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Demotech, Inc.: Tech-enabled Litigation Instigation Necessitates Granularity of Loss Costs

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COLUMBUS, Ohio, Aug. 24, 2026 /PRNewswire/ — Tech-enabled litigation instigation, the once covert online business model unearthed by Demotech’s research project coupled with mutations in the legal profession necessitate a more granular presentation of loss costs. 

Joseph L. Petrelli, ACAS, ASA, MAAA, MBA, president and co-founder, Demotech, Inc. notes “In 2022, our postmortem of failed carriers identified new, annual litigation as the proximate cause of what destroyed them. Our subsequent research project, undertaken by Todd Kozikowski, determined that the industrial scale increases in litigated claims were accomplished through technology, online marketing, and advertising, sometimes financed through third-party litigation funding. Subsequent research by Demotech identified changes within the legal profession. The changes in the legal profession include alternative business structures, managed services organizations, and other mutations that may circumvent the disclosure of third-party litigation funding. In this environment, regulators, legislators, and stakeholders need additional granularity in the presentation of loss costs. We need to focus on the components, not the composite.”

As to the need for additional granularity, Petrelli notes “Until the mid-1980s, advisory organizations published rates and premiums for insurers to utilize, either as is or with a deviation. In the mid-1980s, this changed to advisory loss costs, i.e., the average loss per policyholder without a corporate expense and pre-tax profit provision included.”

“Although advisory loss costs are trended for inflation to reflect anticipated claim costs as well as anticipated changes in claim frequency. Since the mid-1980s, the formula underlying loss cost has been (Claim Frequency) times (Claim Cost) equals Loss Cost. Essentially, a loss cost is (percentage of policyholders with a claim) times (the average cost of a claim),” says Sharon Romano Petrelli, CPCU, AIAF, CCP, ARC, vice president, and co-founder.

Joe Petrelli believes that this format was reasonable when claims were not unduly influenced by billboards, TV, radio ads, third-party litigation funding, online tech-enabled litigation instigation, alternative business structures, or managed services organizations. He says, “an implicit assumption underlying the original loss cost format was that an equilibrium existed in the relative claim frequency between claims reported and settled with policyholders, and claims litigated and negotiated with plaintiff firms. However, with claim status transitioning between claims closed without payment, closed with an indemnity payment, outstanding, or litigated; loss costs need to be viewed as the sum of these components. Composite loss costs are not sufficiently transparent.”

An example of the granularity that would assist regulators, legislators, insurers, and stakeholders would be the sum of the components:

(Claim Frequency of Claims Closed without Payment) x (Cost of Closing without Payment)
plus

(Claim Frequency of Litigated Claims) x (Claim Cost of Litigated Claims)
plus

(Claim Frequency of Non-Litigated Claims) x (Claim Cost of Non-Litigated Claims)
equals the Composite Loss Cost.

The additional granularity would not change the dollar amount of the composite loss cost; however, this granularity would identify the impact of claim transitioning by components. In fact, there are advantages to isolating annual trend in cost by component, as well. 

By adding granularity, rather than blurring the impact of each component of a loss cost by ignoring its contribution, stakeholders would gain the ability to segregate and investigate the components of a loss cost.

About Demotech, Inc.

Incorporated on September 9, 1985, Demotech, Inc. is a financial analysis firm located in Columbus, Ohio. Demotech serves the insurance industry by providing objective and independent Financial Stability Ratings® (FSRs) for Property & Casualty insurance companies, Life & Health insurance companies, and Title underwriters, among others. FSRs assist independent, regional and specialty insurers by leveling the insurer ratings playing field. Over thirty-five years ago, Demotech was the first to have its rating process reviewed and accepted by Fannie Mae, Freddie Mac, and HUD. Since that time, Demotech’s FSRs have been leveling the playing field for financially stable insurers of all sizes. Since July 11, 2022, Demotech is registered with the U.S. Securities and Exchange Commission (SEC) as a nationally recognized statistical rating organization (NRSRO) in the class of ratings for Insurance Companies. Visit www.demotech.com for additional information, sign up or view The Demotech Difference.

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SOURCE Demotech, Inc.

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TIMEX DECLARES TODAY ANALOG LIFE DAY

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5 minutes ago

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November 13, 2026

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A National Invitation to Get Off the Clock and Into Life

An unexpected opening in your calendar? Don’t fill it. Live it.

SHELTON, Conn., Nov. 13, 2026 /PRNewswire/ — Timex, the Official Timekeeper of Analog Life, is declaring today, Friday, November 13, Analog Life Day, and giving everyone a reason to do something increasingly refreshing: spend time actually living it. 

In a world that never stops scrolling, refreshing or asking for more of our attention, Timex is inviting people to take some of it back.

Take the long lunch. Call the friend you keep meaning to see. Leave your headphones behind. Wander somewhere without a plan. Say yes to something spontaneous. Make a memory that doesn’t need to be posted to count.  No productivity hacks. No screen time challenge. No perfectly planned itinerary.  Just a reminder that the best moments in life rarely happen between notifications. 

For more than 170 years, Timex has helped people keep time. Today, we’re reminding everyone what it’s for.

No registration. No download. No algorithm.

Just one day. Your time. Your way.

Make Time Yours.

Civic PR for Timex – timex@civic-us.com

View original content to download multimedia:https://www.prnewswire.com/news-releases/timex-declares-today-analog-life-day-302939026.html

SOURCE Timex

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BAE Systems selected as a mission-enabling space technologies partner for NASA PRIMA astrophysics program

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5 minutes ago

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November 13, 2026

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NASA Jet Propulsion Laboratory mission to survey the history and evolution of the universe and bridge current scientific gaps

BROOMFIELD, Colo., Nov. 13, 2026 /PRNewswire/ — BAE Systems (LON: BA) announced today that its Jet Propulsion Laboratory (JPL)-led PRIMA (PRobe far-Infrared Mission for Astrophysics) team has been selected by NASA for the next phase of development in NASA’s new class of “Probe Explorers” astrophysics missions.   

BAE Systems will provide its Evolve+ spacecraft bus for the mission, lead the observatory assembly, integration and test process, and serve as the operations and ground lead for NASA’s JPL, the manager of the mission.   

“We are excited to continue our decades-long partnership with JPL through the PRIMA mission that will enable NASA to make significant discoveries on the history of the universe,” said Bonnie Patterson, vice president and general manager of civil space for BAE Systems. “The PRIMA mission will also help fill observation gaps with other NASA astrophysics missions, including the James Webb Space Telescope and other observatories, also supported by BAE Systems.”  

NASA’s PRIMA mission will use a highly sensitive, far-infrared space telescope that is designed to see parts of the universe that are hidden by dust. Using a 1.8-meter diameter telescope, it will observe the cosmos in far-infrared light, bridging the critical observation gap between the James Webb Space Telescope and ground-based radio observatories.

The mission will help scientists learn how stars, planets, galaxies and even water formed over time. It will reveal how these cosmic structures grow and change, providing a clearer picture of how our universe developed and evolved from its formation to the present.  

The PRIMA mission is currently advancing through Phase B development and is targeted for launch in 2033 for a five-year mission. Following a NASA confirmation review, the project will move toward full implementation.

BAE Systems will join numerous international space industry providers to support the PRIMA mission, including those from France, Italy, Canada, South Korea, Japan and the UK.

Through the PRIMA mission, BAE Systems continues its longstanding support of NASA’s astrophysics programs. This includes work on the Hubble Space Telescope, Chandra X-ray Observatory, James Webb Space Telescope and the Nancy Grace Roman Space Telescope, among others.

For more information, please contact: 

Brian Rantala, BAE Systems 
Mobile: 720-995-8253 
brian.rantala@baesystems.us 

www.baesystems.com/en-us   
@BAESystemsInc  

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SOURCE BAE Systems, Inc.

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Why a Pocket Projector Could Be the Right Gift for Gamers and Sewists: Aurzen ZIP Pro

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5 minutes ago

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November 13, 2026

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IRVINE, Calif., Nov. 13, 2026 /PRNewswire/ — The friend who hosts game night and the maker who dreads taping sewing patterns together might appreciate the same unexpected gift: a pocket projector. Aurzen ZIP Pro, a CES Innovation Awards 2027 Honoree, brings shared fun and sewing pattern projection together in one foldable projector.

Unlike a fixed TV, ZIP Pro is a gaming projector that moves with the gathering. Its larger shared image brings everyone into the adventure, whether you’re sharing maps during tabletop RPG sessions or cruising through neon-lit city streets in the upcoming AAA open-world titles. Direct USB-C support for Nintendo Switch makes it a convenient dock-free projector, letting friends play together instead of crowding around a handheld screen. Wired Game Mode offers 20–40ms response times for casual co-op and party games.

Beyond game nights, ZIP Pro brings the same flexibility to your sewing table. As a sewing projector, it lets you skip printing, taping and storing paper patterns, leaving more time for working with fabric. Native 1080p DLP and ToF autofocus help keep fine outlines clear, while adjustable support and four-point correction help align the image with your cutting surface. With less setup between an idea and the first cut, this compact sewing pattern projector helps you turn your ideas into a finished piece with greater confidence.

The ZIP Pro Basquiat Special Edition Bundle pairs the same hardware with artwork from the Basquiat estate. It includes the projector, two custom art shells, a custom GoPlay portable case and a mounting suite with MagPlay Pro and Z-Stand in a special-edition gift box. The interchangeable shells offer two different looks, making it a personal choice for Basquiat fans.

During the promotion from Nov.19-30, ZIP Pro is $579.99 (regularly $629.99); ZIP Pro Basquiat Special Edition Bundle is $649.99 (regularly $679.99). Buyers can choose a complimentary GoPlay Carry Bag or Z-Stand, limited to 50 gifts in total, first-come, first-served. A sitewide prize draw offers shoppers a chance to get their order for free.

About Aurzen

Aurzen is a global innovator in smart projection technology. By combining advanced optical engineering with intuitive software and user-focused design, Aurzen delivers products that bring big-screen experiences to any space. The company pioneered the world’s first Tri-Fold Truly Portable Projector, ZIP, and its designs have been recognized with multiple international awards, including the iF Design Award, Red Dot Award, G-Mark Award, and IDEA Award. For more information, visit www.aurzen.com.

View original content to download multimedia:https://www.prnewswire.com/news-releases/why-a-pocket-projector-could-be-the-right-gift-for-gamers-and-sewists-aurzen-zip-pro-302938816.html

SOURCE Aurzen

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