NU Online News Service, Nov. 4, 12:44 p.m. EST
Tuesday night's election results will have little impact on the property and casualty insurance community, but could result in a new insurance regulator in New Jersey, according to the assessment of one trade group.
The Property Casualty Insurers Association of America (PCI) said the key result is a possible change in New Jersey's top insurance regulator.
Chris Christie, the Republican candidate for governor who derailed Democrat Jon Corzine's bid for reelection, will have the power to appoint New Jersey's Department of Banking and Insurance commissioner.
Meanwhile, in California Democrat John Garamendi, the former state insurance commissioner who went on to become his state's lieutenant governor, was elected to serve in Congress when he emerged as the victor in a special election contest to choose a representative for Northern California's 10th Congressional District.. He defeated Republican David Harmer. The election was called after Democrat Ellen Tauscher resigned to take an undersecretary position in the State Department.
According to an account posted on his campaign Web site, Mr. Garamendi promised supporters last night that he will "hit the ground running in Congress and look forward to casting a vote for comprehensive health care reform that includes the public option, helping to enact President Obama's vision for America."
The New Jersey commissioner's post is currently held in an acting capacity by Neil Jasey a former vice president and deputy general counsel for Prudential Insurance Company of America.
Mr. Jasey was named to his post in July after Steven Goldman resigned as commissioner to return to private practice with a New York law firm.
Mr. Jasey's nomination to the $141,000-a-year post has not been acted on by the State Senate. A spokesman for his department, Ed Rogan, in response to a question as to Mr. Jasey's plans and whether he would leave his post before January when Mr. Christie takes office, said "no decision has been made at this time as to if or when Mr. Jasey will resign."
Concerning the New Jersey commissioner's post, PCI commented in a statement that it is "hopeful the new administration will recognize the value of a stable and predictable marketplace and the need to maintain the reforms, particularly with auto insurance."
PCI said one of the key p&c issues facing the state is further implementation of the Personal Injury Protection (PIP) medical fee schedule.
The New Jersey Superior Court, Appellate Division ruled earlier this year in favor of the New Jersey Department of Banking and Insurance and allowed the new PIP medical fee schedule to be implemented.
In Virginia, where Republican Robert F. McDonnell defeated Democratic Gov. R. Creigh Deeds, PCI said there will be little impact as the insurance commissioner there is appointed by an independent corporation commission.
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