Editor’s Note: This article originally appeared in National Underwriter, P&C.
So far State Farm is the only insurer to unearth data linking auto accident claims to problems with Toyota manufactured cars and trucks, but airing of industry statistics is still likely during two upcoming House hearings.
Officials of Allstate, GEICO, Progressive and State Farm have responded to requests for accident data involving Toyota vehicles by two congressional committees, and will continue to respond, spokespersons from the carriers confirmed.
Farmers Insurance said it is still in the process of fulfilling the congressional data request, but will comply.
The House Oversight and Government Reform Committee, and the House Energy and Commerce Committee, will hold back-to-back hearings on Feb. 24 and 25, respectively. In addition, the Senate Commerce Committee has scheduled a hearing for March 2.
Both House committees had asked the insurers to provide detailed data on accident claims involving Toyota cars and trucks. The requests for data were prompted by a Feb. 9 State Farm statement indicating that the auto insurer had alerted federal safety regulators in late 2007 about a rise in reports of unexpected acceleration in Toyota vehicles.
In responding to the State Farm data, National Highway Traffic Safety Administration officials said the report was reviewed, and the agency issued a recall later that month.
A State Farm representative, Phil Supple, confirmed that the insurer is producing information in an answer to a subpoena. “We feel the [Energy and Commerce] Committee will determine what to do with the information when it convenes,” he added.
However, both Allstate and Progressive said their records indicate no trends regarding unexpected acceleration, while Farmers said it is still analyzing its data.
“We have complied with, and responded to, the request from Congress, but we didn't have any information responsive to their requests to provide,” said Leah Knapp, a representative for Progressive.
An Allstate representative, Mike Siemienas, added that the carrier had examined its records and found “no apparent trend” in claims it had processed, “that would point to a recurring problem.”
Mr. Siemienas also said Allstate had a process in place to deal with recalls “because they occur all the time.”
Jerry Davies, a representative for Farmers Insurance, said his auto policy department was still reviewing the request for information, but will respond.
Arthur D. Postal is Washington Bureau Chief for National Underwriter, part of Summit Business Media’s P&C Magazine Group, which includes Claims.