Venice, FL – The President of First Guard Insurance Company, Edmund B. Campbell, III, broke ranks with other insurers and encouraged the Democrat controlled congress to repeal the McCarran Ferguson Act. “I have no argument with the system of state regulation,” stated Mr. Campbell. “However, the provision of McCarran Ferguson that provides anti-trust exemption and allows service firms like ISO to accumulate and publish collective loss, expense and rating data clearly discourages creativity and competition in our industry.”
Mr. Campbell has offered to testify before both the House and Senate Judiciary Committee’s in favor of repeal. Many leading Democrats including Representatives John Conyers of Michigan and Robert Wexler of Florida have expressed a desire to hold hearings on this issue. Even Republicans such as former Senate Judiciary Chairman Arlene Specter have articulated a need to review the anti-trust exemptions permitted by McCarran Ferguson.
Congress originally passed the Act in 1945 to establish state regulation over insurance. The Act includes a provision that exempts the industry from federal anti-trust laws and allows insurers to share loss and expense data to help with policy pricing and form development.
“Well run insurance companies understand their cost structures and exposure to risk,” said Campbell. “First Guard Insurance Company does not need or rely upon data collected from our competitors. We operate with a different model. If Congress repeals McCarran Ferguson it will force this industry to pay more attention to its excessive overhead costs and to become more entrepreneurial in the assessment of risk. Consumers in the end will benefit.”
About First Guard Insurance Company
First Guard Insurance Company, rated "A" by AM Best, is a direct writer of physical damage insurance for independent truckers.
SOURCE: First Guard Insurance Company
CONTACT: Courtney Wilson, Director of Corporate Communications
941-485-6210 e-mail: Courtney@1stguard.comwww.1stguard.com
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