RIGHTS AND REMEDIES OF INSURANCE

POLICYHOLDERS

HEARINGS

BEFORE THE

SUBCOMMITTEE ON CITIZENS AND
SHAREHOLDERS RIGHTS AND REMEDIES

OF THE

COMMITTEE ON THE JUDICIARY
UNITED STATES SENATE

NINETY-FIFTH CONGRESS

SECOND SESSION

PART 1

DISCRIMINATION BY PROPERTY AND CASUALTY INSURANCE
COMPANIES: THE FAIRNESS IN THE COVERAGE AND COST OF
INSURANCE

JANUARY 17, 18, 1978

Printed for the use of the Committee on the Judiciary

U.S. GOVERNMENT PRINTING OFFICE

24-417 O

WASHINGTON: 1978

For sale by the Superintendent of Documents, U.S. Government Printing Office
Washington, D.C. 20402

January 17, 1978_.

January 18, 1978_.

CONTENTS

HEARING DAYS

STATEMENTS BY SUBCOMMITTEE MEMBERS

Opening statement of Hon. Howard M. Metzenbaum, Senator from Ohio,

chairman of the subcommittee___

WITNESSES

Page

1

135

Alliance of American Insurers, represented by Donald L. Jordan, assistant

vice president----

American Insurance Association, represented by George M. Mulligan, vice

president...

Association of Community Organizations for Reform Now (ACORN),

represented by Grace M. Evans.

Buckeye-Woodland Community Congress, represented by Barbara Pertz_

Carroll, Irma G., Raleigh, N.C.

Ciampa, Joseph, member, Massachusetts Fair Share, East Boston, Mass.-

Continental Insurance Cos., represented by William S. Gibson, vice

president

Evans, Grace M., Association of Community Organizations for Reform

Now, St. Louis, Mo..

Faulstich, James R., vice president, National Association of Independent

Insurers; accompanied by C. Robert Hall, vice president, National

Association of Independent Insurers--

Gibson, William S., vice president and associate general counsel, Conti-

nental Insurance Cos__

Hahn, Kenneth, supervisor, Board of Supervisors, County of Los Angeles,

Calif., accompanied by Mas Fukai, senior deputy.......

Hartford Insurance Group, represented by Stephen I. Martin, vice

president..

200

Housing and Urban Development, Department of, represented by J. Robert

Hunter, Deputy Federal Insurance Administrator_

214

Hunter, J. Robert, Deputy Federal Insurance Administrator, Department

of Housing and Urban Development___

Illinois Department of Insurance, represented by Richard D. Rogers,
deputy director, consumer division_..

Ingram, John Randolph, commissioner, Department of Insurance, State of

of North Carolina_

Jordan, Donald L., assistant vice president, Alliance of American Insurers__

Langeneckert, Sgt. Joseph S., U.S. Marine Corps, Arlington, Va.......

La Torre, Philip V., independent insurance agent, West Orange, N.J...

Levin, Carl, former president of the city council, Detroit, Mich.

Martin, Stephen I., vice president, the Hartford Insurance Group; ac-

companied by Anton A. Lubmir, vice president and Dale R. Comey, vice

president..

214

98

112

150

26

130

138

200

Massachusetts Department of Insurance, represented by James M. Stone,

commissioner__

93

Massachusetts Fair Share, represented by Joseph Ciampa..

8

McBride, James, Chicago, Ill.

67

McGranaghan, Jerome, Washington counsel, National Association of

Mutual Insurance Companies..

189

(III)