Today’s News: Abortion Bill Vetoed in Oklahoma, Oil Spill Spurs Home Insurance Concerns and AIG Refuses Unit Buyout Offer

Posted in AIG , Health Insurance , Home Insurance , Life Insurance , Life Insurance Companies , Prudential

July 9th, 2010

Oklahoma’s governor has vetoed a bill recently passed in the state that would restrict abortion options under health insurance. In other insurance news, some reports have found that the oil spill in the Gulf could have a negative effect on home insurance policies and major life insurance company, AIG, has refused a buyout offer from Prudential, PLC.

Abortion Bill Vetoed in Oklahoma

The abortion language in U.S. health care reform that was so controversial it caused Bart Stupak to retire seems to be causing a bit of controversy at the state level as well. Recently, Oklahoma Gov. Brad Henry vetoed an abortion bill that would place strict limits on when private health insurance companies could cover the procedure. The bill included exceptions for those who had been raped, the victim of incest or if the mother’s life could be placed in danger due to the pregnancy. But the governor believed that the exceptions were too-heavily restricted by time limits and would not truly benefit the victims. (Associated Press)

Oil Spill Spurs Home Insurance Concerns

Now that the waters from the Gulf of Mexico oil spill have made their way to coast lines — and hurricane season is rapidly approaching — some homeowners have expressed concerns that their homes may be the victims of oil-laden waters. However, insurance industry experts say that while they cannot stop the hurricanes from throwing water onto properties, they have the cash necessary to help the properties rebound. According to the National Oceanic and Atmospheric Administration, this hurricane season (June 1 to Nov. 30) could be very active, so homeowners should have home insurance in place to protect their finances during this time. (Hartford Courant)

AIG Refuses Unit Buyout Offer

American International Group (AIG) announced on Tuesday morning that it wouldn’t accept an offer from Prudential PLC — one that would allow the company to acquire part of AIG’s pan-Asian life insurance subsidiary — because it was too low. Instead of accepting the offer for $30.375 billion, the life insurer decided to work with the original deal made with Prudential for $35.5 billion. There is no word as to whether Prudential will honor the first offer once again, leaving some to wonder why AIG turned down the offer with bailout money left to pay back. (Blogging Stocks)