April 2024 Newsletter

Upcoming Industry Events

April 3-5

IMPACT 2024: Cornerstone Annual Meeting - Kansas City, MO

April 3-5

CULA Lending Conference - Pheonix, AZ

April 10-12

PSCU 2024 Member Forum - San Antonio, TX

April 14-16

NCPCU Strategy Summit - Nashville, TN

April 15-19

CUES CEO Institute: FinTech - Roosevelt Island, NY

April 16-18

TN CUL Annual Convention & Expo - Gatlinburg, TN

April 18-19

MCUN Accelerate24 - Prior Lake, MN

April 22-24

inVest48: Ohio CUL Annual Convention- Columbus, OH

April 25-27

ECUC Annual Conference - Nashville, TN

April 25-27

HCUL Annual Convention - Oahu, HI

Industry News

Policyholders Calling Foul as Automakers Share Driving Info with Insurers

Some auto policyholders are upset after discovering that car manufacturers have shared driving data with their insurance companies without their knowledge. While many insurers offer voluntary usage-based insurance programs, some drivers are reluctant to participate. Instead, automotive companies are sending data from internet-connected vehicles directly to insurers. This practice has raised concerns about transparency and privacy, prompting scrutiny from regulators and lawmakers.

Read Full Article

insurancebusinessmag.com

Why Six Million Americans Go Without Home Insurance?

A recent study found that over six million homeowners in the United States lack homeowners' insurance. This leaves them vulnerable to significant financial risks in the event of natural disasters or property damage. The uninsured properties represent 7.4% of all properties nationwide, amounting to an estimated $1.6 trillion in property value at risk. Additionally, home insurance pricing has surged for everyone in the country, with premium costs rising by 19% in 2023 and 55% since 2019. The study suggests various measures to address these issues, including gathering more data on insurance gaps, investing in community risk reduction, and applying Fair Housing laws to rectify disparities.

Read Full Article

insurancebusinessmag.com

Do People Trust Progressive, State Farm and GEICO?

Insurity's recent survey revealed State Farm, Progressive, and GEICO as the most trusted property and casualty (P&C) insurance carriers in the US. State Farm topped the list with 21% of consumer trust, followed by Progressive at 17%, and GEICO at 16%. Trust is seen as crucial in the competitive P&C insurance sector, as it fosters customer loyalty and positive referrals. Sylvester Mathis, Insurity's chief insurance officer, emphasized the importance of trust in meeting consumer expectations and ensuring data security and privacy. The survey, conducted online in January 2024 with over 1,000 adult participants, highlights the growing significance of consumer trust in insurance providers.

Read Full Article

insurancebusinessmag.com

What Others Are Saying About ISI

"Julie was absolutely fantastic. I called to figure out why my wife and I kept getting a letter about our insurance in the mail and she quickly realizes that our new policy was not connected to our account and solved the problem. I was dreading calling because I figured that I would be transferred from department to department and get the run around. It was the exact opposite. Julie was polite and solved the problem in minutes. Great experience!"

From a borrower of

Achieve Credit Union

See what other Raving Fans are saying about ISI!

Celebrating Milestone Anniversaries This Month

We are thankful for our lender partners, who are essential to our continued success! Listed below are those celebrating milestone anniversaries with ISI this month!

Celebrating 10 Years

City Credit Union (TX)

WCU Credit Union

Celebrating 15 Years

SC National Guard FCU

Data/Industry Trends

Car Prices Are Falling, But a Bad Time to Trade

Car prices are expected to drop in 2024 as the automotive industry resolves supply-chain issues from the pandemic, easing prices on both new and used cars. While this is good news for shoppers, those who bought cars at peak prices may face negative equity if they trade in their vehicles. Read Full Article

msn.com

The "Magic" Mortgage Rate That Makes Homebuying Affordable

The housing market started the year optimistically, with signs that the tough period for buyers may be ending. A new survey suggests that 5% is the rate that would motivate homebuyers.

Read Full Article

msn.com

April Holidays, Fun Facts, and Folklore!

Spring has finally sprung! The month of April derives its name from the Latin word "aperio," meaning "to open [bud]," as this is when plants truly begin to flourish. Gather some seasonal recipes, gardening tips, and more!

Everything you need to know about April

almanac.com

Rising Insurance Costs Prompt Lenders to Reassess Strategies

One of the latest challenges facing lenders is the escalating cost of insurance that is driving borrowers to explore alternatives, including dropping insurance altogether. The surge in insurance expenses is compelling lenders to rethink their approach to insuring their auto and home loan portfolios.

Traditionally, lenders have focused on enforcing Collateral Protection Insurance (CPI) to safeguard their investments. However, amidst the current climate of soaring insurance premiums, some lenders are redirecting their attention towards making CPI more affordable for borrowers. This shift in focus poses significant challenges for lenders, as it potentially exposes their portfolios to greater risk.

One crucial aspect that lenders should consider is factoring in the expense of insurance when assessing a borrower's ability to repay their loan. Failure to account for this expense could lead to misjudgments regarding a borrower's financial capacity and ultimately increase the likelihood of loan defaults. Unfortunately, the outlook for insurance premiums suggests that this upward trend is unlikely to subside any time soon. It is imperative for lenders to stay vigilant and ensure that their frontline staff, collections department, and accounting department are well-informed about the recent trends in insurance costs. By reassessing their strategies and staying abreast of the evolving landscape, lenders can navigate these challenges effectively and safeguard their loan portfolios against potential risks.

President

ISI

tmaccurdy@isicpi.com

704-957-5024

Connect with Us:

Contact Info:

Phone: 800-749-5440

Email: management@isicpi.com

Website: insurancesystemsincorporated.com

ISI is an administrator of Collateral Protection Insurance (CPI) and Blanket Lenders Single Interest (BLSI) for financial institutions. We provide insurance, lending, and marketing products to the financial institution marketplace. Our mission is to deliver the best products and services in the industry through responsive service, comprehensive coverage, and advanced technology. We combine the lender's vision and our proven plan to create a portfolio that matches the lender's needs for a successful program and partnership.