Lawmakers Ask Top 5 Auto Insurers to Share Toyota Claims Data

A committee of the U.S. House of Representatives has asked five major automobile insurers to produce background data that might further illuminate potential concerns with the safety of cars built by Toyota Motor Corp. and also reveal the response from federal regulators.

The Energy and Commerce Committee -- and more specifically, its Oversight and Investigations Subcommittee -- sent letters to five chief executives, asking for information on "persistent consumer complaints" about Toyotas. The companies included Allstate Insurance Group, Farmers Insurance Group, Geico, Progressive Insurance Group and State Farm Group.

Signed by the chairman of the committee, Rep. Henry Waxman, D- Calif., and the subcommittee, Rep. Bart Stupak, D-Mich., the letters requested specific documents from the companies: "Any reports, briefings or presentations provided [by the company] to NHTSA concerning defect trends in Toyota vehicles since 2000; and any communications, including e-mail, to or from [the National Highway Traffic Safety Administration] related to any such reports, briefings or presentations."

The letters cited recent reports that State Farm had supplied the NHTSA with accident data as early as 2007 on Toyota issues that are now the subject of product recalls (BestWire, Feb. 9, 2010). "We are interested in learning whether your company has issued similar warnings to the agency," the letters said.

The Democratic lawmakers asked that the material be produced by Feb. 17.

Mark Toohey, a Farmers senior vice president for North America, said his company just received the letter from the committee and is reviewing the request. The company "will be providing an appropriate and timely response to the committee," he said.

Allstate told BestWire it hadn't noted any particular Toyota problem in recent years. "There was no apparent trend in the claims received that pointed to a recurring problem," said Allstate spokesman Mike Siemienas (BestWire, Feb. 9, 2010).

The companies contacted by the congressional subcommittee were the top five U.S. writers of private passenger auto insurance in 2008, according to BestLink, which provides online access to A.M. Best's Global Insurance & Banking Database, were: State Farm Group, with a 17.9% market share; Allstate Insurance Group, with 11%; Berkshire Hathaway Insurance Group (Geico), with 7.8%; Progressive Insurance Group, with 7.2%; and Farmers Insurance Group, with 5.5%.