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In most cases, he points out, companies have years or decades to pay claims.
What other insurance policies will pay claims for this event?
At least $2 billion more would go to pay claims by other creditors.
Both systems measure the ability of insurers to pay claims.
Unemployment insurance funds can be used only to pay claims.
"Insurance companies should not complain about paying claims up front."
If it failed to pay claims, they would be paid from the trust fund.
Insurance companies will face heavy penalties if they do not pay claims in 45 days, under a new state law.
Instead, it made the money available to pay claims of emotional distress, which the department had never done before.
Two special funds pay claims to injured workers under certain circumstances.
"We won't have to worry about credit problems or money not being there when it's needed to pay claims," he added.
"The bottom line is that insurance companies make money when they don't pay claims.
The ratings include the company's financial strength, which measures its ability to pay claims.
Financial strength ratings measure an insurance company's ability to pay claims.
Until recently, virtually all of the big insurance companies had been considered rock solid - their ability to pay claims beyond question.
She was however faced with a strike of teachers in November that year over a national pay claim.
A. No one is going to quarrel paying claims on this.
But with only $200 million of cash, the association wants access to bank loans to pay claims quickly after a big storm.
It also paid claims to exposed workers who had developed lung cancer.
Perhaps a major inhibitor of change was the teacher action that term over the teachers' pay claim.
Paying claims, if any, could cost the company many billions more, analysts say.
Insurance companies that had mainly paid claims for medical services have been forced to learn new techniques.
Federal officials say the new rules should not interfere with the flow of information needed to treat patients and pay claims.
Motorola measures the time it takes to pay claims, typically 8 to 12 business days.
Then a pool of money created by contributions from insurers and the government paid claims.