What’s new: In brief (February 03, 2005)

Western Financial Group has successfully netted $22.25 million from its offering of subscription receipts. The offering was made in part to fund the company’s acquisition of Federated Life Insurance Co. and the subscription receipts can be redeemed for a share of Western Financial once that acquisition is complete. Western Financial expects to receive regulatory approval to complete the acquisition by the end of this month.

The Insurance Institute for Highway Safety is welcoming news from General Motors that the carmaker intends to make “electronic stability control” standard equipment on all of its models. GM says “Stabilitrak”, as well as its “On Star” technology will become standard by the end of 2007 on all models except some commercial vehicles. The ESC system will also include anti-lock braking and traction control. The IIHS says the system, which helps drivers control a vehicle under adverse conditions such as ice and snow, could save thousands of lives every year, and is encouraging other manufacturers to follow GM’s lead in making such systems standard equipment.

The next luncheon of the Property Casualty Underwriters Club is set for February 23 at Toronto’s Metropolitan Hotel, and will feature a discussion of “Marijuana Grow Operations and the Bottom Line”. Guest speakers are Detective Sergeant Tom McMenemy of the Ontario Provincial Police Drug Enforcement Section, Andy Dykstra, manager of State Farm Insurance’s Special Investigation Unit, and Ashwin Vaidya an underwriter who works with State Farm’s SIU. For more information, visit www.canadianunderwriter.ca under “My Events Calendar”.