Company corrections ordered and completed

Commissioner Trinidad Navarro has released a consumer alert for Liberty Mutual policyholders. In early December, the Delaware Department of Insurance became aware of unacceptable difficulties in contacting the company and filing claims by phone. The department ordered these issues corrected when discovered, and recently deemed the problems resolved.

Policyholders reported long wait times and dropped calls when contacting Liberty Mutual by phone, as well as an inability to connect with a live representative. The company’s system was also pushing consumers online to file a claim.

“The digital divide is still present in our state, and consumers must have access to claim filing processes by phone. A person’s access to the internet or technology should not define the level of difficulty they encounter in interacting with their insurer, or amount of time it takes to file a claim,” said Commissioner Navarro.

Liberty Mutual actively worked with the department to investigate the issues when they were uncovered and has now resolved the problems.

If you are a Liberty Mutual policyholder and you continue to encounter this issue, or if you are experiencing an insurance problem with another company, contact the Delaware Department of Insurance’s Consumer Services Division by emailing consumer@delaware.gov or calling (302) 674-7300.

Provides information on insurance processes for property damage

As Tropical Storm Isaias approaches Delaware, residents are urged to prepare for dangerous winds over 55 miles per hour and up to 6 inches of rain. Storm surges, localized flooding, tree damage, power outages, and other threats to life and property are possible, according to the National Weather Service (NWS). Rain is expected Monday evening, with the brunt of the storm arriving early on Tuesday.

“As models continue to show Delaware in the path of this storm, home and business owners should take steps to reduce property damage and stay safe,” said Insurance Commissioner Trinidad Navarro. “Secure any outdoor items or furniture that could cause damage when windy conditions occur, charge your cellphones, gather emergency supplies, and make a plan about where you can take shelter away from windows at the peak of the storm. Keep in mind that roads may become difficult to navigate due to debris and tree damage, and never drive through a flooded area.”

Isaias is expected to hit Delaware Tuesday morning. Potential storm impacts include damage to porches, carports and other awnings, as well as roofing and siding, with impacts on mobile homes more significant. NWS expects uprooted or snapped trees in addition to flooding, causing impassable roadways and power outages in some places. Storm surges are likely, and tornadoes are possible.

In advance of storms, residents are urged to locate important documents, including homeowners and auto insurance policies and company contact information, as well as a complete a home inventory. If your property is damaged by Tropical Storm Isaias, contact your insurer before you clean up or make repairs, and photograph all damage. After speaking with your insurer and photographing damage, take action to prevent further damage by covering broken windows, damaged walls, or leaking roofs, but do not make permanent repairs. Your insurance company should inspect the property and estimate the cost of permanent repairs. Save all receipts and documentation, including those related to temporary repairs.

Hurricane season lasts well into the fall, and residents should make plans and take precautions now to reduce future risks, including exploring flood insurance. More than 20 percent of flood insurance claims are for properties outside of high-risk areas. Flood insurance policies typically take 30 days to go into effect. For more information about FEMA’s flood insurance program and to find an agent in your area, visit FloodSmart.gov or call 1-800-427-4661.

For more information on how to prepare your home for inclement weather, visit the Department of Insurance Disaster Preparedness page.

In consultation with the Delaware Department of Insurance, Governor John Carney today issued a sixth modification to the state of emergency that requires that insurers cease cancellations or nonrenewals of insurance policies due to nonpayment throughout the duration of the declared Delaware State of Emergency for those residents and business owners who are experiencing a loss of income. In declaring a Public Health Emergency earlier this week, the Governor specified that health insurers are to waive all prior authorization constraints for lab testing and future treatment of COVID-19. Commissioner Navarro previously recommended insurers take these actions in a bulletin to the industry.

“We are grateful for Governor John Carney’s leadership during the COVID-19 crisis. Whether it is ensuring care without delay by removing prior authorizations in the short-term, or limiting the long-term effects of the virus’s economic impact by helping people keep their insurance, this thoughtful, detailed approach is just what our state needs,” said Commissioner Navarro.

Delaware’s insurance carriers will freeze cancellations and nonrenewal of policies that might have otherwise occurred due to delays in payments through the duration of the state of emergency for individuals who have been laid off or fired due to the state of emergency or organizations who have had to close or significantly reduce business. A carrier would now be required to seek a court order before they could cancel or nonrenew any health, life, disability, property, auto, and commercial/business insurance policies.

In addition to the immediate assistance, this action helps to reduce the long-term impact of the virus on insurance, because if policies were not renewed or were cancelled, it could have hindered future insurance policy approvals or increased premium costs for those individuals and businesses due to the cancellation or nonrenewal creating a lapse of insurance.

Read the Governor’s Emergency Declaration

Insurers asked to waive prior authorization requirements, cease cancellations and nonrenewals due to missed or delayed payments

Insurance Commissioner Trinidad Navarro and the Delaware Department of Insurance today issued a bulletin with recommended actions for the insurance industry. Requests included asking health insurers waive all prior authorization constraints for lab testing and future treatment of COVID-19, and that insurers consider ceasing cancellations or nonrenewals of insurance policies due to nonpayment throughout the duration of the declared Delaware State of Emergency.

“The insurance industry has the opportunity to help tens of thousands of Delaware residents, businesses, and healthcare providers during this state of emergency,” said Insurance Commissioner Trinidad Navarro. “Waiving prior authorization requirements would help the entire healthcare system to run more efficiently and allow providers to focus on patient outcomes rather than paperwork.”

Prior authorization is a process that requires certain tests, medications, or other health services to be pre-approved by an insurance company before a medical provider serves an insured consumer, which can at times result in delays. Should prior-authorization be voluntarily waived by insurers, that would not mean that residents should not be in contact with their primary care provider prior to visiting a COVID-19 testing site.

The bulletin also asked insurance carriers to voluntarily freeze cancellations and nonrenewals of policies that might have otherwise occurred due to delays in payments through the duration of the state of emergency.

“Throughout Delaware’s State of Emergency, many companies have had to close or reduce their business, and employees have been laid off or fired as a result,” Commissioner Navarro explained. “After hearing from businesses and residents who were concerned about the choices they will have to make with limited finances, we ask insurers to help alleviate some of that stress and ensure that residents and business owners in this difficult situation can have the peace of mind that insurance provides throughout the duration of the emergency.”

Business interruption coverage will vary policy to policy, and some business interruption coverage may explicitly exclude viral infections. Companies are urged to review their related insurance policies and contact their insurance company with questions about coverage. Hospitality small businesses and nonprofits may be able to apply for no-interest loans from the Division of Small Business Hospitality Emergency Loan Program (HELP). Organizations can receive a $10,000 maximum loan per month for rent, utilities, and other unavoidable, non-personnel bills.

On March 18, Governor Carney’s updated State of Emergency Declaration waived certain telemedicine regulations to expand access to these services. The Governor clarified that residents do not need to see a provider in-person before receiving telemedicine services, and that if a Delaware resident is out-of-state, they can still receive telemedicine services. To increase availability of these services, out-of-state providers who are licensed to provide telemedicine in other jurisdictions will also be able to serve Delaware residents through the duration of the emergency declaration. Telehealth and telemedicine can be provided via phone, webcam, facetime, and a myriad of other easily accessible options, as the department recently reminded insurers via bulletin.

Department of Insurance March 20 Bulletin

National Association of Insurance Commissioner’s COVID-19 and Insurance Brief

Tweet this story

DOVER, DE – The Holidays are quickly approaching and most people have already begun shopping, decorating or planning a trip to see family or friends over the coming weeks. Take some time today to review your insurance coverage and to ensure that you, your family, and your home are prepared for the colder weather and other perils that occur more frequently during this time of the year.

Holiday gatherings for most people include indulging in great food and drinks. With all of that extra cooking and baking going on there’s just more potential for a fire. According to the Insurance Information Institute, the average home fire claim costs $34,306. A claim after a fire would likely be lower for renters, since they are only insuring the contents of their rented home or apartment, but many renters do not realize that their belongings are likely not covered by their landlord’s insurance.

While the kitchen remains the number one place where fires start in the home, holiday decorations and space heaters greatly increase the chances for fires if you aren’t careful. Never leave candles or space heaters unattended and keep them away from flammable objects. If you have a live Christmas tree, be sure to water it often. Get rid of old strings of lights that get hot and could cause a fire. According to statistics from Allstate Insurance, the median cost for a home fire caused by a Christmas tree is more than $100,000! Christmas trees burn hot and fast, so a tiny spark can become a huge fire in mere minutes. When plugging in lights and decorations outside, do not overload outlets or use substandard extension cords.

Allstate Insurance found that theft claims went up by 7 percent during the holidays, which makes sense since our houses and cars are often filled with expensive gifts. When shopping, keep gifts in your car out of sight and, when possible, schedule package deliveries for times when you will be home. Some people send deliveries to their workplace so they can sign for, and accept, deliveries during the work day.

Be sure to notify your insurance company if you buy high-value items, like jewelry, art or electronics. There are usually limits on how much the policy will pay for specific categories of items. If an item is worth a lot of money you should ask your agent about scheduling an endorsement (also referred to as a “rider”) to better protect your investment should an item be stolen or damaged in a fire, etc.

In today’s world of Twitter, Facebook and Instagram, remember that it’s not always a good idea to overshare the details of when your family will be away visiting Grandma. Don’t make it easy on thieves to come steal presents bought with your hard-earned money.

If you’re hosting a party, remember to serve alcohol responsibly and do not let intoxicated friends or family drive home. When the weather brings snow and ice be sure to clear sidewalks and put down salt or de-icer, if necessary. Homeowners and renters insurance policies both provide liability coverage if someone is injured on your property, but know the limits of your policy.

Don’t forget that it’s also open enrollment time for health insurance plans on the Health Insurance Marketplace (Healthcare.gov). All plans purchased through the Marketplace will expire on December 31, 2014, no matter when your coverage began in 2014. If you would like to re-enroll, change plans or sign up for health insurance for the first time you can do so until February 15, 2015. However, anyone who wants a plan to be effective starting on January 1, 2015, needs to sign up or re-enroll by December 15, 2014. For more information about your health insurance options visit www.choosehealthde.com or www.healthcare.gov.

If you have health insurance through your employer your open enrollment period may be going on now, or may begin soon. Pay close attention to the deadlines and be sure to give yourself plenty of time to review your options. There’s much more to consider than the monthly premium alone. Make sure you review the deductible; sometimes paying a little more in premiums will make for a much lower deductible.

If you are traveling, be sure to take your health insurance information with you. Always keep a record of your medications, and if you’re flying, it’s usually safer to keep medicine in your carry-on since luggage can sometimes be lost for days—if not forever. Remember, if you need to seek medical care and you’re out-of-network you will likely be subject to higher co-pays and/or deductibles. If you need medical care for a non-emergency issue find a local urgent care clinic or medical aid unit, which will typically be cheaper than an ER visit.

For more information about insurance visit www.delawareinsurance.gov

###

For more information: Jerry Grant 302-674-7303