All Eyes on Economics is a podcast series from Triple-I providing different perspectives on the intersection of economics and business strategy in the insurance and financial sectors. Thoughtful and actionable, Triple-I Chief Economist and Data Scientist Dr. Michel Léonard, CBE, and his guests engage in lively exchanges about how business leaders integrate economics into their wider growth strategy - and how economics is delivering tools that specifically match business needs in today’s challenging economy.

(As of February 26, 2024)

Analysts believe social inflation is the combined product of socioeconomic, legislative, and litigation factors that spark more frequent, sizeable, and sometimes unnecessary claim payouts. Whatever the primary drivers, social inflation is shifting loss ratios for insurers and disrupting forecasts, rendering cost management more challenging.

Legalized Fraud in America

Legal system abuse is a pervasive problem in the United States, with far—reaching implications for consumers and companies. It occurs when some people use the legal system in unscrupulous ways—for their own personal (often monetary) gain rather than for the fair resolution of disputes. Sometimes these activities involve using legal loopholes and sometimes they involve direct fraud. Nonetheless, this behavior can lead to higher costs for insurers and for policyholders in the form of increased insurance premiums and fewer coverage options.

Social inflation, or the rise of insurers' costs to cover claims above general economic inflation, is a growing threat to insurance affordability. The struggle to quantify social inflation’s causes is one reason policymakers have yet to reduce its impact. However, there is enough information in the public domain about social inflation to guide a mitigation plan, but success will take collective work on many fronts from all stakeholders.

Defining legal system abuse

Triple-I defines Legal System Abuse as policyholder or plaintiff attorney practices which increase costs and time to settle insurance claims. While litigation is considered a policyholder’s last resort, legal system abuse exploits litigation when a disputed claim could have been resolved without judicial intervention. Legal system abuse contributes to higher costs for insurance operations and policyholder pricing.

At tax time people are looking to find every possible deduction they can—so what about writing off your home or auto insurance premiums? The answer mostly comes down to one easy question: personal or business?

If you’re buying personal coverage for your home, car or another purpose, the Internal Revenue Service considers it a regular living expense, which isn’t any more deductible than buying toothpaste or kitty litter.

Abusive relationships not only involve physical and emotional violence—they often include financial abuse as well. Indeed financial abuse occurs in 99 percent of all cases of domestic violence, according to the National Network to End Domestic Violence (NNEDV). It can be an invisible weapon that keeps victims trapped in abusive relationships.

A drone is generally classified defined as an unmanned aerial vehicle weighing less than 55 pounds. In recent years, they've become less expensive, allowing recreational users access to relatively sophisticated uses such as aerial photography.

In addition to being fun for their consumer owners, drones can launch host of safety issues and potential insurance claims. So, while piloting a drone might sound like child's play, before you or a member of your family takes flight, be sure to contact your insurance professional.