PIA Members, Carrier Communicators Talk Catastrophe Communications
Three PIA members who had first-hand experience serving their insureds in
the aftermath of Hurricane Katrina shared their experiences with communications
staff from carriers throughout the country May 17 in New Orleans. PIA National
board member Richie Clements, co-chair of the PIA National Natural Catastrophe
Working Group was joined on a panel with PIA National Past President Robert
Page and Louisiana agent John Faucheux during a meeting of the Professional
Insurance Communicators of America (PICA) moderated by PIA National's
Ted Besesparis, a volunteer director of the group.
Panel members detailed the challenges they dealt with in the aftermath of
Katrina, which generated the largest single loss in the history of insurance
— $41.1 billion and more than 1.7 million claims across six states. The
loss does not include another $16.1 billion in losses insured by the National
Flood Insurance Program (NFIP). The panelists offered the carrier communications
people tips on what agents need in disasters and also discussed the need to
enact a nationwide natural catastrophe public policy to address future disasters.
Also during the meeting, Louisiana Insurance Commissioner Jim Donelon said the
flooding due to the opening of the Morganza floodway to save New Orleans and
Baton Rouge from being flooded "unequivocally" will be covered by flood insurance.
He said the National Flood Insurance Program (NFIP) will not deny coverage just
because the floodway was opened on purpose. Donelon says any policyholder who
had the insurance activated 30 days before the event is covered, adding that a
much bigger problem is that so few people in a federally-designated floodway
have flood insurance. He said he is urging people all over south Louisiana to
get a policy from NFIP, especially with hurricane season starting in less than
two weeks.