INSURANCE • BUSINESS • POLITICS • TECHNOLOGY
FEBRUARY 2020 • VOL 16 • ISSUE 2
IN THIS ISSUE FEBRUARY 2020 VOL 16 ISSUE 2
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Terrifyingly Realistic Deepfake Video Is A Scary Celebrity Mashup
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Serious Injuries Can Make A Clear And Unambiguous Policy Ambiguous
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Treskovich: Why I’m Optimistic About Stocks
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Report: New Research Reveals Organizations Are Embracing ‘Tech Intensity’
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Agent Arrested After Allegedly Stealing Thousands and Leaving Client’s Business Uninsured
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Dopey Insurance Fraud Earns Bride 5 Years In Slammer
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Insurance Agent Sentenced For Stealing $174,000 In Premiums From Truck Drivers And Charter Bus Companies
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Israel’s Laser Defense • Millions of Extra Registrants On Voting Rolls • M&M Stresses Next Generation Industry Leaders Must Adapt or Face Extinction • Travelers To Pay $5.3M Fine
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Key Appointments Made For Governance And Delivery Of The Future At Lloyd’s
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Husband & Wife Sentenced In $38M Health Care Insurance Fraud
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Insurance Industry Can Set Standards On Cyber Security As Word Digitises
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New York Issues Alert To Regulated Entities Concerning Heightened Risk of Cyber Atacks
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The Advisor Explains Secret Codes On Tire Sidewalls
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Say What? Ricky Gervias, Colin Kaepernick, Rose McGowan, Hillary Clinton and Jillian Michaels on One Overweight Songstress
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SpaceX Crew Dragon Launch Escape Demo Successful
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NASA Issues First Commercial Moon Delivery Assignments To Advance Artemis
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How (And Why) To Write A Press Release
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FAIA & LAAIA Trade Fair Booth Images Online
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PAGE 8 - MATT TRESKOVICH: BULLISH ON STOCKS
INSURANCE AND THE LAW PAGE SIX
Report: NEW RESEARCH REVEALS THAT ACROSS INDUSTRIES, ORGANIZATIONS ARE EMBRACING ‘TECH INTENSITY’ AS A KEY DRIVER OF COMPETITIVE ADVANTAGE
LATEST FAIA & LAAIA TRADE FAIR BOOTH IMAGES NOW ONLINE! PG 40
HOW (AND WHY) TO WRITE A PRESS RELEASE THAT ACTUALLY GETS PUBLISHED
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Kim Komando
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Breaking News
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Insider Advisor
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Back Issues
Barry Zalma Matt Treskovitch Advertise
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TECHNOLOGY
TERRIFYINGLY REALISTIC DEEPFAKE VIDEO IS A SCARY CELEBRITY MASHUP
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Really Cool Tech Info - From Kim Komando favorite housewives on the Bravo channel. Trained on my custom model, trying to achieve more detail.”
hey are known as deepfake videos and the technology is getting scary good. A recent example blends a couple of celebrities together and has been tricking tons of people on social media.
What is deepfake video technology? Deepfake video technology uses facial mapping, artificial intelligence and deep machine learning to create ultra-realistic fake videos. They can make it appear to have people say and do things that they’ve never actually said or done.
Ok, so this deepfake video isn’t malicious in any way. It’s not going to stir up controversy that could lead to World War III. But if you watch the video, you can see just how much the technology has improved over the years. In this clip, someone took a speech given by Jennifer Lawrence at the 2016 Golden Globe Awards and replaced her face with Steve Buscemi’s. It’s crazy how well it works. Check out the clip below to see this deepfake video: The video has gone viral on social media. Thousands of people have been sharing it on sites like Facebook and Twitter, with some calling it the stuff nightmares are made of.
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It was originally posted on Reddit by someone with the username VillainGuy. He said, “Steve Buscemi + Jennifer Lawrence discussing her favorite/least
Just some computer scans of images and videos of a certain person is all it takes. Deepfake software will then process this information and mimic the target’s voice, facial expressions and even individual mannerisms.
The technology is getting to be so good, some are worried that it could lead to problems. Imagine if someone created a deepfake See Kim Komando Pg 36 Table of Contents
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CLAIMS & THE LAW
SERIOUS INJURIES CAN MAKE A CLEAR AND UNAMBIGUOUS POLICY AMBIGUOUS Expert Analysis & Commentary by Barry Zalma, Esq., CFE Ohio Court of Appeals Finds “Close Proximity” is Synonymous with “Occupying”
appellee, Auto-Owners Insurance Company where the Court of Appeals was asked to conclude that “close” is enough to fit the words “occupying, in or on.”
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Join Barry Zalma’s Blog: he interpretation of an http://www.zalma.com/blog insurance policy should be simple. The words should be given their common meaning and applied in accordance with Facts the agreement of the parties. On or about September 19, 2016, appellant and his boss arrived In Donald Martens, III v. Autoat 9955 Brint Road, Sylvania, Owners Insurance Company, Lucas County, Ohio. They were Court of Appeals No. L-19at the address to perform 1011, 2019 Ohio 5423, Court of driveway sealing services for a Appeals of Ohio Sixth Appellate residential address. The truck District Lucas County (December and the attached trailer were 31, 2019) Donald Martens, III, parked on the eastbound side appealed a January 22, 2019 of the road with about half judgment of the trial court of the truck in the grass and granting summary judgment to
half on the roadway. Traffic cones were placed around the vehicle to direct traffic away from the truck. Appellant and his colleagues removed weed trimmers and other work equipment out of the truck and trailer and placed the equipment on the grass area next to the driveway. The unloading was completed prior to appellant’s injury. Appellant then returned to the street side of the truck to ask his boss which end of the driveway they would begin their work. Both men were inside the traffic cones, but outside of the vehicle, while they discussed what the work for the day would entail. Appellant was “mere feet” from the truck at this time.
Barry Zalma, Esq., CFE, practiced law in California for more than 43 years as an insurance coverage and claims handling lawyer. He now limits his practice to service as an insurance consultant and expert witness specializing in insurance coverage, insurance claims handling, insurance bad faith and insurance fraud almost equally for insurers and policyholders. He also serves as an arbitrator or mediator for insurance related disputes. He founded Zalma Insurance Consultants in 2001 and serves as its only consultant. 6
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A negligent, underinsured driver then struck the truck and appellant. Appellant broke his left leg in three places and required surgery and physical rehabilitation. At all times, the truck was covered under an insurance policy issued by appellee to appellant’s employer. Appellant filed the initial action against appellee seeking benefits under the underinsured motorist benefits of that policy. During the course of the litigation, appellee filed a motion for summary judgment which sought to have the trial court determine appellant was not covered under the insurance policy because he was not “occupying” a vehicle at the time of the accident. Appellee argued it was entitled to judgment because appellant was not in, on, entering, exiting, or alighting from the vehicle at the time of the accident. The trial court agreed with appellee and granted its motion for summary judgment.
Law If the language of a contract is ambiguous or susceptible to more than one interpretation, it must be construed in favor of the insured and against the insurer. When an insurance contract is clear and unambiguous, its FEBRUARY 2020
interpretation is a question of law.
entering, boarding or alighting from an automobile.”
The court must give the words and phrases in the policy their plain and ordinary meaning. When the plain and ordinary meaning of the language contained in an insurance policy is clear and unambiguous, a court cannot resort to construction of that language.
The Ohio court found that the insurance contract in this matter is ambiguous because the definition of “occupying” is susceptible to multiple interpretations based on applying that definition to the facts at hand. Several courts, including the Ohio State Supreme Court, found in the past that the term “occupying” is ambiguous when used in a car-insurance context.
Courts should not change the meaning of a clear word with an even more clear definition to provide coverage for a seriously injured person. A person is not, in my opinion, occupying a vehicle when he is in close proximity to it any more than when he is far away from it.”
Appellant was clearly in close geographic proximity to the company’s truck. He was hit by the other motorist while he was next to the vehicle. Speaking with one’s coworker inside of a vehicle that is parked for the express purpose of beginning to work is a foreseeably identifiable use of the truck and those who occupy it.
Appellant was near the vehicle, at the time he was struck. Appellant The Supreme Court of Ohio has had already unloaded the back stated that “the word ‘occupying’ of the truck and prepared some should not be given an unduly of the materials for the day near narrow definition.” Kish v. Cent. the driveway where they would Nat. Ins. Group, 67 Ohio St.2d 41, shortly begin work. The proximity to the vehicle was enough 51, 424 N.E.2d 288 (1981). for the court to conclude that the appellant had a sufficient Analysis relationship with the vehicle. The insurance policy defines occupying as “Occupying means being in or on an automobile as a passenger or operator, or being See ZALMA Page 34 engaged in the immediate acts of Table of Contents
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ANALYSIS - FINANCIAL
“InvestmentZen”Credit: www.investmentzen.com
WHY I’M OPTIMISTIC ABOUT STOCKS
By Matthew Treskovich, CPA/ PFS, MBA, CFP®, CMA
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he 2010’s were a fantastic decade for investors. It was also a fantastic decade for human civilization. It’s tempting to think of “the economy” as something that has a life of its own - a sort of cloud that we all live in. The economy doesn’t exist on its own. Every day, billions of people get up in the morning, go to work, 8
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produce, create, and consume. The economy is simply the sum of all the actions of these people as they go about living their lives. The two key ingredients to a good economy are people having money to spend and having the willingness to spend their money. In the United States we can measure these factors by looking at the unemployment rate, and consumer confidence. Table of Contents
By both of these measures, the economy was far stronger at the end of the decade than at the beginning of it. Globally, there are more people with higher standards of living than ever before in history. The number of people living in extreme poverty is around 700 million today, which is just under 10% of the world’s population. Compare that to 1.9 billion people living under FEBRUARY 2020
Things might be bad in some places, but on the whole, they are getting better.
those conditions just 30 years ago. The child mortality in many countries in the “developing world” is lower today than it was the United States a few decades ago. This kind of progress isn’t limited to developing nations. American businesses continue to innovate and find ways to be more sustainable and environmentally friendly. Electric cars might be the future, but the gasoline powered cars
of today have put automobile fuel economy at a record high. Modern agriculture uses 65% less land to produce a given quantity of food than compared with 50 years ago. LED light bulbs use a tiny fraction of the electricity of traditional lighting. This isn’t to say things are perfect - far from it on many fronts. However, we shouldn’t let things that need improvement blind us to the tremendous progress that is being made.
In the short run, stocks might go down. History shows that corrections are a normal part of healthy bull markets. At some point, we will have another recession, and a bear market may follow. The markets, like the economy, are cyclical. However, these cycles of ups and downs are part of a bigger picture. The engine of capitalism is why we’ve seen such incredible improvement in the human condition. In the long run, investors in companies that are making the world a better place
See Treskovich Pg 36
About the author:
Matt is the Chief Investment Officer of the firm of CPS Investment Advisors with 18 years of experience in financial services also serving as the CFO of an insurance brokerage. With a Master’s degree in Business Administration, with an emphasis on accounting from the University of Phoenix, Matt is a CPA licensed in Florida and holds the AICPA’s Personal Financial Specialist (PFS) designation. Matt is a CERTIFIED FINANCIAL PLANNER ™ and a Certified Management Accountant (CMA). and received a Certificate of Distinguished Performance from the IMA for achieving a CMA exam score in the top ten worldwide. In 2017, he was awarded an AICPA Standing Ovation for exemplary professional achievement in personal financial planning services. Treskovich also is certified as an Accredited Estate Planner® (AEP®) designee by the National Association of Estate Planners & Councils (NAEPC). He is a member of the Institute of Management Accountants, former President of the Mid Florida Chapter and former Treasurer of the IMA Florida Council.
FEBRUARY 2020
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BUSINESS ATTORNEY • Mergers & Acquisition • Corporate Setup • Landlord Leases • Startups • Trade Secrets • Business Plans • Enterprise Development • Non-Compete Agreements
Phillip T. Crenshaw, PA
Legal Representation In Florida Member of Florida Bar (1971) Business Development Services Available In All Venues 1615 Forum Place Barristers Bldg. • Suite 500 W. Palm Beach • Florida 33401 561.439.6100 • Crenlaw.com FEBRUARY 2020
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Phillip T. Crenshaw, Esq.
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REPORT: MICROSOFT
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EDMOND, Wash. — Dec. how they understand their organizations are moving beyond 18, 2019 — Microsoft customers, empower employees adopting the latest applications Corp. on and are developing their Wednesday announced own proprietary digital 75% of respondents the results of the State of capabilities to help believe that harnessing Tech Intensity 2019 Study, propel success and gain a revealing what business tech intensity is the most effective competitive advantage. and technology decisionway to build competitive advantage “Up makers see as critical to until now, today, and 75% also believe it will their future growth and organizations have success. looked to technology be crucial to building competitive companies like Microsoft advantage in the future.” The past decade has been to provide digital tools a period of unusually rapid for improving efficiency, change and disruption increasing productivity as organizations worldwide and optimize operations. The and driving innovation,” said Deb have implemented a breadth of study makes clear that as the Cupp, corporate vice president, technology solutions to transform 2010s give way to the 2020s, Worldwide Enterprise and
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NEW RESEARCH REVEALS THAT ACROSS INDUSTRIES, ORGANIZATIONS ARE EMBRACING ‘TECH INTENSITY’ AS A KEY DRIVER OF COMPETITIVE ADVANTAGE Commercial Industries, Microsoft. “Now, the organizations achieving the greatest success are applying these tools and technologies to invent their own digital solutions to solve complex business and societal issues. In the process, they’re essentially becoming technology companies themselves as they drive progress and innovation in their industries. We refer to this approach as ‘tech intensity,’ and we strongly believe it is what will determine an organization’s future success.” According to the study, the vast majority of business and technology leaders surveyed believe that tech intensity is a key competitive driver, and there’s widespread agreement that tech intensity — or the applied use of a creative, entrepreneurial mindset to invent new digital capabilities using advanced technologies such as AI and IoT — will have a significant impact on global communities and organizational culture.
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Every company is becoming a technology company One of the key findings of the study was the extent to which companies have already embraced tech intensity. According to the study, tech intensity is already pervasive, with 73% of companies reporting they are currently creating their own first-party intellectual property using nextgeneration technologies such as machine learning (39%), IoT (37%), AI (32%), blockchain (29%) and mixed reality (21%). The study also revealed broad agreement across industries that tech intensity is critical for current and future success. For example, 75% of respondents believe that harnessing tech intensity is the most effective way to build competitive advantage today, and 75% also believe it will be crucial to building competitive advantage in the future. In addition to creating competitive advantage now and Table of Contents
into the future, responses also revealed a strong belief that tech intensity will be a catalyst for ongoing disruption. Nearly half of those surveyed predict that existing companies will be forced to compete with new entrants in their industry that are building their own digital capabilities and intellectual property. Among the industries where that expectation is the highest are media and communications, financial services, retail, and automotive.
Global impact of tech intensity Although much of the focus of tech intensity is on creating competitive business advantage, there was a strong consensus that tech intensity will have a positive impact on global communities. When asked about specific areas where tech intensity will serve as a driving force for societal See Tech Intensity Page 26 www/underwritersinsider.com
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NEWS
CALIFORNIA AGENT ARRESTED AFTER ALLEGEDLY STEALING THOUSANDS AND LEAVING CLIENT’S BUSINESS UNINSURED Long Beach insurance agent arrested after allegedly stealing thousands and leaving client’s business uninsured
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ONG BEACH, Calif. — Department of Insurance detectives today arrested insurance agent Gelinda Phann Keo, 43, on one felony count of grand theft after she allegedly pocketed a client’s insurance payment of $5,500, leaving that client’s business uninsured. “This agent allegedly stole money from a hardworking business owner, leaving them uninsured and financially vulnerable,” said Insurance Commissioner Ricardo Lara. “My Department will continue to investigate agents who 14
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use their position of trust to client’s business that included take advantage of their clients international bonds. The client and bring them to justice.” was notified customs could not verify the bonds, which caused The Department of Insurance delays in shipments. found Keo, doing business as Global Cargo Insurance Agency, The insurance policy Keo secured collected $5,500 in premium had been cancelled due to nonpayment for a cargo policy for a payment of premium leaving the business without insurance coverage for months. The client paid an additional $5,500 to the insurance company in order to obtain a valid insurance policy. An Administrative Action by the Department against Keo’s license is pending. Keo was booked at Century Regional Detention Facility and bail is set at $70,000. This case is being prosecuted by the Los Angeles County District Attorney’s Office. Gelinda Phann Keo, 43 Gelinda Phann Keo, 43
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NEWS
DOPEY INSURANCE FRAUD EARNS BRIDE 5 YEARS IN SLAMMER Southland bride tied up in fraud scheme through The Knot
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OS ANGELES, Calif. — Vermyttya Miller, 37, of Santa Clarita, was sentenced to five years in county jail and ordered to pay $22,500 in restitution after pleading no contest to one count of felony insurance fraud for a wedding fraud scheme she concocted to rip off an insurer who collaborated with The Knot to offer event cancellation insurance products — not once but twice. In October 2016, Miller booked a wedding reception through The Knot website for the Galleria Ballroom in Glendale, CA, which came with a $10,000 event cancellation/postponement insurance policy provided by Tokio Marine. Soon after booking the reception, Miller claimed she tripped on her wedding dress and was injured so severely that she had to cancel the wedding reception and filed an insurance claim under the $10,000 policy. FEBRUARY 2020
The Knot collaborated with Tokio Marine in 2016, formerly HCC Specialty Underwriters at the time in 2016, to offer their event cancellation insurance product to couples who used The Knot's venue booking service to help book their wedding venue. The Knot stopped offering Tokio Marine's product to users in 2017.
interesting twist, Miller e-mailed Tokio Marine on December 4, 2016, to report her $10,000 check was stolen and provided a copy of a police report she allegedly filed with the Vallejo Police Department in Northern California. Evidence revealed Miller actually doctored a previously submitted police report for a different incident that occurred years earlier. “Miller’s trail of fraudulent claims led straight to a five-year jail sentence after department detectives unraveled her scheme,” said Insurance Commissioner Ricardo Lara. “Insurance fraud is a felony with serious penalties and consequences. We are committed to uncovering fraud and working with prosecutors to bring criminals to justice.”
Vermyttya Miller, 37
To support her cancellation claim, Miller provided medical reports documenting her injuries. On October 31, 2016, the insurer delivered a $10,000 check to Miller. Then, in an Table of Contents
Miller reported to the insurer that her $10,000 claim check was stolen and the Vallejo Police Department was investigating the theft. Miller provided the insurer with
See Felony Insurance Fraud Pg 25 www/underwritersinsider.com
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NEWS
INSURANCE AGENT SENTENCED FOR STEALING $174,000 IN INSURANCE PREMIUMS FROM TRUCK DRIVERS AND CHARTER BUS COMPANIES Insurance agent sentenced for stealing $174,000 in insurance premiums from truck drivers and charter bus companies Sentenced to jail time and to pay restitution
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after which she is expected to surrender and begin her sentence. The former insurance agent targeted port truck drivers who lost their operator authority as a result of not having insurance. After receiving consumer complaints, the California Department of Insurance
launched an investigation, which revealed Free, acting as “Justyce Insurance” or “Pure Justyce Insurance Agency” accepted premium payments from her victims and failed to remit payments to insurance carriers, instead converting the payments for her own use. Between September 2017 and July 2018, at least seven victims
IVERSIDE, Calif. — Connie Free, 34, of Moreno Valley, was sentenced today to 22 felony counts and one misdemeanor count including grand theft and forgery after stealing at least $174,000 in insurance premiums from 11 different victims. Free received a five-year sentence requiring 180 days in jail, 180 days in work release and the remainder of her sentence on felony probation. Free’s sentencing also includes an order for restitution to her victims. Free was ordered to return to court on February 21, 2020, for a restitution hearing,
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Mr. Zalma recently published on Amazon.com with links at the Zalma Books site with the following volumes:
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FEBRUARY 2020
paid Free for coverage that was not placed with an insurer.
Free would then gather the victim’s vehicle information, provide a quote for the desired coverage, and if accepted, have the victim make a cash
Carrier Safety Administration (FMCSA) or Uniform Intermodal Interchange and Facilities Access Agreement (UIIA) websites.
“This agent robbed truck drivers who already have some of America’s hardest jobs,” said Insurance In some cases, These victims were forced to find Commissioner these victims were and pay for other policies to meet Ricardo Lara. “This turned away when unlicensed agent attempting to the coverage requirements that would not only stole haul loads from or allow them to resume their businesses, from her clients, return chassis to causing them to incur losses over and she put them at port terminals or risk of losing their service client sites. above the premium amounts provided livelihood. Thanks Other victims had to Free for nonexistent policies. Free to the hard work to decline jobs after of Department learning Free failed failed to provide refunds, and in most of Insurance circumstances refused to even respond to to place coverage. investigators and inquiries made by her victims. the Riverside These victims were County District forced to find and Attorney’s Office she will now payment directly into her bank pay for other policies to meet have to pay restitution to those account, so she could pay the the coverage requirements that she harmed.” carrier to immediately establish would allow them to resume a policy for them. Some their businesses, causing them As Senator, Commissioner Lara victims received fraudulent to incur losses over and above authored SB 1402 to crack Certificates of Insurance and the premium amounts provided down on wage theft and labor Insurance Identification Cards to Free for nonexistent policies. violations against California’s which made them believe Free Free failed to provide refunds, 25,000 port truck drivers who actually placed their insurance and in most circumstances haul goods for the nation’s coverage. refused to even respond to largest companies. inquiries made by her victims. Free’s victims were primarily The investigation found Free truck drivers and small This case was prosecuted would establish contact with businesses in the trucking or by the Riverside County her victims by soliciting them charter bus industry. Some of District Attorney’s Office. The through telephone, email or a Free’s victims discovered that Department of Insurance has postcard offering competitive their “authority” to operate as issued an order to permanently quotes with attractive rates on a motor carrier was suspended revoke Free’s insurance, which commercial vehicle insurance. by reviewing their own status was suspended in 2018. on either the Federal Motor FEBRUARY 2020
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THE INSIDE TRACK - BREAKING NEWS Israel’s Laser Defense
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rom The Jerusalem Post: “The Defense Ministry has made a technological breakthrough in the development of lasers that can intercept aerial threats, including rockets and anti-tank guided missiles, it announced Wednesday. New laser technology “makes the security apparatus more lethal, more powerful and more advanced,” Defense Minister Naftali Bennett said Wednesday evening. The ministry has been working for more than 10 years on powerful laser technology to enable the development of platforms to intercept a variety of threats, he said. It has carried out a number of successful interceptions of targets, including mortar shells, drones and antitank missiles, at a variety 18
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of ranges over the years. This is a dramatic solution to rocket fire,” said Dubi Oster, head of the DDR&D Optronics Department. “We have been working on this for years. But it is challenging to get a goodquality beam to stay the size you need at the range you need... for example, a beam the diameter of a coin from here [in Tel Aviv] to Herzliya.”
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Millions Of “Extra” Registrants On Voting Rolls In Multiple States Lawsuits?
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udicial Watch announced it is continuing its efforts to force states and counties across the nation to comply with the National Voter Registration Act of 1993 (NVRA), by sending
FEBRUARY 2020
THE INSIDE TRACK - BREAKING NEWS notice-of-violation letters Marsh & McLennan to 19 large counties in five Stresses Next states that it intends to sue Generation Industry unless the jurisdictions take steps to comply with the law Leaders Must “Adapt Or and remove ineligible voter Face Extinction” registrations within 90 days. Section 8 of the National ONDON, June 12, 2019 Voter Registration Act — Marsh & McLennan requires jurisdictions to take reasonable efforts to remove Companies, Inc.’s (NYSE: ineligible registrations from MMC) Rising Professionals’ Global Forum 2019 its rolls. Video opened in London today, with approximately 700 USG Announces the Hire delegates attending the of Brookshire in Plano, TX two-day event to hear from world class speakers on the SG Insurance Services, Inc., central theme for the Forum a national wholesaler and – Adaption or Extinction. MGA, is pleased to announce Victoria Carter, Chairman the hire of Kevin Brookshire as of Global Capital Solutions, Producer/Broker: Commercial International, and Chairman Lines in Plano TX, supporting of the Rising Professionals’ the Arlington, TX branch. Initiative, said: “As a market, Brookshire brings 15 years we have provided the of experience to the USG financial security through team. Most recently, Kevin our products that has worked with Universal facilitated the phenomenal Specialty Group. This move speed of innovation and is the most recent change technological evolution that USG has implemented achieved in recent years; in its plan to continue yet we have not kept expanding its operations pace with that change. nationally as a leading Digital transformation is wholesaler brokerage firm. reshaping the world we live in and fundamentally
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altering the way we interact with our customers. It is creating huge potential for our industry while simultaneously offering us the ability to grasp that potential. If we are not only to survive but to thrive in this new world,” she continued, “it is imperative that we acknowledge our customers’ expectations, harness these new technologies to meet those expectations and get ahead of this fast-changing environment.”
Travelers To Pay $5.3 Million In Wrongufl Conviction Lawsuit
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ravelers Cos. Inc. was ordered to contribute $5.3 million in damages to a wrongfully convicted man who was incarcerated before Traveler’s was on the risk. In Ryan Ferguson v. St. Paul Fire and Marine Insurance Co. et al., Ryan Ferguson was arrested and incarcerated for robbery and murder in 2001 yet his conviction was vacated in November 2013 by a court of appeals.
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NEWS
KEY APPOINTMENTS MADE FOR GOVERNANCE AND DELIVERY OF THE FUTURE AT LLOYD’S; £300M FUNDING SECURED
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s part of the transition and execution planning underway following the launch of the Future at Lloyd’s Blueprint One, Lloyd’s today announced key appointments for the governance and delivery of the programme together with confirmation of the raising of £300m of senior debt to fund the transformation.
Programme delivery will be led by Jennifer Rigby, Lloyd’s Chief Operations Officer and Executive Committee member, who has an exceptional track record in technology transformation.
To ensure funding is available to meet the near and medium-term cash requirements of the Future at Lloyd’s, the Corporation has taken advantage of In preparation for the low interest rate a series of phased environment and deliveries beginning secured £300m of in 2020, Lloyd’s has senior debt, thereby focused on establishing John Neal, CEO, avoiding any increase a robust governance, Lloyd’s of London in market levies. The oversight and funding framework which will ensure on- secure financial position of the time, on-budget execution of the Corporation will support the solutions announced in Blueprint year-on-year costs of the Future at Lloyd’s as the benefits stream One. begins to be delivered. Governance includes a newly formed Technology and Key roles continue to be Transformation Committee*, filled at pace, with more than overseen by Lloyd’s Board and 80 Corporation and Market now engaged Council. Andy Haste, Lloyd’s employees Deputy Chairman, will chair the across the various workstreams. committee whose members Strategic partners are being bring a wealth of experience and onboarded during Q1 2020 to expertise in large-scale digital support the phased delivery and implementation. transformation. 20
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The delivery of the Future at Lloyd’s is being run on an ‘agile’ basis with the funding for each quarter being dependent on the execution of the planned deliverables. In February 2020, Lloyd’s will publish Blueprint 1a, which will set out the detailed plans and deliverables for Phase 1 implementation. John Neal, Lloyd’s Chief Executive Officer, said, “Since the launch of Blueprint One, we have focused on designing a carefully structured and managed approach to planning and execution to allow regular delivery of value to the market. With robust governance and oversight now in place, and the funds for delivery secured, we have every confidence in the successful delivery of the Future at Lloyd’s.” Jennifer Rigby, Lloyd’s Chief Operations Officer and Executive Sponsor of the Future at Lloyd’s added, “I’m delighted to lead the delivery of the Future at Lloyd’s. Our dedicated team are working at pace to develop and deliver the solutions we’ve promised to fundamentally transform our market. It’s an exciting time to be at Lloyd’s!” FEBRUARY 2020
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NEWS
HUSBAND AND WIFE SENTENCED TO PRISON FOR ROLES IN $38 MILLION HEALTH CARE INSURANCE FRAUD
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odolfo Pichardo, 71, of Hialeah, Florida was sentenced to more than 15 years in prison for masterminding a $38 million health care fraud and wire fraud scheme. His wife Marta Pichardo, 66, was sentenced to 8 years in prison for her role in the scheme. Ariana Fajardo Orshan, U.S. Attorney for the Southern District of Florida, Omar Pérez Aybar, Special Agent in Charge, U.S. Department of Health and Human Services Office of Inspector General’s (HHS-OIG) Miami Regional Office, and George L. Piro, Special Agent in Charge, FBI’s Miami Field Office made the announcement.
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fraudulent home health agencies, three fraudulent therapy staffing companies, and two fraudulent pharmacies.
Each of these entities purportedly provided home health services, therapy services, and prescription drugs, respectively, to qualified M e d i c a r e beneficiaries, During the long-running scheme, the though in fact and as both Pichardos took several calculated Rodolfo and Marta Pichardo knew, steps to conceal the fraud and avoid they did not.
detection, including using nominee owners, changing names and locations of their fraudulent entities, and creating shell companies to conceal the receipt of the fraud proceeds, hide assets and transactions, and divert proceeds for both personal use and to further the fraud.”
Rodolfo Pichardo and Marta Pichardo previously pled guilty to conspiracy to commit health care fraud and wire fraud. On December 4, 2019, Rodolfo Pichardo, was sentenced by U.S. District Judge Rodolfo A. Ruiz to 188 months in prison, to be followed by 3 years of supervised 22
release. He was ordered to pay $33,841,576 in restitution. Today, Marta Pichardo was sentenced by Judge Ruiz to 96 months in prison, to be followed by 3 years of supervised release. She was ordered to pay $10,482,178 in restitution.
According to court documents, after arriving in the United States from Cuba on a raft seeking refuge and a better life, the Rodolfo Pichardo and his wife Marta Pichardo settled in MiamiDade County, Florida where they proceeded to build a vast empire of fraud, consisting of at least six Table of Contents
From May 2010 through September 2016, the Pichardos and their coconspirators used this empire to submit more than $38 million in false and fraudulent claims to Medicare, for which the trust-based program then paid out more than $33 million. The Pichardos then used this money to purchase multiple properties, high-end vehicles, expensive jewelry, plane tickets, vacations, cosmetic FEBRUARY 2020
procedures, and more, both These prescriptions were then for themselves and their family used by the Pichardos’ various members. home health agencies and pharmacies to bill Medicare As part of the scheme, Rodolfo for purported services and Pichardo offered and paid pharmaceutical drugs that were kickbacks, both by cash and provided to allegedly qualified by check, to numerous patient Medicare beneficiaries recruiters, in exchange for the referral of Medicare beneficiaries During the long-running scheme, to home health agencies that the Pichardos took several he owned. The conspirators also calculated steps to conceal offered and paid cash kickbacks to the fraud and avoid detection, owners and operators of multiple including using nominee owners, Miami-Dade medical clinics, in changing names and locations return for acquiring medically of their fraudulent entities, unnecessary home health and creating shell companies prescriptions for the recruited to conceal the receipt of the Medicare beneficiaries. fraud proceeds, hide assets and transactions, and divert proceeds FEBRUARY 2020
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for both personal use and to further the fraud. Additional co-conspirators previously pleaded guilty and were sentenced in connection with the scheme, including family member Jesus Fonseca, who was sentenced earlier this year by Judge Ruiz to 63 months in prison. U.S. Attorney Fajardo Orshan commended the investigative efforts of FBI and HHS-OIG. This case was prosecuted by Assistant U.S. Attorney Anne P. McNamara. Assistant U.S. Attorney Adrienne Rosen is handling the asset forfeiture aspects of the case.
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REPORT - CYBER SECURITY
INSURANCE INDUSTRY CAN SET STANDARDS ON CYBER SECURITY AS WORLD DIGITISES, IMPACTING SOCIETY CyberCube CEO speaks at Davos workshop on market incentives for cyber security and innovation
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by sharing information they gain from managing large volumes of cyber claims. Insurers were also well-placed to offer approved vendor cybersecurity schemes.
Understanding the Societal Impact of the Fourth Industrial Revolution and The Role of Insurance, explores society’s growing vulnerability to digital risks and the steps the insurance industry can take to address the threat.”
ONDON – In a world increasingly exposed to technology-based threats, the global insurance industry is well-positioned to play a greater role in rewarding those organisations that take cybersecurity seriously. This is the call from leading cyber analytics company CyberCube in a report timed for release to coincide with the World Economic Forum annual meeting in Davos, where Furthermore, businesses need its chief executive is participating. to think differently about how they approach cyber risk. Rather Pascal Millaire, Chief Executive than viewing it as an issue for Officer of CyberCube, outlined their IT departments, they need in discussions in Davos that in to address it across their entire addition to offering beneficial organisational structure in a much terms to organisations more holistic way. demonstrating best practice in cyber security, insurers must work closely with governments to help enforce minimum security standards. He also argued that insurers could help clients reduce cyber losses
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CyberCube is one of the leading providers of cyber risk analytics to the insurance industry. Its report, Understanding the Societal Impact of the Fourth Industrial Revolution and The Role of Insurance, explores society’s Table of Contents
growing vulnerability to digital risks and the steps the insurance industry can take to address the threat. The report notes that the arrival of 5G networks being rolled out around the world will provide criminals with faster and wider access to critical infrastructure and associated online services. As 5G becomes widespread, larger data packages will facilitate easier and more impactful cyber attacks without any geographic boundaries. Pascal Millaire explained: “For centuries, the insurance industry has been the key to unlocking the economic potential of new technology. Part of this has always been insurers’ ability to drive improvements in safety and regulation. That ability will be critical as global cyber risk increases. “We’re at a point at which the global economy is racing to digitise services and product offerings. This has far-reaching implications for society. With the exponential rise in the connected economy, there is a huge opportunity for both innovation and exploitation. FEBRUARY 2020
As tangible and intangible items become hyperconnected, the implications of failing to get security and privacy right have much bigger consequences than they did in the past.
to have a significant impact on business and society.
The report notes that $1.25 trillion was spent on digital transformation globally last year, a figure projected to rise to $1.97 “Given the risks attributable trillion by 2022. to cyber can never be reduced to zero, insurance provides The use of models to simulate a way to transfer some of an cyber threats and assess their organisation’s cyber risk. For a financial and societal impact will company spending $20 million be a useful tool. CyberCube’s on cyber security, it is appropriate models are already used by a to ask whether that company range of insurance businesses is best served by spending an to analyse and stress test their incremental $1 million on more portfolios of cyber insurance. cyber security or by buying cyber insurance, when a holistic risk About CyberCube management lens is considered.” CyberCube delivers the world’s leading cyber risk analytics for the The report highlights a range insurance industry. With best-inof digital threats including class data access and advanced analytics, disruptive cyber attacks, multi-disciplinary ransomware, as well as the the company’s Software-as-atargeting of infrastructure and Service platform helps insurance transportation systems. Electoral companies make better decisions systems are also vulnerable, when underwriting cyber risk and as was demonstrated in the managing cyber risk aggregation. CyberCube’s enterprise intelligence Ukrainian elections of 2014. layer provides insights on millions of companies globally and includes Pascal Millaire was taking part modeling on over 1,000 single in a workshop at Davos titled points of technology failure. ‘Market Incentives for Secure and Responsible Innovation’. The CyberCube platform was He was invited to attend as established in 2015 within Symantec CyberCube was named by the and now operates as a standalone World Economic Forum as one of company exclusively focused on its Technology Pioneers in 2019. the insurance industry, with access Technology Pioneers are early to to an unparalleled ecosystem of growth-stage companies from data partners and backing from around the world that are involved ForgePoint Capital and HSCM in the design, development, and Bermuda. For more information, please visit www.cybcube.com or deployment of new technologies email info@cybcube.com and innovations, and are poised
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WOULD-BE BRIDE EARNS 5 YEARS IN SLAMMER FOR FELONY INSURANCE FRAUD
investigative details she said the Vallejo Police Department reported to her. The insurer, Tokio Marine, referred the claim to the Department of Insurance for investigation. Detectives uncovered evidence that Miller falsified the medical reports of her injury, which she used to file the original claim. Detectives also found Miller doctored the Vallejo Police report she used to substantiate her claim that the $10,000 check was stolen. The Los Angeles County District Attorney’s Office prosecuted the case and Miller pleaded no contest to one count of felony insurance fraud and was ordered to pay restitution for the $10,000 she received and an additional $12,500 for investigative costs. Miller was remanded to the custody of the Century Regional Detention Facility in Lynwood where she is serving her
REPORT - MICROSOFT Continued From Page 13
TECH INTENSITY
improvement, 43% selected better public services at lower costs, 40% chose improved connectivity in rural areas, and 40% chose reduced corporate waste. Other key areas where respondents expect to see improvements include health care (36%), consumer safety (36%), worker safety (33%) and access to financial services (33%). Only 8% said they don’t expect tech intensity to deliver any positive benefits for global communities. In addition, while 47% of those surveyed said they believe richer, more connected and more digitally sophisticated countries will see GDP grow at a faster rate, 36% expressed confidence that tech intensity will actually make the global economic playing field more level.
Tech intensity and corporate culture Another key finding of the study was the effect of tech intensity on organizational culture. For example, there is a nearly unanimous belief that staying on the cutting edge of technologic progress is essential to retaining talent, with 92% of those surveyed agreeing it is important or very important to work for an organization that keeps up with software and application trends. That belief is particularly strong among millennials, only 2% of whom think that staying current with technology isn’t important. In contrast, 9% of Gen Xers and 10% of baby boomers don’t think that keeping up with technology is important.
About the study To understand how widespread tech intensity is today, we surveyed 700 business and technology decision-makers in the United States from companies spanning 20 different industries. Research was conducted between May and June 2019 by research firm YouGov. Both quantitative and qualitative responses contributed to the findings of the study.
At the same time, only 19% of respondents said they expect that tech intensity will have a negative impact on economic growth in less wealthy, less more connected and less digitally Learn companies sophisticated countries. 26
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advantage of tech intensity to drive innovation and create competitive advantage here. Microsoft (Nasdaq “MSFT” @ microsoft) enables digital transformation for the era of an intelligent cloud and an intelligent edge. Its mission is to empower every person and every organization on the planet to achieve more.
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FEBRUARY 2020
NEWS - CYBER ALERT
NEW YORK ISSUES ALERT TO REGULATED ENTITIES CONCERNING HEIGHTENED RISK OF CYBER ATTACKS
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Image: Creative Commons 2.0 Marco Verch
ew York — Today the Department of Financial Services (DFS) issued the following industry letter to all regulated entities following recent events and the need for heightened cybersecurity precautions.
attackers were increasingly using highly destructive attacks that delete or encrypt data.[2] DFS therefore strongly recommends that all regulated entities heighten their vigilance against cyber attacks. While currently there are no specific,
tactics such as email phishing, credential stuffing, password spraying, and targeting unpatched devices. DFS therefore recommends that all regulated entities ensure that all vulnerabilities are patched/ remediated (especially publicly
There is currently a heightened risk of cyber attacks from hackers affiliated with the Iranian government.[1] The Iranian government has vowed to retaliate against the United States for the death of Qassem Soleimani. Given Iranian capabilities and history, U.S. entities should prepare for the possibility of cyber attacks. It is particularly concerning that Iran has a history of launching cyber attacks against the U.S., and the financial services industry. For instance, in 2012 and 2013, Iranian-sponsored hackers launched denial of service attacks against several major U.S. banks. And the U.S. government recently advised in June 2019 it observed “a recent rise in malicious cyber activity directed at United States industries and government agencies by Iranian regime actors and proxies,” and that Iranian FEBRUARY 2020
credible, reports of new Iraniansponsored cyber attacks in the past few days, all regulated entities should be prepared to respond quickly to any suspected cyber incidents. Iranian-sponsored hackers have historically relied primarily on common hacking Table of Contents
disclosed vulnerabilities), ensure that employees are adequately to deal with phishing attacks, fully implement multi-factor authentication, review and update
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“The Final Authority on Everything!”
ADVISOR
and T (Temp Spare). The next three digits (195) represent widest part of the tire width in millimeters.
majority of P type tires are WARNING! now radial construction. The Advisor has been known The letter D would designate to be politically incorrect and may send certain Millennials a bias ply tire made from scurrying to their safe space. plies that run in criss-cross Please read at your own risk. After the slash, the next digits layers diagonal to the tire represent the aspect ratio of direction. the tire, i.e., the tire’s sidewall Secret Codes height as a percent of the The next two digits designate On Tire Sidewalls tire’s width. In the case of the the rim width in inches for example, 65 means the height ast month you answered of the tire is 65% of the width which the tire will fit. In the a question about tire of the tire. case of the example, the tire pressure where a person will fit a 15” rim. worried about carrying around excess weight if she There follows the tire put 32 pounds of air in her construction type, in this The load index and the speed tires. Pretty funny. But my case R for Radial. The vast rating are shown as 91H. “91” question is about the codes on the sidewalls. I can read the numbers but I don’t know what they mean. Does the Advisor? H.H.
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Was Stephen Hawking a smart man? Can LeBron James shoot from center court? Is a bear Catholic? Take a common tire size, for example: 195/65 R15 91H. The first letter, P, designates the type or class of tire, in this case P for Passenger. Tires also come in LT (Light Truck) 28
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FEBRUARY 2020
CC By 3.0 Author: Flanker
means the tire could support 1,356 lbs at maximum inflation and the “H” speed rating indicates a maximum speed of 135mph. Good to know I can cruise in my KIA Forte at 135mph...
twice as long as a tire with a 300 rating and half as long as one with a 1200 rating.
BTW, tires are available with speed ratings all the way up to 186mph (look for a “Y”) for race cars, sports cars and exotic ultra-cars.
Most tires also show a UTQG Treadware Rating, a Traction Rating & a Temperature Rating. On the example tire, the Treadware Rating was 600. The number has meaning only when compared to other tires. But wait - there’s more! E.G., a 600 rating should last FEBRUARY 2020
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The Traction Rating indicates the tire’s ability to stop the car on wet pavement, but not it’s cornering ability. Ratings come in AA,A,B or C with AA having the best traction. Finally, H.H., there is the tire’s Temperature Rating which grades a properly inflated tire’s ability to disperse heat. The grades range from A-C with A being the best. www/underwritersinsider.com
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NOTABLE QUOTABLES IN THE NEWS - WITH COMMENTARY
SAY WHAT? No Position To Lecture The Public...
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Nike continues to use this clown to promote their products - and it’s a mystery to millions of Americans. Someone should also advise Mr. Kaepernick that Iranians are neither “Brown nor Black,” but many of the American soldiers killed or maimed by Solemani
o if you do win an award tonight, don’t use it as a political platform to make a political speech. You’re in no position to lecture the public about anything, you know nothing about the real world. Most of you spent less time in were. school than Greta Thunberg. So, if you win, come up, accept your little award, thank your agent and your God and f--- off. OK?” Golden Globes host and commediene Ricky Gerviais at this year’s award ceremony attempting to preempt the usual boring and sanctimonius stream of politicizing by foks who dress up in custumes and pretend to be someone else for a living.
Twitter Unloads On Clown Kaepernick
Laughably Wrong Colin Kaepernick
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here is nothing new about American terrorist attacks against Black and Brown people for the expansion of American imperialism.” Tweet by ex-quarterback, radical leftist, Nike frontman, Colin Kaepernick in response to the U.S. strike taking out Iranian General Qasem Soleimani - a terrorist directly responsible for the deaths of 608 American servicemen and women and the mutilation of thousands of others. In spite of his rabid anti-Americanism,
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The Underwriter’s Insider
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FEBRUARY 2020
More Evidence Of Hollywood Lunacy: Useful Idiot Rose McGowan “Humbly” Apologizes To Iran
Russia, computer bots, WikiLeaks, Bernie Sanders, Facebook, Joe Biden, fake news, Twitter, voter ID laws, the vast right-wing conspiracy, sexism, Barack Obama, ageism, Anthony Weiner, white women, xenophobia, ear #Iran, The USA has black people, the Electoral College, the disrespected your country, DNC, misogyny, and women cowed by their your flag, your people. 52% of us husbands.” humbly apologize. We want peace with your nation. We are being held hostage by Joseph Curl in an OP/ED in the Washington listing all a terrorist regime. We do not know how to Times the reasons Hillary escape. Please do not kill us. #Soleimani.” has given for losing the 2016 election. Incidentally, there is a book available on Amazon called “Hillary Clinton in Wonderland” - a retelling of the Lewis Carroll tale with Hillary as the heroine. Unbelievable Tweet by Actor Rose McGowan, apparently suffering from an untreatable case On Celebrating Morbid Obesity of Trump-Derangement Syndrome, following the American strike on mass-murderer and ut why are we celebrating her terrorist Qasem Soleimani. After the Twitterbody? Why does it matter? Universe exploded in condemnation, an That’s what I’m saying. Why aren’t apparently confused and surprised McGowan we celebrating her music? Because it isn’t doubled down: “It is only logical to appeal to going to be awesome if she gets diabetes. Iran’s pride by apologizing. The United States I’m just being honest. I love her music, my kid is morally corrupt and acts illegally.” loves her music, but there’s never a moment when I’m like, ‘I’m so glad she’s overweight.’ Why do I even care? Why is it my job to care Hillary Clinton In about her weight?” Wonderland
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n the months and years since her humiliating loss, she blamed James Comey,
FEBRUARY 2020
Celebrity fitness trainer Jillian Michaels generating controversy via Twitter by asking why people should care about singer Lizzo’s weight, correctly noting that obesity can cause a wide range of health problems.
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BACK ISSUES
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FEBRUARY 2020
BACK ISSUES
FEBRUARY 2020
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NEWS - CYBER ALERT Continued From Page 27
NEW YORK WARNS OF CYBER ATTACK ON REGULATED ENTITIES disaster recovery plans, and respond quickly to further alerts from the government or other reliable sources. It is particularly important to make sure that any alerts or incidents are responded to promptly even outside of regular business hours – Iranian hackers are known to prefer attacking over the weekends and at night precisely because they know that weekday staff may not be available to respond immediately. Regulated entities should also promptly notify DFS of any significant or noteworthy cyber attack. DFS’s cyber regulation requires notification “as promptly as possible but in no event later than 72 hours” after a material cybersecurity event. 23 NYCRR 500.17. And, in light of 34
The Underwriter’s Insider
the current threat, we urge all regulated entities to notify DFS of any material incidents as soon as possible given the heightened risk, and certainly no later than the required 72 hours. This will enable DFS to disseminate information about new cyber attacks as quickly as possible. Any questions or comments regarding this alert should be directed to CyberAlert@dfs. ny.gov.
Continued From Page 7
ZALMA
What is required by case law, is that if the claimant is in close geographic proximity with the vehicle, the claimant has a sufficient relationship with the vehicle, and the claimant was acting with a purpose related to the vehicle.
ZALMA OPINION
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The reversal of the trial court’s ruling was, in my opinion, an act of sophistry. Whether the appellant was in close proximity to the vehicle or 30 feet away, he was not occupying the vehicle since he was not in, on or upon the vehicle. He was standing to the side chatting with his boss about the work they were going to do with all the equipment they had already removed from the truck. Courts should not change the meaning of a clear word with an even more clear definition to provide coverage for a seriously injured person. A person is not, in my opinion, occupying a vehicle when he is in close proximity to it any more than when he is far away from it.
FEBRUARY 2020
NEWS - SPACE
CREW DRAGON LAUNCH ESCAPE DEMONSTRATION
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n Sunday, January 19, SpaceX successfully completed an in-flight test of Crew Dragon’s launch escape capabilities from Launch Complex 39A (LC-39A) at NASA’s Kennedy Space Center in Florida. This test, which did not have NASA astronauts onboard the spacecraft, demonstrated Crew Dragon’s ability to reliably carry crew to safety in the unlikely event of an emergency on ascent. Falcon 9 and Dragon lifted off at 10:30 a.m. EST, or 15:30 UTC, with the abort sequence initiating approximately one and a half
minutes into flight. Crew Dragon's eight SuperDraco engines powered the spacecraft away from Falcon 9 at speeds of over 400 mph. Following separation, Dragon's trunk was released and the spacecraft's parachutes were deployed, first the two drogue parachutes followed by the four upgraded Mark III parachutes. Dragon safely splashed down in the Atlantic Ocean and teams successfully recovered the spacecraft onto SpaceX's recovery vessel. You can watch a replay of launch below. and learn more about the mission.
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FEBRUARY 2020
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TECHNOLOGY Continued From Page 5
Continued From Page 9
KIM KOMANDO video of a world leader saying things that could lead to real chaos. For example, a nation’s leader could be made to say their country just launched nuclear missiles at another country. How would the world react?
Once deepfake video technology is perfected and we can’t distinguish between what’s real and fake, a person will be able to claim a real video is fake. Not good! Not only do we have to worry about these types of fake videos tricking us, but what about real videos of people doing things they don’t want to own up to? Once deepfake video technology is perfected and we can’t distinguish between what’s real and fake, a person will be able 36
The Underwriter’s Insider
to claim a real video is fake. Not good! Ultra-realistic but fake videos are being made of people saying and doing things they’ve never done. It’s deepfake technology and in this Consumer Tech Update, Kim explains why it’s even more disturbing and dangerous than fake news.
TRESKOVICH: OPTIMISTIC ABOUT STOCKS will continue to be rewarded, as they have throughout the economic history of our nation.
Investing in US stocks for the long run is fundamentally about investing in America and investing in the progress of civilization. The longCopyright 2019, WestStar term trends of science and Multimedia Entertainment. technology improving the All rights reserved. human condition are clear.
Learn about all the latest technology on the Kim Komando Show, the nation’s largest weekend radio talk show. Kim takes calls and dispenses advice on today’s digital lifestyle, from smartphones and tablets to online privacy and data hacks. For her daily tips, free newsletters and more, visit her website at Komando. com Table of Contents
For the foreseeable future, American businesses and the US economy will continue to play a leading role in these trends. Being optimistic about the long-term prospects of the stock market is the only rational choice. Matthew Treskovich is the Chief Investment Officer for CPS Investment Advisors. He can be reached at 863-688-1725 or
FEBRUARY 2020
FIRST COMMERCIAL MOON DELIVERY ASSIGNMENTS TO ADVANCE ARTEMIS
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ASA has finalized the first 16 science experiments and technology demonstrations, ranging from chemistry to communications, to be delivered to the surface of the Moon under the Artemis program. Scheduled to fly next year, the payloads will launch aboard the first two lander deliveries of the agency’s Commercial Lunar Payload Services (CLPS) initiative. These deliveries will help pave the way for sending the first woman and the next man to the lunar surface by 2024.
our commercial partners to complete the important technical integration work necessary to fly the payloads and brings us a step closer to launching and landing the investigations that will help us better understand the Moon ahead of sending the first woman and next man to the Moon.” •
Each partner is responsible for payload integration and operations, launching from Earth and landing on the Moon, as well as securing any additional customers on their flights, if desired. The payloads are each In May 2019, the agency awarded about the size of a shoebox and two orders for scientific payload range in mass from around two to delivery to Astrobotic and 33 pounds (one to 15 kilograms). Intuitive Machines, with both flights targeted to land on the Both Partners Moon next year. Astrobotic, which Two of the payloads will be will launch its Peregrine lander on integrated onto both the a United Launch Alliance Vulcan Astrobotic lander and the Intuitive Centaur rocket, will carry 11 NASA Machines lander. This gives NASA payloads to the lunar surface, multiple opportunities to gather while Intuitive Machines, which important data and demonstrate will launch its Nova-C lander on a a critical technology needed for SpaceX Falcon 9 rocket, will carry future human exploration. five NASA payloads to the Moon. “We’ve finished the work of assigning science and technology payloads to each of the initial CLPS deliveries,” said Chris Culbert, CLPS project manager at NASA’s Johnson Space Center in Houston. “This step allows FEBRUARY 2020
mirror reflects laser light from other orbiting and landing spacecraft to precisely determine the lander’s position. It is being provided by NASA’s Goddard Space Flight Center in Greenbelt, Maryland.
•
Navigation Doppler Lidar for Precise Velocity and Range Sensing (NDL): The NDL is a LIDAR-based (LIght Detection And Ranging) sensor composed of a threebeam optical head and a box with electronics and photonics that will provide extremely precise velocity and range sensing during descent and landing of the lander that will tightly control navigation precision for a soft and controlled touchdown on the Moon. NDL is being collaboratively developed by NASA’s Johnson Space Center in Houston and Langley Research Center in Hampton, Virginia.
Laser Retro-Reflector Array Astrobotic Payloads (LRA): LRA is a collection • Surface Exosphere Alterations of eight approximately by Landers (SEAL): SEAL will half inch (1.25 centimeter) investigate the chemical retro-reflectors – a unique response of lunar regolith kind of mirror that is used for measuring distance -mounted to the lander. This See NASA Page 44 Table of Contents
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SPECIAL REPORT
HOW (AND WHY) TO WRITE A PRESS RELEASE By Ron Manera, Senior Editor
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he most overlooked source of free promotion for small to medium-sized companies? Press Releases. Those little info blurbs that strengthen your brand and inform your market can be powerful tools if employed effectively. With a press release, your company can inform the world of a new hire, promotions, a key person retiring, a new product, a merger or acquisition, a new office or a thousand other events positive and timely. But even more important: Getting your company name out in front of tens of thousands of your prospects and customers, (even competitors) often, and at little or no cost. As an editor of a couple of insurance industry specific journals, I am on the receiving end of dozens of press releases daily - all wishing a free ride in one of my next issues. I welcome press releases because they often provide valuable content to my readers. Because of space and relevancy limitations, I can’t run them all. As a matter of fact, only a small percentage of the PRs I review
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The Underwriter’s Insider
make it into the magazines. How do I decide what to run? I look first for relevancy. Is the information in the press release something likely to be interesting or valuable to my subscribers? I can discard 80% of the PRs I review simply because the content is not focused on my audience. Next, I look for length, style and format. Will the original PR take up two pages requiring radical editing for size? Can I easily move the content into my publication without extensive reformatting? Are there bulleted paragraphs or multiple hyperlinks to contend with? I look for a news-style press release. When I receive a PR that is 80% promotional and 20% news, I’m likely to pass it up. I don’t charge for news - I do charge for advertising.
Up The Odds Your Press Release Will Be Printed And Effective
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suspect most editors rely on criteria much like mine when reviewing incoming press releases for publication. Table of Contents
Here are eight tips to increase your odds of actually making it to the show: 1. Give me a compelling headline! Hint: Write your headline last after you review your entire PR. A good headline will not only get my attention, but that of my readers. 2. Don’t open with “ABC Company announced today...” because the PR may not appear for another 30 days. Include the actual date. 3. Keep your copy succinct! 375-450 words max. That’s an entire page, so you have plenty of room to cover your subject. I’m not going to give you more space - so if you run long, you are asking me to trim your copy and you may not like what I remove. 4. Learn to write like a journalist: Who, What, When, Why & Where. List those 5 categories out on a worksheet and work from it as you script your PR. To the ultimate reader, it should not read as if it were written by your marketing department but as if we sent a reporter out to cover your news story. FEBRUARY 2020
Image Credit: Creative Commons
While larger operations use paid services like Businesswire, PRweb, PRNewsire and others to distribute their press releases, smaller companies can maintain a list of media outlets that make more sense for their target market. I review PRs from the big distribution houses all the time - but I am more likely to notice one emailed directly to me.
from a company officer. I 5. Important! Don’t often include company make your PR into an logos when they are made advertisement. First, it will available. lesson the chance I include 8. About (Your Company) your piece, (remember, I It’s good to include a short charge for advertising) but “About ABC Company” at just as important, it will lack the end of your PR. Keep it credibility to the readers if it short and within the word just looks like a puff piece. limit for the entire piece. It’s okay to sound enthused Include contact info for about the topic and your “further information.” company, but the ideal PR 9. Make certain to place a will look as if your company copy of each PR on your made the news because of company website under some newsworthy event. your NEWS tab. The practice 6. Give me at least one quote, will make your site more e.g. “Frank’s extensive relevant to search engines experience in restaurant and more valuable to risks will bring a new depth visitors. to our commercial insurance department,” said John ow that you’ve created Smith, CEO... the perfect press 7. If appropriate, include release, where should an image, especially if you send it? the PR involves personnel or a mention or quote
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In the insurance business, include every trade journal that covers your region. If you are introducing a new restaurant program, for example, you may wish to include some of the trade journals in that industry. If you are a local retail agent, by all means include local print media, especially neighborhood newsletters or city-wide newspapers. Build your list in a spreadsheet database so you can one-click mail-merge a personalized copy to each media outlet. Make it a habit! Find the best copywriter in your office and assign them the task of churning out one press release each month. You’ll be building your brand and status within your industry. Where to send at TUI? Send directly to me, Ron Manera at ron@insurmedia.com.
www/underwritersinsider.com
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2019 FAIA CONVENTION TRADE FAIR BOOTH IMAGES NOW ONLINE!
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ne of the biggest insurance events held each year in Florida is the Florida Association of Independent Agents (FAIA) Convention. This year was the 116th annual convention, making it not only one of the largest, but one of the longest running events in US insurance history.
Click On The Image Below To View Booth Images
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FEBRUARY 2020
2019 LAAIA CONVENTION TRADE FAIR BOOTH IMAGES NOW ONLINE!
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he largest insurance trade fair in S. Florida, the Latin American Association of Insurance Agents pulled off another incredible event with their 48th annual convention and trade fair this August. This time no camera equipment issues and had time to shoot every booth.
Click On The Image Below To View Booth Images
FEBRUARY 2020
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BECOME A CERTIFIED EXPERT IN CORPORATE PROPERTY INSURANCE AND A CERTIFIED EXPERT IN CORPORATE LIABILITY INSURANCE Now available from Illumeo and Barry Zalma!
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veryone involved in insurance – either as an insurer or as an insured – requires excellence in claims handling. Businesses need to deal with insurers who have an excellence in claimshandling mandate. Insurers who wish to profit need an excellence in property and/or liability claims-handling program. Everyone in business needs an insurer who has an excellence in property or liability claims-handling program in effect. Two comprehensive programs enabling insurance professionals to become Certified Expert in Corporate Property Insurance and/ or Certified Experts in Corporate Liability Insurance are available from Illumeo.com and https://www.illumeo.com/curriculum/certifiedexpert-corporate-property-insurance and https://www.illumeo.com/ curriculum/certified-expert-corporate-liability-insurance. The programs are complete courses of study providing education and training to allow insurance professionals, after completing the individual classes, to become a Certified Expert. The programs cover everything an employee, an officer, or a director of a corporation needs to know about the need to acquire proper insurance and to resolve any claim presented by the corporation to the insurer. Major topics of study include, but are not limited to: the importance of insurance; how to acquire insurance and understand an insurance policy; the methods used by insurers to investigate claims; the various types of insurance that corporations need; the duties and obligations of a public adjuster; and how The full curriculum of the courses and other courses from Barry Zalma are available at http:// www.ilumeo.com by entering in the search bar the word “zalma.”
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NEW INSURANCE CLAIMS BOOKS BY BARRY ZALMA The Making of an Insurance Claims Professional
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t is the insurance claims person - the adjuster - who meets with the person insured and works to keep the promises made by the insurance policy. The adjuster cannot, however, help the insurer keep the promises made unless he or she understands insurance, insurance claims, the types of claims presented and the law surrounding insurance and insurance claims. For the minimal cost of a paperback or Kindle book every insurer can place in the hands of their claims people information that will help them become professional, well trained, thoroughly educated claims professionals who are able to read and understand every insurance policy so that he or she is able to keep the promises made by the insurance policy. Read about these and many more insurance books by Barry Zalma at http://zalma.com/zalma-books/
• Construction Defects and Insurance • Zalma on Insurance Claims • Zalma on Insurance Claims Volume 101 • Zalma on Insurance Claims Part 102 • Zalma on Insurance Claims Part 103 • Zalma on Insurance Claims Part 104
• Zalma on Insurance Claims Part 105 • Zalma on Insurance Claims Part 106 • Zalma on Insurance Claims Part 107 • Zalma on Insurance Claims Part 108 • Zalma on Insurance Claims Part 109 • Zalma on Insurance Claims Part 110
VISIT ZALMA BOOKS NOW!
FEBRUARY 2020
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NEWS - SPACE Continued From Page 37
NASA to the thermal, physical and chemical disturbances generated during a landing, and evaluate contaminants injected into the regolith by the landing itself. It will give scientists insight into the how a spacecraft landing might affect the composition of samples collected nearby. It is being developed at NASA Goddard. • Photovoltaic Investigation on Lunar Surface (PILS): PILS is a technology demonstration that is based on an International Space Station test platform for validating solar cells that convert light to electricity. It will demonstrate advanced photovoltaic highvoltage use for lunar surface solar arrays useful for longer mission durations. It is being developed at Glenn Research Center in Cleveland. • Linear Energy Transfer Spectrometer (LETS): The LETS radiation sensor will collect information about the lunar radiation environment and relies on flight-proven hardware that flew in space 44
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Concept image of the Astrobotic Peregrine robotic lander, which will launch on an United Launch Alliance Vulcan Centaur rocket, and deliver 11 NASA payloads to the Moon. Credits: Astrobotic
on the Orion spacecraft’s inaugural uncrewed flight in 2014. It is being developed at NASA Johnson.
contamination. Data gathered from MSolo will help determine the composition and concentration of potentially a c c e s s i b l e resources. It is being developed at Kennedy Space Center in Florida.
• PR OSPE C T Ion-Trap Mass Spectrometer (PITMS) for Lunar Surface Volatiles: PITMS will characterize the lunar exosphere after descent and landing and throughout the lunar day to understand the release and movement of volatiles. It was previously developed for ESA’s (European Space Agency) Rosetta mission and is being modified for this mission by NASA Goddard and ESA.
• Near-Infrared Volatile Spectrometer System (NIRVSS): NIRVSS will measure surface and subsurface hydration, carbon dioxide and methane – all resources that could potentially be mined from the Moon -while also mapping surface temperature and changes at the landing site. It is being • Neutron Spectrometer developed at Ames Research System (NSS): NSS will search Center in Silicon Valley, for indications of waterCalifornia. ice near the lunar surface by measuring how much • Mass Spectrometer hydrogen-bearing materials Observing Lunar Operations are at the landing site as well (MSolo): MSolo will identify as determine the overall bulk low-molecular weight composition of the regolith volatiles. It can be installed there. NSS is being developed to either measure the at NASA Ames. lunar exosphere or the spacecraft outgassing and • Neutron Measurements at Table of Contents
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the Lunar Surface (NMLS): NMLS will use a neutron spectrometer to determine the amount of neutron radiation at the Moon’s surface, and also observe and detect the presence of water or other rare elements. The data will help inform scientists’ understanding of the radiation environment on the Moon. It’s based on an instrument that currently operates on the space station and is being developed at Marshall Space Flight Center in Huntsville, Alabama. • Fluxgate Magnetometer (MAG): MAG will characterize certain magnetic fields to improve understanding of energy and particle pathways at the lunar surface. NASA Goddard is the lead development center for the MAG payload.
Intuitive Machines Payloads • Lunar Node 1 Navigation Demonstrator (LN-1): LN-1 is a CubeSat-sized experiment that will demonstrate autonomous navigation to support future surface and orbital operations. It has flown on the space station and is being developed at NASA Marshall. • Stereo Cameras for Lunar FEBRUARY 2020
Concept image of the Intuitive Machines Nova-C lander, which will launch on a SpaceX Falcon 9 rocket, and carry five NASA payloads to the Moon. Credits: Intuitive Machines
Plume-Surface Studies (SCALPSS): SCALPSS will capture video and still image data of the lander’s plume as the plume starts to impact the lunar surface until after engine shut off, which is critical for future lunar and Mars vehicle designs. It is being developed at NASA Langley, and also leverages camera technology used on the Mars 2020 rover.
on the lunar surface. In addition, the ROLSES measurements will confirm how well a lunar surface-based radio observatory could observe and image solar radio bursts. It is being developed at NASA Goddard.
NASA has 14 companies on contract through CLPS to bid on delivering science experiments and technology demonstrations to the lunar surface. Investigations and demonstrations launched on commercial Moon flights will help the agency study Earth’s nearest neighbor, and prepare for human lunar missions beginning in 2024 under the Artemis program. NASA anticipates advancements in landers and rovers will be needed to expand the range and duration of its science and technology experiments. Through CLPS, the agency plans to work with its partners to send about two deliveries of scientific and research payloads to the Moon per year starting in 2021.
• Low-frequency Radio Observations for the Near Side Lunar Surface (ROLSES): ROLSES will use a lowfrequency radio receiver system to determine photoelectron sheath density and scale height. These measurements will aide future exploration missions For more information about by demonstrating if there will NASA’s Commercial Lunar be an effect on the antenna Payload Services initiative, visit: response or larger lunar radio observatories with antennas https://www.nasa.gov/clps Table of Contents
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