News
Federal REPAIR Act Reintroduced in Congress
Proponents say the REPAIR Act would prevent automakers from monopolizing repair information and services while ensuring access to vehicle repair data remains secure from cybersecurity risks.
REPAIR-Act-reintroduced The Right to Equitable and Professional Auto Industry Repair (REPAIR) Act (HR 906) was reintroduced in Congress on Feb. 25 by U.S. Rep. Neal Dunn (R-FL).
The bill is co-sponsored by U.S. Reps. Brendan Boyle (D-PA), Warren Davidson (R-OH) and Marie Gluesenkamp Perez (D-WA), with support from 12 additional members.
First introduced by Dunn in February 2023, the bill stalled in a U.S. House committee in October 2024 after it failed to receive the necessary markup to advance to the House floor.
The revised bill “guarantees the rights of owners and their designated repair facilities to maintain and repair their vehicles while maintaining the same cybersecurity standards, intellectual property protections, and vehicle safety standards that the manufacturers use with their dealerships,” said Lisa Foshee, senior vice president of government affairs and general counsel at the Auto Care Association, in an email to Autobody News.
Paul McCarthy, president of MEMA Aftermarket Suppliers, said the bill’s “core language and intent remain unchanged,” but key improvements were made to strengthen the bill’s ability to protect the aftermarket industry.
“These include provisions guaranteeing diagnostic tool manufacturers access to critical repair data and safeguarding aftermarket suppliers from restrictions that could limit their ability to serve consumers,” McCarthy said.
Proponents, including the Auto Care Association, MEMA Aftermarket Suppliers, CAR (Consumer Access to Repair) Coalition and Commercial Vehicle Solutions Network (CVSN), say the REPAIR Act would prevent automakers from monopolizing repair information and services while ensuring access to vehicle repair data remains secure from cybersecurity risks.
Los Angeles Wildfires
Munich Re faces $1.3 billion in claims from Los Angeles inferno
Germany's Munich Re (MUVGn.DE), opens new tab expects about 1.2 billion euros ($1.26 billion) in claims resulting from the Los Angeles wildfires, it said on Wednesday, representing the biggest loss reported so far by a single European reinsurer for the January catastrophe.*
The wildfires killed more than two dozen people and destroyed or damaged more than 16,000 structures, charring an area bigger than Paris.
"They were clearly the most substantial wildfire losses in the history of the insurance industry," Munich Re said.
Munich Re, the world's largest reinsurer, said that its estimate was a high degree of uncertainty because the losses were complex.
Analysts have estimated insurance claims across the industry could total $45 billion. Hannover Re, another German reinsurer, has said that it could face claims claims amounting to 700 million euros.
Fitch, the credit ratings company, has said that European insurers had reduced exposure to California after a spate of fires in 2017 and 2018 but would still be "materially affected" by the 2025 fires because of their scale.
- Munich Re provided the estimate as part of its fourth-quarter earnings report, which showed a 2.5% fall in net profit, slightly worse than analysts had expected.
- Fourth-quarter net profit was 979 million euros, down from 1 billion euros a year earlier and short of a 1.02 billion euro analyst consensus provided by the company.
- Despite the hit from the fires, Munich Re expects net profit for 2025 to rise to 6 billion euros from 5.7 billion euros in 2024.
LA wildfires ~35% of Swiss Re's FY'25 nat cat budget, CFO expects event to mitigate downward price pressure
Reinsurance giant Swiss Re said this the morning that it currently estimates losses from the Los Angeles, California wildfires of less than $700 million, which Chief Financial Officer (CFO), John Dacey, confirmed is more than a third of its full year 2025 budget for natural catastrophes.
“$700 million is a big number, it’s about 35% of our full year nat cat budget,” CFO Dacey said during a recent media call discussing the firm’s 2024 financials.
Since the wildfires, there’s been much discussion about the potential impact on property catastrophe reinsurance rates at the future 2025 renewals, given there was some softening at 1.1 2025 when compared with the prior year.
On the call, Dacey said that Swiss Re expects “the pricing impact of the California fires will be at least to mitigate what might have been some downward pressure on prices, not necessarily to create an inflection point, but people understand that there are real risks out there, and people need to pay for Swiss Re or others to take that tail risk for them.”
Consumer Watchdog Opposes State Farm's Emergency Rate Hike Following Meeting with Insurance Commissioner Lara
Following today's meeting with California Insurance Commissioner Ricardo Lara, State Farm General Insurance (SFG), and the California Department of Insurance (CDI), Consumer Watchdog reiterated its opposition to State Farm's unprecedented request for an emergency rate increase, calling it an unjustified attempt to shift the burden of financial mismanagement onto California policyholders.
At issue is State Farm's request for an emergency interim rate increase across multiple lines of insurance, impacting millions of California homeowners and renters—including an average of $600 per homeowner policy. If approved, the increase would take effect May 1, 2025, before a full hearing is conducted to determine whether such an increase is justified.
"State Farm is demanding a backroom bailout from California homeowners while concealing critical financial details," said William Pletcher, Litigation Director at Consumer Watchdog. "Today's meeting confirmed that State Farm's financial troubles stem from its own mismanagement and its decision to overextend its risk portfolio, not from any legitimate emergency justifying an immediate rate hike. Pletcher added, "State Farm is benefitting from risky fossil fuel investments that are increasing the odds of the same risks it promises to insure; these issues need to be fully examined."
Consumer Watchdog said State Farm Mutual (SFMAIC), the parent company of State Farm General the California home insurer, had $144 billion surplus and should step in if needed. State Farm General paid $2.1 billion for reinsurance over the past decade, most of it to the parent company. State Farm General also sent nearly $1 billion in utility repayments for the 2017-18 California wildfires out of state and back to the parent, instead of using those funds to offset wildfire losses. "If the parent company returned that $1 billion in utility wildfire reimbursements to State Farm General it would double the company's surplus overnight," said William Pletcher.
Financial Results
Verisk reports revenue and income increase in Q4’24 - Reinsurance News
Verisk, a global data analytics and technology provider, has reported consolidated revenues of $736 million for the fourth quarter of 2024.
This figure was up 8.6% on a consolidated and an organic constant currency (OCC) basis., with solid growth contributions from both underwriting and claims within Insurance.
For the full year 2024, Verisk reported consolidated revenues of $2,882 million, up 7.5% and up 7.1% on an OCC basis.
At the same time, underwriting revenues increased 6.8% in the quarter and 7.0% on an OCC basis. According to the report, this growth was mainly due to the company’s forms, rules and loss cost services and extreme event solutions.
Specialty business and life solutions also contributed to the growth.
Verisk noted that Q4 results for Atmospheric and Environmental Research (AER) – which was a business within Underwriting – prior to its sale in December 2024, are included in the firm’s revenues from dispositions and totalled $3.0 million and $4.0 million for Q4 2024 and 2023, respectively.
In addition, claims revenue grew 13.0% in the quarter and 12.7% on an OCC basis, mainly driven by growth in the firm’s property estimating solutions and anti-fraud solutions.
CCC Intelligent Solutions Holdings Inc. Announces Fourth Quarter and Fiscal Year 2024 Financial Results
CCC Intelligent Solutions Holdings Inc. (“CCC” or the “Company”) (NASDAQ: CCCS), a leading cloud platform provider for the P&C insurance economy, today announced its financial results for the three months and year ended December 31, 2024.
“CCC delivered another year of solid financial performance, with year-over-year revenue growth in 2024 of 9% and adjusted EBITDA margin of 42%. We made significant investments in 2024 to deliver AI-based innovation and operational performance to our customers, introducing the largest number of new solutions in CCC’s history while continuing to expand our multi-sided network,” said Githesh Ramamurthy, Chairman & CEO of CCC.
“In addition to our investments in artificial intelligence and the CCC IX Cloud™ platform, our acquisition of EvolutionIQ helps to accelerate our vision of deploying intelligent experiences across the insurance economy,” continued Ramamurthy. “Positive customer feedback regarding these investments reinforces our confidence in our durable business model and long-term growth outlook.”
Full Year 2024 Financial Highlights
Total revenue was $944.8 million for the full year of 2024, an increase of 9% from $866.4 million for the full year of 2023.
InsurTech/M&A/Finance💰/Collaboration
Snapsheet and CrashBay Partner to Streamline Claims and Repair Management for Insurers
Snapsheet, a leader in claims management technology, is excited to announce a strategic partnership with CrashBay, an advanced repair management platform, to enhance efficiency and transparency in the claims and repair process for insurers.
This collaboration brings together Snapsheet's cloud-based claims management system with CrashBay's marketplace for auto repair, providing insurers with an integrated system that streamlines workflows from claim initiation to repair completion. By connecting claims processing with real-time repair facility insights, insurers, and policyholders benefit from improved cycle times, optimized repair shop selection, and a more seamless claims experience.
Enhancing the Claims and Repair Process
The integration of CrashBay's repair management technology into Snapsheet's ecosystem offers insurers a simplified, automated process for repair coordination. Through this partnership, insurers gain access to a nationwide network of repair facilities, ensuring efficient routing of vehicles for service while reducing delays and administrative burdens.
Key benefits of the Snapsheet and CrashBay partnership include:
- Optimized Repair Selection – Shop recommendations based on location, availability, and specialization ensure efficient repair assignments.
- End-to-End Automation – The seamless integration between Snapsheet and CrashBay reduces manual processes and speeds up claims resolution.
- Improved Policyholder Experience – Insurers can offer a frictionless repair process with real-time tracking and communication.
CompScience Secures $27.6M Series B to Advance AI-Driven Insurtech for Workplace Safety
CompScience, the leading active commercial P&C insurance, today announced the successful close of its $27.6M Series B funding round, led by Sands Capital. This investment will accelerate product innovation, scale operations, and expand market reach to help more organizations prevent serious injuries and fatalities (SIFs). Other investors, including Four More Capital, Working Capital, and Valor Equity Partners—investors in companies such as Tesla, Coalition, SpaceX, and Anduril—are backing CompScience's generative AI-driven approach to risk reduction, reinforcing confidence in its broad industry impact.
CompScience's visual AI platform identifies risks and predicts incidents before they become claims, strengthening client relationships and creating safer workplaces. By seamlessly integrating with existing camera systems, it eliminates the need for costly equipment and physical inspections, making AI-driven safety solutions more accessible to businesses. With this investment, CompScience will enhance its AI capabilities, expand its global team, deepen insurer partnerships, and extend its reach into new industries—setting a new standard for workplace safety and risk mitigation.
Beyond protecting employees and businesses, CompScience also empowers brokers with AI-powered risk mitigation tools, enabling them to proactively address workplace hazards, reduce claims, and lower costs. By strengthening their role as strategic advisors, this technology enhances their competitive edge and fosters long-term client loyalty.
"This funding is a testament to the value we're delivering to organizations that are committed to protecting their workforce," said Josh Butler, Founder and CEO of CompScience. "With this investment, we will make AI-powered safety available to millions of workers and save thousands of lives."
Recommended Events
Insurtech Hartford Symposium
April 29th & 30th | Connecticut Convention Center
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This in-person event is dedicated to inspiration, connection, and celebration—a chance to engage with thought leaders, gain career-boosting insights, and foster meaningful relationships that will propel your career in insurance and technology. REGISTER
InsurTech Consulting, LLC and ‘Connected’ newsletter are proud supporters of InsurTech Hartford Symposium and EmpowerHER, available to assist with sponsorship opportunities. Please contact alan@insurtechconsult.com
Legal System Abuse/Social Inflation
AM Best: Casualty reinsurance faces financial strain amid rising litigation costs and social inflation -
Rising litigation expenses and increased jury awards are placing significant financial strain on the casualty reinsurance sector, leading some carriers to bolster their reserves and squeeze profit margins, according to a recent AM Best report.
The Best’s Market Segment Report, titled “Casualty Reinsurance Capacity Remains Plentiful Amid Concerns,” highlights that reinsurers continued to offer substantial capacity during the January 2025 renewal season.
However, the report warns that without proactive measures to alleviate some of the sector’s challenges, the casualty reinsurance market could face an availability crisis.
A panel at a recent AM Best reinsurance renewal briefing noted that US reinsurers with casualty reserve portfolios achieving rate increases of 8%-10% are falling behind in addressing rising loss costs. In contrast, markets pushing for rate hikes of 15%-20% are better positioned to navigate these difficulties.
“Social inflation remains a key driver of casualty loss trends on past years and continues to create uncertainty across the casualty landscape amid negative social sentiment,” added Dan Hofmeister, Associate Director, AM Best.
Data Privacy/Cyber Security
AiDEN Auto: $4.2 Million (Seed) Raised For Privacy-First Connected Vehicle Technology
AiDEN Auto, a leader in privacy-first connected vehicle technology, announced the closing of a $4.2 million oversubscribed Seed funding round, bringing its total funding to $6.1 million.
AiDEN’s seed round was led by Nuri Venture Partners, and additional investors included Tengro Ventures, Band of Angels, Mentors Fund, Start Equity Ventures, Conxcity and Weltham Capital, and a distinguished group of veteran angel investors and family offices. AiDEN’s angel round also saw participation from IF Insurance and several Silicon Valley angel investors.
The value of connected vehicles lies in their ability to utilize data for proactive and service-oriented solutions, turning vehicles into smart companions that enhance the journey. The AiDEN no-code application framework is the first and only platform that empowers OEMs to offer in-vehicle services at scale while transforming how data is managed and shared within the connected vehicle ecosystem.
Previous models aggregated consumer data without transparency or consent, leaving individuals disconnected from decisions about how their information is used. And AiDEN’s vision centers on consent management, customer control, and transparency, enabling consumers to decide how and when their data is shared while unlocking new opportunities for automakers to deliver personalized, value-added services.
OEMs have traditionally focused on monetizing features like heated seats or unlocking advanced cruise control—essentially charging drivers for functionality that is already built into the car. And the real opportunity lies in monetizing services, not features.
Canada
Canadians could get compensated in car insurance class action | National
A new proposed class-action lawsuit against car insurance companies could potentially mean money in your pocket.
Gluckstein Lawyers and Wagners Law Firm have filed a proposed class action against several leading car insurance companies, alleging that they have “systemically underpaid consumers for total loss accident claims by relying on flawed valuation reports that reduce the compensation owed to policyholders.”
The suit claims these insurers have used reports from Mitchell International, Inc. and Audatex (AKA Solera) to assess the Actual Cash Value (ACVs) of vehicles that have been in accidents.
According to the plaintiffs, these reports contain “arbitrary and unlawful charges,” referred to as “Projected Sold Adjustment” and “Typical Negotiation Adjustment.” These lower the vehicle valuations and, therefore, reduce the payouts to car owners.
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