Martin Luther King Jr. Day
Martin Luther King Jr. Day
Martin Luther King Jr. Day (officially Birthday of Martin Luther King Jr. and often referred to shorthand as MLK Day) is a federal holiday in the United States observed on the third Monday of January each year.
King was the chief spokesperson for nonviolent activism in the Civil Rights Movement, which protested racial discrimination in federal and state law and civil society. The movement led to several groundbreaking legislative reforms in the United States.
Born in 1929, Martin Luther King Jr.'s actual birthday is January 15 (which in 1929 fell on a Tuesday). The earliest Monday for this holiday is January 15 and the latest is January 21. The Monday observance is similar for those federal holidays which fall under the Uniform Monday Holiday Act.
The campaign for a federal holiday in King's honor began soon after his assassination in 1968. President Ronald Reagan signed the holiday into law in 1983, and it was first observed three years later on January 20, 1986. At first, some states resisted observing the holiday as such, giving it alternative names or combining it with other holidays. Official observance in each state's law as well as federal law occurred in 2000.
Los Angeles Wildfires
Wildfires leave Calif. insurance market on edge of collapse | Digital Insurance
The fallout from the Los Angeles wildfires for California's insurance market is still landing.
Before the fires started on January 7, the property insurance market was already on shaky ground, with State Farm, Farmers and Allstate having canceled or not renewed homeowner policies, and suspending new coverage.
The state's insurance regulator had just announced on December 30 the completion of regulatory reforms intended to get private insurers to cover more residents, as the state's insurer of last resort, FAIR, already was pushed near its limit.
The possible progress from state insurance commissioner Ricardo Lara's Sustainable Insurance Strategy plan has been upended by the wildfires, according to Patrick Douville, vice president for global insurance and pension ratings at Morningstar DBRS, the firm's global credit rating agency. Douville co-authored a commentary titled "Los Angeles Area Wildfires Will Cause Record Insured Losses; Solutions to Address Insurability Are Needed."
Patrick Douville, vice president for global insurance and pension ratings at Morningstar. Lara's plan "was a step in the right direction," Douville said. "But they're talking about freezing premiums again and preventing non renewals. Now because of these losses, they're taking a step back. But if you're taking a step back at the same time as the industry is facing record losses, that's not going to work."
Insurance insiders sound off on California fire catastrophe
More deaths; more fires; more homes, businesses and communities leveled; and more Santa Ana winds.
The firestorm event affecting swaths of southern California continues to be a story of evacuation and defense, with local officials likening the aftermath in some areas to a wartime bombing.
The California Department of Forestry and Fire Protection (CAL FIRE) reported 92 fires total on the morning of Fri., Jan. 10, 2025, and nearly 30,000 acres burned. The largest of the fires are in Los Angeles County: the Palisades Fire, at 6% containment; the Eaton Fire, at 0% containment; the Kenneth Fire, at 0% containment; the Hurst Fire, at 37% containment; and the Lidia Fire, at 75% containment.
The devastation — now top news nationwide — spotlights insurance, risk management and regulatory challenges that professionals in these sectors know all too well.
“The California homeowner's insurance market is under a great deal of stress,” Mark Browne, chair of the Maurice R. Greenberg School of Risk Management, Insurance, and Actuarial Science at St. John’s University business school, said in a press release.
“As public policy makers in California seek solutions, they need to be careful not to make the situation worse by disconnecting the cost of risk from the prudent management of it.”
Are Cars ‘Structures’? Tallying the Damage from the Los Angeles Wildfires
The extent of the damage from wildfires ravaging the Los Angeles area is horrific however it’s tallied: Neighborhoods have been erased, landmarks destroyed and lives lost. But officials have prompted some confusion by suggesting their count of “structures” damaged — more than 12,000 — includes not just homes, apartments and businesses, but also vehicles.
Los Angeles County Fire Chief Anthony Marrone is among the leaders who have said the estimate includes vehicles — a caveat not typically made when authorities estimate fire damage. As California’s wildfire agency quickly listed the Pacific Palisades and Eaton fires among the state’s most destructive, that led to questions about whether the count was comparing apples and oranges.
Chris Thomas, a spokesman for the unified incident command at the Palisades fire, said Friday that the initial estimate is based on infrared imaging taken during overhead flight, and it’s not always easy to tell from that altitude whether a burned-out shape was a pickup truck, say, or a shed.
Travelers Commits $1 Million to California Wildfire Relief and Recovery Efforts
*Funds will go to All Hands and Hearts, California Community Foundation, International Medical Corps and Team Rubicon.
The Travelers Companies, Inc. (NYSE: TRV) today announced a commitment of $1 million to assist wildfire relief and recovery efforts in California. Funds will support All Hands and Hearts, California Community Foundation, International Medical Corps and Team Rubicon.
“Our hearts go out to all those impacted by the wildfires in Southern California – from our customers and colleagues to the communities across Los Angeles we’re privileged to serve,” said Alan Schnitzer, Chairman and Chief Executive Officer of Travelers. “Above and beyond our around-the-clock claim and customer service response, the first steps on the road to recovery start with helping those with urgent needs. We’re pleased to support the tireless work of exceptional organizations doing vital work on the ground.”
Travelers Claim professionals and other resources are also on the ground supporting our customers who have been affected by the wildfires. Mobile Claim Offices, where customers can file a claim in person or receive an advance payment on a covered loss, are stationed in the area; their locations can be found here. Customers can also contact Travelers 24 hours a day, seven days a week by visiting Travelers.com or by calling 1-800-CLAIM33 for Personal Insurance and 1-800-238-6225 for Business Insurance.
Climate Change/Exposure
Climate change fed the L.A. wildfires
Some areas are now seeing two more months of fire weather each year than they were in the 1970s.
As the L.A. wildfires continue to rage, many are asking how they started. One of the culprits is likely climate change.
The contiguous United States is 2.6 degrees Fahrenheit warmer today than it was in 1970, according to an analysis by Climate Central. That rise coincides with longer, drier fire seasons in many places.
“Fire weather”— when meteorological conditions are right for wildfires — depends on three things: hotter temperatures, low relative humidity and wind:
Hotter temperatures make it easier for fires to ignite, and warmer nighttime temperatures in particular decrease the overnight relative humidity that firefighters often rely on to gain control of wildfires.
When relative humidity levels are consistently low, moisture is pulled from vegetation, creating dry kindling.
Adding wind to the mix — like the Santa Anas blowing through California — supplies oxygen to the fire so it can burn more rapidly and increases evaporation, further drying out the land. Wind can also carry embers, helping the fire spread.
How the insurance industry can take the lead in climate resilience | PropertyCasualty360
As the consequences of climate change only seem to be getting worse – summer brought generational floods to Europe while hurricanes hammered the U.S., and the Southern Hemisphere’s winter typhoon season is off to an intense start – meeting the challenges of global warming becomes even more urgent.
As the weather evolves drastically, so too must the role of insurers to promote resilience, consumer education, and broader economic and infrastructural sustainability amidst increasing risks. Historically, insurers have acted as mere safety nets. Now, they are poised to become key players in mitigating the risks of a rapidly changing environment.
Here’s why – and how – insurers need to reposition themselves as climate challenges grow.
Growing risks
Weather-related disasters are impacting larger populations than ever before, far beyond the U.S. where record-breaking hurricanes rocked the southeastern coast. Europe is the fastest warming continent in the world, and climate risks are threatening energy, food security, infrastructure, water resources and more.
This year, central Europe experienced devastating floods, marking a second one-in-a-thousand-year flood in just 27 years—a stark reminder of the accelerating cycle of extreme weather and how the frequency of severe events is outpacing historical ones.
Unfortunately, more frequent and severe climate events are no longer exceptions – they’re becoming the rule. Risk assessments need to evolve to reflect these realities, taking into account shifting demographics, housing patterns, and migration trends.
Data Privacy/Cyber Security
FTC Takes Action Against General Motors for Sharing Drivers’ Precise Location and Driving Behavior Data Without Consent
Under proposed order, GM and OnStar will be banned for five years from disclosing geolocation and driver behavior data to consumer reporting agencies
The Federal Trade Commission is taking action against General Motors (GM) and OnStar over allegations they collected, used, and sold drivers’ precise geolocation data and driving behavior information from millions of vehicles—data that can be used to set insurance rates—without adequately notifying consumers and obtaining their affirmative consent.
Under a proposed order settling the FTC’s allegations, General Motors LLC, General Motors Holdings LLC, and OnStar LLC, which are owned by General Motors Company, will be banned for five years from disclosing consumers’ sensitive geolocation and driver behavior data to consumer reporting agencies. They also must take other steps to provide greater transparency and choice to consumers over the collection, use, and disclosure of their connected vehicle data. This is the FTC’s first action related to connected vehicle data.
In its complaint, the FTC alleged that Michigan-based GM used a misleading enrollment process to get consumers to sign up for its OnStar connected vehicle service and the OnStar Smart Driver feature. GM failed to clearly disclose that it collected consumers’ precise geolocation and driving behavior data and sold it to third parties, including consumer reporting agencies, without consumers’ consent.
“GM monitored and sold people’s precise geolocation data and driver behavior information, sometimes as often as every three seconds,” said FTC Chair Lina M. Khan. “With this action, the FTC is safeguarding Americans’ privacy and protecting people from unchecked surveillance.”
White House finalizes rules banning Chinese, Russian tech in connected cars
Just days before President-elect Donald Trump enters the White House, the Biden administration finalized new rules for cracking down on Chinese- and Russian-made tech in connected cars, including cars made in those countries.
The Commerce Department’s Bureau of Industry and Security (BIS), along with the Office of Information and Communications Technology and Services (OICTS), found that certain technologies that appear in connected car features, such as internet connectivity integrated into a car’s automated driving systems and similar vehicle assist features, “present an undue and unacceptable risk to US national security,” the BIS said in a statement.
The new rule prohibits the sale or importation of specific pieces of hardware, as well as software for these systems, from companies with a “sufficient nexus” of connection to China or Russia.
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The software-related prohibitions will take effect for model year 2027, and the hardware-related prohibitions will take effect for model year 2030, or Jan. 1, 2029, for units without a model year, OICTS said. Prohibitions on the sale of connected vehicles by manufacturers with a sufficient nexus to the PRC or Russia, even if manufactured in the United States, take effect for model year 2027.
InsurTech/M&A/Finance💰/Collaboration
Clearcover Partners with Claim Genius to Launch AI Solutions - CollisionWeek
Clearcover, announced a partnership with Claim Genius on the use of artificial intelligence-driven damage assessment and claim estimation solutions to improve underwriting processes and prevent fraud.
This strategic partnership comes on the heels of Clearcover broadening its appetite and expanding into the non-standard auto market in Texas with plans to launch in more states soon.
“We’re always looking for ways to improve our customer journey,” said Chief Product and Innovation Officer Adam Fischer. “Our partnership with Claim Genius aligns with our joint commitment to leverage best-in-class technology and drive AI innovation.”
In its efforts to streamline its processes, qualifying Clearcover customers submit videos at the start of each policy to establish vehicle conditions.
Announcements
Canoo Inc. Announces Chapter 7 Bankruptcy Filing | Morningstar
Canoo Inc. (Nasdaq: GOEV), (the "Company"), a high-tech advanced mobility and energy company, today announced that it has filed a voluntary petition for relief under Chapter 7 of the U.S. Bankruptcy Code.
The filing, made with the U.S. Bankruptcy Court for Delaware, will result in the federal appointment of a Bankruptcy Trustee to oversee the liquidation of the Company’s assets and the distribution of proceeds to creditors.
Despite being American-made, successfully delivering to such esteemed organizations as NASA, the Department of Defense (“DOD”), The United States Postal Service (“USPS”), the State of Oklahoma and having agreements with Walmart and others, Canoo has unfortunately been unable to secure financial support from the U.S. Department of Energy’s (“DOE”) Loan Program Office. Recently, the company’s executives were in discussions with foreign sources of capital. In light of the fact that these efforts were unsuccessful, the Board has made the difficult decision to file for insolvency.
Tony Aquila, one of the company’s largest investors and Chairman and CEO said, “We would like to thank the company’s employees for their dedication and hard work. We know that you believed in our company as we did. We are truly disappointed that things turned out as they did. We would also like to thank NASA, the Department of Defense, The United States Postal Service (“USPS”), the State of Oklahoma and Walmart for their belief in our products and our company. This means a lot to everyone in the company.”
As a result of this filing, Canoo regrets to inform all stakeholders that it will cease operations effective immediately. A court appointed trustee will manage the liquidation of the company’s assets and our team will collaborate closely with the Delaware Bankruptcy Trustee to assist with the process
Webinars/Podcasts/Interviews
It’s Time to Change How We Change | Insurance Thought Leadership
In this Future of Risk interview, Amy Radin says the traditional, top-down approach to change management no longer works. In the age of AI, she recommends the approaches revolutionaries use.
Amy Radin is a transformation strategist, a scholar-practitioner at Columbia University and an executive adviser.
As a member of the Fast Company Executive Board and author of the award-winning book, "The Change Maker's Playbook: How to Seek, Seed and Scale Innovation in Any Company," Radin regularly shares insights that help leaders reimagine their approach to organizational change. Her thought leadership draws from both her scholarly work and hands-on experience implementing transformative initiatives in complex business environments.
Previously, she held senior roles at American Express, served as chief digital officer and one of the corporate world’s first chief innovation officers at Citi and was chief marketing officer at AXA (now Equitable) in the U.S.
Radin holds degrees from Wesleyan University and the Wharton School.
People
Block Renovation Appoints Julie Kheyfets As CEO to Scale Its AI-First Renovation Platform As US Homeowners' Equity Surges To $35 Trillion
Julie Kheyfets named CEO to lead Block's growth in the $470B renovation market.
Block's AI platform offers personalized guidance to 90M US homeowners on cost, scope, and design, while enabling homeowners to access and hire vetted contractors.
Rising renovation demand positions Block as the most trusted place for homeowners to plan and hire for major renovations.
Today, Block Renovation, the AI-first renovation platform empowering homeowners and contractors to build better together, announced that Julie Kheyfets has been appointed Chief Executive Officer. This announcement comes as the company doubles down on its vision to build the most trusted place to plan and hire for major renovation projects.
Kheyfets succeeds Koda Wang, who has led Block for over 7 years as CEO and Co-founder. Wang will remain on the Board and transition to Executive Chair. Wang's vision laid the foundation for the company, and he will continue to be a steward in its next chapter of growth.
Block brings AI to one of the most complex and opaque industries for 90 million US homeowners: home renovations. By leveraging proprietary data collected from thousands of projects, Block offers a single platform for homeowners to plan their renovations and hire vetted contractors confidently. Using Block's personalized guidance, homeowners can understand the cost and scope details of their projects, visualize the results, and make informed tradeoffs – without having to hire expensive architects. By having access to Block's vetted network of contractors, homeowners can quickly discover the right contractors for their projects, rapidly receive easy-to-compare proposals, and hire with confidence, backed by Block's project protections. Contractors gain access to a reliable stream of high-quality projects to grow their businesses.