TREAD ACT(美国汽车安全法规)

TREADACT

Section3(d)

InsuranceStudy

March5,2001

NationalHighwayTrafficSafetyAdministration

TableofContents

I.Introduction

II.Background

III.InsuranceDataThatCouldSupportDefectsInvestigations

IV.DataCollectedByInsuranceCompanies

V.LegalIssues

VI.Conclusions

AppendixI

AppendixII

I.Introduction

TheTransportationRecallEnhancement,Accountability,andDocumentation(TREAD)Act

(Pub.L.106-414;November1,2000)directstheU.S.DepartmentofTransportationto

undertakecertainactivitiestoimprovehighwaysafety.TheNationalHighwayTrafficSafety

Administration(NHTSA)isresponsibleforimplementingtheseprovisions.Section3(d)ofthe

TREADActdirectsNHTSAtostudythefeasibilityandutilityofobtainingaggregate

informationfrominsurancecompaniesregardingclaimsmadeforprivatepassengerautomobileaccidents,asfollows:

TheSecretaryofTransportationshallconductastudytodeterminethefeasibilityandutilityofobtainingaggregateinformationonaregularandperiodicbasisregardingclaimsmadeforprivatepassengerautomobileaccidentsfrompersonsinthebusinessofprovidingprivatepassengerautomobileinsuranceorofadjustinginsuranceclaimsforsuchautomobiles.Notlaterthan120daysafterthedateoftheenactmentofthisAct,theSecretaryshalltransmittheresultsofsuchstudytotheCommitteeonCommerceoftheHouseofRepresentativesandtheCommitteeonCommerce,Science,andTransportationoftheSenate.

NHTSAinvestigatespotentialsafetydefectsinmotorvehiclesandmotorvehicleequipment

under49U.S.C.?30166.Thepurposeoftheseinvestigationsistodeterminewhether

safety-relateddefectsexistinmotorvehiclesormotorvehicleequipmentandwhether

manufacturersshouldconductnotificationandremedycampaigns,knownasrecalls,thereby

reducingthepotentialforcrashes,injuries,fires,anddeaths.NHTSAbasesitsdecisionson

whethertoopendefectinvestigationsontheinformationthatisavailabletoit.Iftheagency

obtainsmorecomprehensiveinformationaboutcrashesandinjuriesthatmayhavebeen

causedbydefectsinmotorvehicles,itwillbebetterabletofocusitsinvestigativeresources

onpotentialdefectsthathaveledtoreal-worldsafetyproblems.Thus,theremaybe

informationinthehandsofautomobileinsurancecompaniesthatcouldhelptheagencysignificantlyinidentifyingpotentialdefects.

NHTSAhasobtainedsomeclaimsinformationonaninformalbasisfromalimitednumberof

insurancecompaniesinthepast.However,thoseinsurancecompanieshavesuppliedmost

ofthatinformationinresponsetospecificrequestsfromtheagency,asopposedtoproviding

itonaregularbasisasan"earlywarning"ofpossiblesafetyproblems.Inthepast,some

insurancecompanieshaverefusedtoprovideinformationrequestedbyNHTSAduringitsinvestigations.

Thisdocumentsummarizestheagency'sdefectsinvestigationdataneeds,thedatacollectedbytheinsuranceindustry,andthepotentialutilityoftheinsuranceindustry'sdata.

II.Background

Inordertogatherthenecessaryinformationto

conductthisstudy,theagencyusedatwo-pronged

approach.First,theagencysentidenticalSpecial

Orderstotheeightlargestautomobileinsurance

companies,requiringeachofthemtorespondtosix

questions.Second,NHTSApublishedaFederal

Registernoticeseekinginputfromthepublic.Eachoftheseapproachesisdescribedbelow.

SpecialOrder

BecauseNHTSAhadalimitedamountoftimetoconductthestudy,weconcludedthatthe

mostefficientandeffectivewaytoobtaininformationfromtheinsuranceindustrywasby

issuingSpecialOrders.TheagencysenttheSpecialOrderonNovember29andNovember

30,2000,withallresponsesduebyJanuary5,2001.Alleightcompaniessubmitted

responses.However,someresponseswerenotcomplete.NHTSAintendstofollowupwith

thosecompanies.However,giventhetimeconstraints,anysupplementalresponsesarenot

includedinthisstudy.AcopyofthetextoftheSpecialOrdersisattachedinAppendix1.

Someofthecompaniessubmittedinformationabouttheirdatabasesbutrequested

confidentialtreatmentforthatinformation.NHTSAhasgrantedconfidentialtreatmentfor

someofthesubmittedinformation,andthisinformationmustbewithheldfrompublic

disclosure.NHTSAhasdeniedconfidentialtreatmentforotherportionsofthesubmitted

information.However,thecompaniesthatsubmittedtheseportionshavetherighttorequest

reconsiderationoftheagency'sdecision.Accordingly,untiltheagency'sdecisionnottoafford

confidentialtreatmentfortheseportionsbecomesfinal,thisinformationalsomustbewithheldfrompublicdisclosure.

FederalRegisterNotice

OnDecember11,2000,NHTSApublishedintheFederalRegisterarequestforcomments

notice(65FR77339).ThenoticestatedthatNHTSAwasseekinginputfromthepublicto

assisttheagencywiththestudy.ThecommentperiodclosedonJanuary5,2001.Two

groupssubmittedcomments.Fourinsuranceassociations(AllianceofAmericanInsurers,

AmericanInsuranceAssociation,NationalAssociationofIndependentInsurers,andNational

AssociationofMutualInsuranceCompanies)that"collectivelyrepresentvirtuallytheentire

U.S.privatepassengerautomobileinsuranceindustry,"joinedtogethertosendconsolidatedcommentsoutliningtheirconcernsaboutprivacyandthepossibleburdenthatadata

collectionrequirementmightpresenttosmallcompanies.Also,theInsuranceInstitutefor

HighwaySafety's(IIHS)HighwayLossDataInstitute(HLDI)providedinformationaboutthedatathatHLDIreceivesfrominsurancecompanies.

III.InsuranceDataThatCouldHelptoIdentifyPotentialSafetyDefectsandSupportDefectInvestigations

Safety-relateddefectsinvestigations,conductedbyNHTSA'sOfficeofDefectsInvestigation

(ODI),areinitiatedbasedontheinformationavailabletotheagency.Inmostcases,ODI

opensitsinvestigationsonthebasisofatrendinreportsofincidents.Vehicleowners,

consumers,fleetmanagers,etc.,filesuchreportswithNHTSAinvariousways.

Approximately70percentoftheinvestigationsthatODIopensarebasedonthesereports.To

fileareportwithNHTSA,thepersonexperiencingtheincidentmustbeawareofNHTSAand

itsmission;knowhowtocontactNHTSA;andbewillingtoexpendtheeffortnecessarytofile

thereport.ODIconductsanongoingoutreachefforttomakethepublicawareofNHTSAand

itsmissionandtoencourageconsumerstoreportdefectstotheagency.However,ODI

estimatesthatonlyasmallportionoftheincidentsthatoccurthatmightberelatedtoapotentialsafetydefectarereportedtotheagency.

Insurancecompaniesregularlyreceivereportsofcrashesorfiresinvolvinginsuredvehicles

that,ataminimum,involvepropertydamage.Also,thefirstreportfiledbyanowneris

typicallymadetotheinsurersincetheowner'sfirstneedistorepairorreplacethevehicleor

tocovermedicalbills.Becauseofthis,obtainingaccesstoinsurancecompany'sclaimsdata

couldprovideNHTSAwithamoretimelyidentificationofemergingtrendsincrashesorfiresthatmaybecausedbysafety-relateddefectsinmotorvehiclesorequipment.

Inordertofullyutilizeareportaboutapotentialdefect,NHTSAneedsthefollowinginformation:

Table1

Vehicleinformation

PersonalIdentifiers

IncidentClaims

fullVIN(ortirefullnameidentification

number)

date

failedpartor

subsystem

make

model

modelyear

mileageatincident

address

phonenumber

(alsofaxnumberor

emailaddressif

possible)

timeofday

location

typeofcrash

identityofinvestigating

policejurisdiction

identificationofother

vehicle(s)andpeople

involved

numberofpersons

injuredorkilled

possibledefect

vehicle

contributing

factor

Currently,onlyoneinsurancecompany(StateFarm)providesasignificantamountof

informationtoNHTSAaboutpotentialdefects.Moreover,StateFarmgenerallyprovidessuch

informationonlyinresponsetospecificrequests,althoughonrareoccasions,StateFarmhas

providedinformationwithoutsucharequest.However,StateFarmhasnotroutinelyprovided

thefullVIN,personalidentifiers,orspecificcrashinformation.Withoutthatinformation,itisimpossibleforNHTSAinvestigatorstofollow-upontheinformationtoseeifitidentifiesor

supportsadefecttrend.StateFarmhasagreedinthepasttoprovidepersonalinformationto

theagencyonlyifitcouldobtainpermissionfromthepolicyholderstoreleasetheirnamestotheagency.

ItshouldbenotedthatStateFarmisprovidingsimilartypesofpersonalinformationforother

purposes.ThecompanyisparticipatinginastudywiththeChildren'sHospitalof

Philadelphia/UniversityofPennsylvania(CHOP/Penn)inwhichitprovidesthehospitalwith

detailedinformationaboutincidentsinvolvingchildren.StateFarmhastrained7,750claims

representativesfrom365fieldofficestoobtainthedataandgetconsentfromtheinsuredto

beincludedinthestudy.Theseclaimsrepresentatives,onadailybasis,identifyqualifying

claimsandelectronicallytransfertoStateFarmheadquartersinformation,includingsuch

personalinformationasdrivernamesandtheagesandgendersofthechildreninthevehicle

atthetimeoftheincident.StateFarmclaimsrepresentativesthenseekpermissionfrom

policyholderstoreleasethispersonalinformation.StateFarmheadquartersconductsseveral

qualityassurancechecksandforwardsthedatadaily,viaemail,toCHOP/Penn.CHOP/Penn

conductsseveralmorequalityassurancechecksandselectsarepresentativesampletobe

includedinitssurveillancesystembysubjectingthedatatoanautomatedsamplingalgorithm.

CHOP/PennsendsthecontactinformationtoResponseAnalysisCorporation(RAC)inNew

Jerseytoconductatelephoneinterviewwiththeinsured.Inthetelephoneinterview,RACobtainsin-depthinformationaboutthecrashandanyinjuriestothechildpassenger(s).

TheCHOP/Pennsurveillancesystemprovidesavaluableservicetothetrafficsafety

communitythroughitsparticipationinthissystem.Theconsentrateforclaimantswas85

percent.Thisindicatesthatitispossibletoobtainconsentfrompolicyholdersinordertofosteradvancesintrafficsafety.

EarlyWarningRequirements

InSection3(b)oftheTREADAct,NHTSAisrequiredtoissueafinalrulerequiring

manufacturersofmotorvehiclesandmotorvehicleequipmenttoreportcertainwarranty,

claims,andincidentdatathatcouldindicatetheexistenceofsafetydefects.NHTSA

publishedanAdvancedNoticeofProposedRulemaking(ANPRM)onthissubjectinthe

FederalRegisteronJanuary22,2001(66FR6532).CommentsareduebyMarch23,2001.

TheANPRMreferstowarrantydata,seriousinjuryordeathclaims,propertydamageclaims,

fieldreports,consumercomplaints,changestoparts,fuelleaks,fires,androllovers.This

informationshouldhelpNHTSAlearnaboutpossiblesafety-relateddefectsthatwarrant

investigationsoonerthanunderitscurrentmethod,whichreliesprimarilyonconsumer

complaintsreceivedbytheagency.Motorvehicleandequipmentmanufacturerswouldbeaffectedbythesechanges,butnottheinsuranceindustry.

TheANPRMindicatedthattheagencyisconsideringrequiringmotorvehicleandequipment

manufacturerstoreportincidentsofwhichtheyreceiveactualnoticewhichinvolvedeathsor

seriousinjurieswhichareallegedorproventohavebeencausedbyadefect,regardlessof

whetherthereisa"claim."WebelievethattoachievethegoalsoftheTREADAct,"claim"

mustbeconstruedbroadly.Forexample,wehavetentativelyconcludedthatitincludes

subrogationclaimsfiledbyaninsureragainstamanufacturer.Subrogationinformationfrom

themanufacturerwouldnotbeastimelyassimilarinformationfrominsurancecompanies,

sincetheinsurancecompanieshaveknowledgeofthemattersleadingtothesubrogationclaimpriortofilingitwiththemanufacturer.

IV.Datacollectedbyinsurancecompanies

Theprimarybusinessoftheinsuranceindustryistoissueandunderwritepoliciesandtopay

claims.Insurancecompaniesgenerallyhaveclaimsandsubrogationdatabases.Thesedata

basesvaryinlevelsofsophistication.Themajorityofinsurancecompaniesaresmalland

operateinlimitedgeographicalareas.Someofthesmallercompaniesdonothavecomputer

databases,oriftheydo,theyarerudimentarysystems.Weanalyzedthedatabase

informationprovidedbytheeightinsurancecompaniesinresponsetotheSpecialOrderstodeterminewhetherthedatawithintheirdatabaseswouldbeusefultotheagency.

ElectronicClaimsData

ItappearsthatonlyStateFarmandUSAAcurrentlyhaveelectronicdatabasesthatcanbe

usedtopointtopossiblesafetydefects.StateFarm'sClaimsResearchAutoSupportHotline

(CRASH)databaseismostlikelytobeuseful.The"typeofloss"and"factsofaloss"

informationinStateFarm'sCRASHdatabaseappeartoprovideinformationastowhetherthe

losswascausedbyafireorcollisionandaboutthetypeofcollision,whichcouldidentify

potentialsafetydefects.TheCRASHdatabaseincludesfieldsformake,model,modelyear,

andVehicleIdentificationNumber(VIN)sospecificvehiclescanbeidentified.Suspected

defectsarealsoreportedtoCRASHbyclaimsrepresentatives.StateFarmwarnsthat"This

processinvolvesjudgment,whichsuggeststhatmerelyobtainingrawdatawillnotbehelpful.

Areportonasinglecasecouldbeseriousenoughordispositiveenoughtowarrantreporting

onthecasealone.Othercaseswouldrequiremultiplereportstoconvincethereviewerthat[furtheraction]iswarranted."

TheCRASHdatabaseisuniquetoStateFarm.Itisthelargestautomobileinsurance

companyintheUnitedStates,handlingover10millionclaimsannually.Itmaynotbefeasible

forother,smallerinsurancecompaniestocreatesimilardatabases.Forexample,GEICO

Generalnotesthatitmightbepossibletosearchforpossibledefects,butexpressed

concernsrelatedtotheresourcesthatwouldberequiredtoperformthistypeofanalysis.

GEICOGeneralstatedthat,inordertodoasearch,"astand-alonedatabasewouldhaveto

becreatedforthisspecificpurpose."Smallerinsurancecompanieslikelycouldnotaffordthetimeorexpenseofsettingupthistypeofsystem.

USAAusestwodatabasestostoreinformationonautomobileclaims:aLossReport

DatabaseandaClaimsDatabase.Ifthesetwodatabasescouldbemergedtogether,thedata

theycontainmightbeusefulinidentifyingpotentialsafetydefects.TheLossReportdatabase

hasaproductdefectflagthatallowsclaimsrepresentativestoindicateyes/noastowhether

thelossisallegedtoinvolveaproductdefect.Italsohasproductnameandproductdefect

descriptionfields.Dataelementsthatcanspecificallyidentifythevehiclearealsoavailable

(make,model,modelyear,andVIN).AfireinvestigationfieldisavailableontheLossReport

database,butcollisioninformationandcollisiontype(accidentdescriptioncode)isonly

availableontheClaimsdatabase.TheClaimsdatabasedoesnothaveanyvehicleinformationordefectinformation.

USAAthinksthevehicledefectinformationisnotreliablyandconsistentlycollected:"USAA

doesnottrackvehicledefectssystematically."Theinformationcollected"isbasedonthe

judgmentoftheclaimsrepresentativeandisusedonlytoreferthemattertothesubrogation

unit."Thesubrogationunitinvestigateseachcaseseparatelyanddoesnotaggregateclaims

information.Therefore,USAAconcludesthat"itisnotfeasibletoprovideareportcontaining

aggregateclaimsinformationonaregularbasisthatmayserveasapointertopossiblesafetydefectsthatcouldbeinvestigatedbytheagency."

Table2showsthedataelementsavailableontheclaimsdatabasesofsixinsurance

companies.Becausesomeoftheinformationprovidedhasbeenclassifiedasconfidential,we

donotidentifythecompaniesbyname.Dataelementswerenotprovidedbytwoofthe

insurancecompaniesandtheirresponsestotheSpecialOrderprovidednouseable

informationondataelementavailability.Therefore,thesecompaniesarenotincludedinTable2.

FourofthesixinsurancecompaniesinTable2haveothervehicleinformationavailablein

theirdatabases.Thisinformationisnotusefultoidentifypossiblesafetydefects,becausethe

dataindicatesthepresenceofapartbutdoesnotindicateifthepartorsystemfailed.Mostof

thisinformationiscontainedinflagfields.Forexample,thepowersteeringfieldappearsto

indicateifthevehicledidordidnothavepowersteering.Othervehicleflagdatafields

availableare:powerbrakes,vinyltop,stereo,typeofradio,airconditioning,andpassive

restraintsystem.Afewofthedatabasesalsocontaininformationavailableontiresizeand

enginetype.Noneofthesevariablesstoreinformationthatindicatesifaparticularpartorsystemfailedorcontributedtothecrashorfire.

Table2

DataElementsavailableontheClaimsdata

CompanyCompanyCompanyCompanyCompanyCompany123456

VIN

Make,Model,and

X

X

X

X

X

X

X

X

X

X

X

X

ModelYear

Fire

Rollover

X

X

X

TypeofCrash

X

X

Impactpoint

X

AllegedDefect

VehicleSubsystem

Involved

X

X

Threeinsurancecompanies,GEICOGeneral,Progressive,andAllstate,mentionedthatthey

useasoftwareproductsoldbyCCCInformationServices,Inc.(CCC)toestimaterepaircosts.

TheinformationprovidedbyCCCtotheinsurancecompaniesdoesnotincludespecificparts

listings.Onlyinformationonbroadcategoriesofrepairareavailablesuchas:sheetmetal

replacementorrepair,mechanical/electricreplacementorrepair,framereplacementorrepair,

andpaintmaterial.GEICOGeneralsays,"ThedatastoredintheCCCdatabaseprovides

detailedestimatesinformationtoincludeindividualpartslisting,partsnumberandparts

prices.ThisdetailedinformationisretainedintheCCCdatabase.Onlysummaryestimates

andpaymentdataistransmittedtoGEICOGeneralforstorageonGEICOGeneralinternal

databases."AllstateandProgressivealsodonothavedetailedrepairinformationintheirdatabases.

Subrogation

Theinsuranceassociationsstatethatthereareapproximately300,000subrogationcases

arbitratedyearly,butmostoftheseareclaimsagainstotherinsurersorself-insuredentities.

IntheirresponsetotheFederalRegisternotice,theyexplainthat"virtuallyall

property/casualtyinsurersaresignatoriestonationalagreementsthatmandatebinding

arbitrationtoresolveautosubrogationdisputesbetweeninsurers."Also,"nearlyall

automobilesubrogationclaimsarebetweeninsurersandself-insuredsthatarepartytothe

nationalarbitrationagreements."AccordingtotheAmericanInsuranceAssociation,thereare

nopublishednumbersofsubrogationcasesagainstmotorvehicleorpartsmanufacturers.

Theindustrystatedthatsubrogationclaimsagainstvehicleorcomponentmanufacturersby

insurancecompaniesarerareandtheyareonlypursuediffinanciallyviable.Allstatesays,

"Subrogationagainstvehicleorcomponentmanufacturersbyourcompanyisarelatively

infrequentoccurrence."USAAstatesthat"asapracticalmatter,thecostsofhiringexperts

andpursuinglitigation,aswellasthedifficultyinobtainingsufficientevidence,mayoutweighanypotentialrecoveryincertaincases."

Subrogationfiles(whetherleadingtoaformalclaimornot)containimportantinformationthat

maybeofusetotheagency.

LibertyMutualstates,"OnreceiptofthereferralinSubrogation

[fieldoffice'selectronicreferralforsubrogation],theclaimisthoroughlyreviewedtoconfirm

thefactsoftheloss,placetheatfaultpartyonnoticeofourclaimandfollowupwith

supportingdocumentation(estimates,policereports,expertreportspictures,statements,

etc.)."Thus,theinformationintheinsurer'sfileoftengoesbeyondinformationinthehandsofthevehicleorequipmentmanufacturer.

Allstatehasa"subrogationunitspecializinginsubrogationrecoveriesrelatingtodefects.By

centralizingthehandlingofthesecaseswehavebeenabletofurtheridentifyspecific

manufacturersand/ortrendsinproductsthatcauselossesacrossthecountry."Allstate

explains,"Thisspecialtyunithasbeenabletolearnofrecallsandhasutilizedtheexpertiseof

attorneystohelpdirectfurtherinvestigationsneededonthesemorecomplexlosstypes."

Mostoftheinsurancecompanieshavedatabasestotracktheirsubrogationcases.Generally,

informationabouttheclaim,typeofclaim(automobilefire,automobilecollision,orcollision

andfire),typeofthirdparty(uninsuredperson,otherinsurancecompany,orcollection

agencyorattorney),amountofdamages,recovereddamages,andtrackinginformationare

availableonsubrogationdatabases'claimsfile.However,someimportantinformationthat

maybeintheclaimsfile,suchasvehicleinformation,orinformationabouttheallegeddefect

orinvolvedvehiclecomponentsarenottypicallycontainedintheelectronicdatabases.

NHTSAbelievesthatinformationonsubrogationinvestigationsandsubsequentclaims

againstavehicleorcomponentmanufacturermaypointtopossiblesafetydefects.The

informationNHTSAwouldfindusefulisthemanufacturerinvolved,thevehicleinvolved,the

suspectedorallegeddefectivepartorsystem,whetherafireorcollisionoccurred,and,ifa

collision,thedetailsaboutthecrash.Insurancecompanies'claimsrepresentativehavethis

information,eitherelectronically,onpaper,oracombinationofboth.Sincesubrogation

investigationsarerare,itshouldnotbeburdensomefortheinsurancecompaniestoreport

thisinformationtoNHTSAonaperiodicbasiswhentheyconsidersubrogationagainstavehicleorcomponentmanufacturer.

Theinsurancecompaniescontendthatsuchinformationwouldnotbeuseful.StateFarm

says,"Obtainingsuchinformationonsubrogationclaimsdirectlyfrommanufacturersismore

usefulbecauseitwillcaptureclaimsfromallsourcesincludinginsurers."USAAsays,

"Becauseoftheamountofinvestigationandrequisiteperiodoftimerequiredtodetermine

whetheraproductdefectwasthecauseoftheaccident,thismethodisnotfeasibleforserving

asapointertopossiblesafetydefects.Anyinformationthatisderivedfromthisinvestigation

anddeterminationwouldbeseveralmonthsold."However,subrogationinformationfromthe

insurancecompanieswouldbemoretimely,sinceinformationwouldbeavailabletothe

insurancecompany'ssubrogationunitbeforethevehicleorequipmentmanufactureris

notified,andmoredetailedthansimilarinformationfromthemanufacturersoranyothersource.

Theinsurancecompaniesalsoarguedthattheinformationcontainedintheirsubrogationfiles

isnot"aggregateinformation"asspecifiedintheTREADAct.Sinceclaimsofdefective

equipmentarerare,averysmallnumberofsuchclaimswouldbeconsidered"aggregate

information"inthiscontext.Inthoserarecaseswherecompaniesconsiderpursuing

subrogationforapotentialdefect,itismostoftenbecausetheyhavereceivedseveralsimilar

claimsthatindicatetheexistenceofavehicleorequipmentproblemthatmayhavecausedtheloss.

Appendix2containssummariesoftheelectronicdataavailableforeachinsurancecompanyincludedinthisstudy.

UnusualClaimsRates

IntheSpecialOrder,weaskedtheinsurancecompaniesabouthowtheyanalyzeclaimsrates

thatarehigherorlowerthanthenorm.Wefoundthatmostofthecompaniesdoperforman

annualactuarialreviewofthelossexperiencebymakeandmodelyear.However,theycannotanalyzetheinformationforcausationoftheclaim,e.g.potentialdefect.

Forexample,USAAstated,"Wedonotgeneratereportsconcerningthepercentageofa

particularmake/model/modelyearthatareinvolvedinaccidentsincertaintimeperiodthat

couldbeusedtocomparetoavehicleclassorcomparabledesign,evenifweaggregated

vehiclesbyclassorcomparabledesign....Wedonotgenerateanyreportsthatcouldbeused

indeterminingwhethertheclaimsrateforspecificvehiclesishigherorlowerthantheclaims

rateforthatvehicleclassortheclaimsexperienceforcomparabledesigns.Asaresult,we

arenotabletodeterminewhethertheclaimsrateforcertaintypesofcrashesorfiresforspecificvehicleswashigherorlowerthanforthevehicleclassorcomparabledesigns."

DataClearingHouses

Wealsoaskedtheinsurancecompaniesaboutdatatheysendtodataclearinghouses.All

eightinsurancecompaniesreportedthattheysendinformationtoatleastonedataclearing

house.Therearethreemainclearinghouses:InsuranceServicesOffice,Inc.(ISO);

ChoicePointIncorporated'sComprehensiveLossUnderwritingExchange(CLUE);and

HighwayLossDataInstitute(HLDI).Mostreportedthattheyalsosenddatatoafourthdata

clearinghouse,NationalInsuranceCrimeBureau(NICB),butitrecentlymergedwithISOso

wearetreatingitasapartofISOforthisstudy.Eachofthedataclearinghousesisdescribedbelow.

CLUE:AllofthecompaniesreportedthattheysenddataonamonthlybasistoChoicePoint,

Inc.forinputintoitsCLUEdatabase.Theinformationprovidedincludes:personalidentifiers

(name,address,socialsecuritynumber);dateofloss;licensenumberandstate;sex;policy

type;coveragetype;paymentinformation;andclaimdisposition(open,closed,subrogation).

ISO:TheinsurancecompaniessubmitpaidlossstatisticalreportstoISO.USAAstated,"ISO

collectsstatisticaldataforallstatesidelocationsexceptMassachusettsandTexas,which

havetheirown,similarstatisticalplans.Alldataissubmittedonaunittransactionbasis.We

submitpaidlosses(indemnitypayment),ALAE(allocatedlossadjustingexpenses),salvage

andsubrogationrecoveriesandexpenses."ThecompaniesalsoprovideISOinformationforitsDamageNotificationReport,TheftNotificationReport,andTotalLossReport.

ThecompaniesalsoreportinformationtoNICBfortheftandsuspiciousclaims.LibertyMutual

stated,"Theprimaryfocusofthesedatasubmissionsistoidentifyreoccurringclaimants

and/orfrequentproviderpayments.Generallythisdatalacksspecificaccidentrelated

informationandfocusesonwhoisfilingclaims,whoisbeingpaidandforwhatservices."

HLDI:HLDIcollectsinformationonmake/modelandVINalongwithpolicyinformationsuch

aspolicyidentificationnumber,typeofcoverage,collisiondeductible,anddateofloss.HLD