Printer Friendly

DELAWARE INSURANCE COMMISSIONER ISSUES PUBLIC NOTICE

 DELAWARE INSURANCE COMMISSIONER ISSUES PUBLIC NOTICE
 DOVER, Del., Nov. 12 /PRNewswire/ -- Commissioner David N. Levinson,


on behalf of the Delaware insurance public and in his capacity as insurance commissioner for the state of Delaware, has raised issue with respect to the Collateral Protection program instituted by Mellon Bank (Delaware) National Association and Transamerica Premier Insurance Services, Inc.
 Similar issues were raised by the Pennsylvania Department of Insurance and have resulted in a court-approved settlement.
 Levinson has negotiated an offer from Mellon and Transamerica to those affected Delaware consumers. This offer compares favorably to the settlement reached in Pennsylvania. In Pennsylvania, the amount of the settlement actually received by consumers was reduced by the amount of an award of attorneys fees. The reduction equalled 30 percent of the total settlement fund. In Delaware, there is no reduction for attorneys fees. Both Pennsylvania and Delaware challenged the use of certain endorsements to the basic insurance policy. In Delaware, the average charge for those endorsements was 37 percent of the average charge in Pennsylvania, yet the average payment to consumers in Delaware is 52 percent of the average payment to the consumers in Pennsylvania.
 There were approximately 4,700 certificate holders in the state of Delaware and the department, with the assistance of Mellon and Transamerica, will be mailing notice of this offer to each certificate holder's last known address. In addition, there will be a public notice which shall run for three consecutive days in both the News Journal and Delaware State News.
 If any affected consumer has any questions, they should contact the Delaware Department of Insurance, 841 Silver Lake Blvd., Dover, Del., 19901, or telephone 800-282-8611 (New Castle and Sussex counties) or 302-739-4251 (Kent County).
 PUBLIC NOTICE:
 TO THE CITIZENS WITH AUTOMOBILE LOANS FROM MELLON BANK (DELAWARE).
 PLEASE TAKE NOTICE THAT CERTAIN CITIZENS ARE ENTITLED
 TO MONETARY BENEFITS.
 Commissioner David N. Levinson, in his capacity as Insurance Commissioner for the State of Delaware, has raised issue with respect to certain charges applied under a Collateral Protection program instituted by Mellon Bank (DE) National Association and Transamerica Premier Insurance Services, Inc. Similar issues were raised by the Pennsylvania Department of Insurance and have resulted in a court approved Settlement.
 The program involved automobile loans which were obtained by Delawareans through Mellon Bank (DE). If a Mellon borrower, for any reason, failed to maintain proper insurance coverage on his/her automobile, which was financed through Mellon, then Mellon would place insurance coverage through Transamerica Premier Insurance Services, Inc.
 Commissioner Levinson has negotiated an offer from Mellon and Transamerica to those affected Delaware consumers. This offer compares favorably to the settlement reached in Pennsylvania. In Pennsylvania, the amount of the settlement actually received by consumers was reduced by the amount of an award of attorneys fees. The reduction equalled 30 percent of the total settlement fund. The Delaware offer contains no reduction for attorneys fees. Both Pennsylvania and Delaware challenged the use of certain endorsements to the basic insurance policy. In Delaware, the average charge for those endorsements was 37 percent of the average charge in Pennsylvania, yet the average payment hereby offered consumers in Delaware is 52 percent of the average amounts received by consumers in Pennsylvania.
 Any person who has not received notice of this settlement offer through the U.S. mail should contact the Delaware Department of Insurance, 841 Silver Lake Blvd., Dover, Del., 19901, or call 800-282-8611 (New Castle and Sussex counties) or 302-739-4251 (Kent County).
 -0- 11/12/91
 /CONTACT: David N. Levinson, Delaware Insurance commissioner, 302-739-4251/ CO: Department of Insurance ST: Delaware IN: INS SU: MK-CC -- PH004 -- 3331 11/12/91 09:35 EST
COPYRIGHT 1991 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1991 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:PR Newswire
Date:Nov 12, 1991
Words:607
Previous Article:NCR SELF-SERVICE SYSTEMS EASE ATM USE FOR THE DISABLED ADDRESS SPECIAL NEEDS FOR CONVENIENCE, SECURITY (Product Announcement)
Next Article:HADSON REPORTS THIRD QUARTER RESULTS


Related Articles
INSURANCE COMMISSIONER LEVINSON LICENSES THREE INSURANCE COMPANIES OWNED BY BANKS UNDER DELAWARE'S 1989 BANK AND TRUST COMPANY INSURANCE ACT
INSURANCE COMMISSIONER ANNOUNCES FORMATION OF SOCIETY OF INSURANCE RECEIVERS
DELAWARE INSURANCE COMMISSIONER ANNOUNCES RATE REDUCTION IN FIRE POLICIES
DELAWARE INSURANCE COMMISSIONER ISSUES ANNOUNCEMENT
DELAWARE INSURANCE COMMISSIONER ISSUES STATEMENT
INSURANCE COMMISSIONER ISSUES REMINDER TO DELAWAREANS TO REVIEW THEIR PROPERTY PROTECTION AND PREPAREDNESS PLANS
DELAWARE INSURANCE COMMISSIONER ISSUES CONSUMER ALERT
DELAWARE INSURANCE DEPARTMENT ISSUES WARNING ABOUT FRAUDULENT INSURANCE PYRAMID SCHEME
DELAWARE INSURANCE COMMISSIONER WILLIAMS APPOINTED VICE CHAIRPERSON OF SENIOR ISSUES TASK FORCE FOR NATIONAL ASSOCIATION
CareFirst wants court to end rift.

Terms of use | Copyright © 2016 Farlex, Inc. | Feedback | For webmasters