going to say?’ at any time when a client challenge was on the desk,” mentioned Heller in a media assertion. “It’s inconceivable to quantify absolutely the influence Bob Hunter has had on the insurance coverage market, its regulation, and its public coverage.”
Hunter is an actuary who “used the rules of actuarial science to floor each one in all his analyses—analyses that he pulls collectively usually to do good for society and to make business members assume,” in accordance with a fellow actuary, Suzanne Sclafane, govt editor of Provider Administration, in a recent tribute.
Carrier Management Executive Editor’s Letter: Hunter to Retire as CFA Director of Insurance
Hunter was employed by the U.S. Division of Housing and City Improvement in 1971 as chief actuary of the Federal Insurance coverage Administration, an company he would lead underneath Presidents Gerald Ford and Jimmy Carter.
Based on the CFA’s media assertion, Hunter, over the course of his profession led efforts to get rid of unfair and discriminatory pricing within the insurance coverage. CFA listed a few of what it mentioned had been Hunter’s many roles and accomplishments:
- Was instrumental in attaining the flood insurance coverage program’s early objectives, creating the Legal responsibility Danger Retention Act and making insurance coverage out there within the internal cities via the implementation of the Riot Reinsurance Program and the Federal Crime Insurance coverage Program.
- Served as Texas Insurance coverage Commissioner.
- In 1980, based and led the Nationwide Insurance coverage Shopper Group for 13 years.
- Within the Nineteen Eighties, pushed for a big change to insurance coverage ratemaking—getting insurers to incorporate their projected funding earnings in ratemaking.
- In 1986, underneath contract with the California Legislature, wrote a seminal paper on California’s insurance coverage market, which served as the premise for 1988’s historic “Voter Revolt” that enacted Proposition 103.
- In 1992, when Hurricane Andrew devastated Florida, proposed the moratorium on cancellations and charge hikes.
- Within the early 2010s, uncovered the observe of worth optimization, which bases premiums on the utmost quantity {that a} client is anticipated to be prepared to pay moderately than calculating premiums based mostly on projected prices, resembling claims, overhead and revenue.
- Through the pandemic, referred to as for insurance coverage refunds to auto insurance coverage clients who weren’t driving throughout COVID lockdowns.
In 2002, at one other publication, Sclafane requested Hunter to write down an article on his view that an explosion in lawsuits was to not blame for spikes in medical malpractice premiums on the time. He complied, offering a number of charts explaining that an insurance coverage cycle, and specifically, “an explosion in premiums charged by mismanaged insurers,” was on the root of the issue.
Hunter then responded with an evaluation of different knowledge offered by the critic.
Hunter’s work on worth optimization within the 2010s prompted another article through which he dove into what he views because the actuarial root of the issue with worth optimization.
Sclafane notes that representatives of business commerce teams have typically responded to Hunter’s knowledge dives into business practices with remarks like “Bob Hunter is at it once more,” accusing him of “making an attempt to make the information match what he believes.” That was, she writes, the opening sentence of a letter to the editor she obtained in response to Hunter’s medical legal responsibility article.
An article printed within the Auto Insurance coverage Report referred to Hunter because the “world’s most obstreperous actuary”—an outline that Sclafane says Hunter actually appreciated.
Sclafane has her personal description on Hunter and his profession: “Conscience of the business.”
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