Mandatory Financial Literacy for Maryland Students?

Reading, writing, arithmetic are the basic skills that all students should master by the completion of the 12th grade.  New legislation would aim to add financial skills to that list.  Senate bill 262 would require that every Maryland public high school student take one semester of a stand-alone financial literacy course as a part of their graduation requirements.  The course would include financial management topics such as loans, credit cards, insurance, stock market, and other financial issues.

Currently only four states – Utah, Missouri, Virginia, and Tennessee – have a required stand-alone financial literacy course prior to graduation. In Maryland, Carroll, Talbot, and Allegheny counties currently require high school students to complete a semester-long course in financial literacy. Seven additional counties offer semester- or year-long elective courses with financial literacy embedded into the curriculum.  SB 262 would mandate financial literacy to be taught statewide.

Proponents agree that based on the historic recession and mortgage meltdown, financial literacy is needed now more than ever for Maryland students.  They argue that teaching these practical real-world skills will instill responsible financial choices in college and early adulthood, that will help an individual to maintain good credit, purchase a house or car, and understand how to save.

And although opponents see the value in financial literacy, many wonder if this will burden already over-worked teachers with another performance based graduation requirement.  Another worry is that a mandatory course in senior year could put undue pressure on students already taking advance placement courses and preparing for graduation.

Even though there are differing opinions on how to best bring financial literacy to Maryland students, both sides agree it is a worthy subject.  It seems that finding the best way to make it happen will be the hardest part.

Listen to Legislation Live!

Can't make it to Annapolis, but still want to be in the loop?  Just a reminder that you can listen live to Senate and House hearings every Tuesday, Wednesday, and Thursday starting at 1 pm.  If you aren't available, all hearings are recorded and available 24/7 on the Maryland General Assembly website.

SOMETIMES THE REAL WORLD INTRUDES

Annapolis during the legislative session is a very insular society. Bill after bill is heard before small committees with the same professional lobbyist class in attendance. These lobbyists and legislators work together on some bills, and against each other on other bills. The issues change, but to an astounding degree the players remain the same.

Each player needs to compartmentalize every subject, and nothing can be taken personally, because today’s opponent is tomorrow’s ally. "Go along to get along," relish your victories, move past the defeats, do your job. It’s not personal.

Except when it is.

SB317/HB647 was up for a hearing in the Senate Finance Committee. It was one of nine bills to be heard that afternoon. The usual chatter was occurring as lobbyists whispered, spectators read or answered e-mails on PDA’s, legislators move in and out of the room, and a woman – not of the insular Annapolis world – moved towards the witness table.

Five sentences into her testimony, the PDA’s were no longer in use. The chatter in the room stopped. Legislators were no longer looking at their laptops. All was quiet as the woman, calmly and strongly recounted her story. Here is a part of it:

Her neighbor came to her door one morning. He rang the bell, she answered, and let him inside. He showed her her morning paper that he had kindly picked up on his way up her walk. She thanked him, and turned briefly away. As she turned, he removed a hammer and butcher knife he had hidden in the newspaper. He knocked her to the floor with a blow to the back of her head. She struggled to escape, and was hit again and again. Beaten, she fell to the floor in a pool of her own blood. There, in her own home, he held the knife to her throat, sexually assaulted her, and told her he was going to kill her and then himself.

Thankfully, the brave victim talked the assilant down from his rage and he fled without carrying out his threat. The police came, the assailant was caught, and the woman ultimately had her home cleansed of the physical after effects of the attack. That service cost almost $10,000. Her insurance company paid for the clean-up, and then surcharged her policy for making a claim.

SB317/HB647 stops this practice. It makes it illegal for a homeowner’s insurance company to use information that an individual was the victim of a violent crime in deciding to cancel or surcharge a policy.

This bill will pass. For a few minutes that day Annapolis stopped, the real world came in, and it got personal.

　

Update: Senate Finance Hears SB 394 - MAIF Installment

Yesterday, the Senate Finance Committee heard Senate Bill 394, legislation that would give MAIF policyholders the choice to pay their premiums in installments, instead of upfront and in-full as the current law requires. 

Instead of rehashing the details of the hearing, we thought we'd let you read what other media is saying about SB 394 .  We'll update this list as more stories come out.

Baltimore Sun Editorial

“The Camel’s Nose”, “Half a Loaf", and such stuff...

In the world of politics, phrases like “getting the camel’s nose under the tent” and “half a loaf is better than none” resonate with a fervor akin to religion. Last week’s bill on hands-free cell phone use, House Bill 222, is a good example of why these tired phrases are revived in Annapolis every legislative session.

Efforts to ban the use of handheld cell phones while driving were started by Delegate John Arnick in 1999 House Bill 37.  Those efforts were unsuccessful until 2010’s Senate Bill 321 “The Delegate John Arnick Electronic Communication Safety Act of 2010.”  In the 11 years between the introduction and passage of the bill, Delegate Arnick left office, took another position, and, in 2006, passed away.

The 2010 success was by the thinnest of margins.  Final Senate approval was by a vote of 24-23.

To get it passed, supporters accepted “half a loaf” by making the use of a hand-held cell phone a “secondary violation.”  This meant the police could not enforce the law unless first they caught you committing another violation, like speeding.  However, now, the “camel’s nose was in the tent.” 

Fast forward only four months from the time the ban took effect.  2011’s HB 222 proposes to remove the “secondary violation” language that was a key to the bill’s 2010 passage.  Strong arguments support this change.  For example, while eight states and the District of Columbia prohibit the use of hand-held cell phones by all drivers while operating a motor vehicle, only Maryland makes it a secondary violation.  A September 2010 study by the University of North Texas Health Science Center estimated that talking on or texting from cell phones while driving killed 16,000 people from 2001 to 2007.

While good reasons may support the change, it is only possible in 2011 because the acceptance of “half a loaf” in 2010 allowed “the camel’s nose in the tent.”  Eleven years to pass half a bill, but only four months to get the rest?  That’s why those sayings are revived each year.

Senate Bill 415 - Thank You For Not Smoking....

By now most of us are aware of the dangers of tobacco use.  Surgeon General warnings, scientific studies, or perhaps the illness of a loved-one has made us all acutely aware of exactly why smoking is detrimental to your health.  But, people still light up on a regular basis - a choice that is theirs to make.  However, what happens when another individual is affected by a smoker's choice?  And what happens if that individual is only in the first grade?

Senate Bill 415, seeks to make smoking in a vehicle with a child under the age of eight illegal and a primary offense, meaning that a police officer would only need to observe an adult smoking in the presence of a child in order to pull them over and issue a fine. 



MAIF does not condone smoking for those under the age of 18.  However, we do have a sense of humor and this picture is HILARIOUS.



Proponents gave compelling statistics as to why the legislation is needed.  Second-hand smoke is linked to a myriad of diseases in children including ear infections, asthma, and some childhood cancers.  It's believable that in the confines of a vehicle the chances of a child being susceptible to second-hand smoke is very real.  In fact, champions of SB 415 pointed to an EPA study that found in smoker vehicles with a slightly opened window, the air quality was over three times higher than what the EPA considers toxic.  In a vehicle with the windows completely shut the toxins were ten times higher.

If you're a non-smoker, you might be thinking that SB 415 makes perfect sense.  However opposition to the bill argued that SB 415 is trying to unsuccessfully replace common sense and responsible parenting.  Opponents argued that government currently has no way to distinguish other "risky" behaviors that can affect a child's health.  For instance, government can't dictate the types of foods that parents feed their children, or whether or not they've applied suntan lotion before a day at the beach.  The opposition pointed to a slippery slope of government interferences in our everyday lives and noted that the passage of this legislation would only open the door for more anti-smoking legislation.

Arkansas, California, Louisiana, Maine, and Puerto Rico have already passed similar legislation.  And it wasn't too long ago that Maryland took aim at non-smokers rights in restaurants, bars, and other social establishments.  Does SB 415 step over the line from concerned government to Big Brother?  Thankfully, that's not for us to decide - but it's certainly an interesting question on the role that government plays in our lives.

The MAIF Installment Bill Returns

We've recently been asked whether a MAIF installment bill will be heard in the 2011 General Assembly.  The answer is yes.  Baltimore City Senator Catherine Pugh recently introduced Senate Bill 394 entitled:  Maryland Automobile Insurance Fund - Acceptance of Premiums on Installment Basis.  The official hearing for the bill is set for Tuesday, February 22 at 1 p.m. in the Senate Finance Committee.

Senate Bill 48 - Buyer Beware - Your Airbags Could Be Salvaged

Imagine you're shopping for a used car. No matter if you purchase the car from a reputable dealership or out of classifieds there are a few items you are going to check. You'll no doubt test drive the vehicle, look under the hood, and possibly check into the history of the specific car prior to purchasing it.  One item you might not think about is the condition of your vehicles' airbags.

According to proponents of SB 48, unscrupulous body shops, car dealerships, and sellers have, in the past sold salvaged and previously deployed airbags from total loss vehicles to unsuspecting consumers. SB 48 requires that a record be kept by those installing replacement airbag and that the buyer is made aware of the salvaged airbag prior to purchase.

So, what's the big deal? According to proponents of the legislation, there is no way to tell the authenticity of the airbags or if the salvaged airbag compartment has been tampered with (proponents testified of airbag compartments filled with rags, telephone books, or nothing at all once deployed.)   Also, with over 75,000 airbags being stolen annually,  proponents also agree that the proposed legislation will reduce fraud while promoting occupant safety.

Opponents of the legislation argue that the perceived problem of salvaged airbags is just that - a perception.  They testified that there were no cases in Maryland of airbag failure that could be traced to a stolen or salvaged airbag.   They also fear that the legislation, if passed, will remove consumer choice from the marketplace.  They further argued that a market for salvaged airbags exists, pointing to a recent car.com study in which salvaged airbags were searched for 1.2 million times over the course of a year.  Still many respected organizations and carmakers including Nissan, GM, and the National Traffic Highway Safety Administration have stated that salvaged airbags are unsafe and have advised against the use of them.

A work session was suggested by both sides at the conclusion of the hearing.  We'll keep you posted on how things turn out. 

Senate Bill 138 - When is an Estimate the Same as a Paid Bill?

Did you know that Maryland law currently allows you to prove your property damages in an automobile case by submitting paid bills as evidence of your loss?  You do not have to call a "live" witness, so long as you follow the notice procedures in Courts and Judicial Proceedings Article 10-105, and your damages do not exceed $30,000.  This rule gets around what normally would be called "hearsay".

On February 9, the Senate Judicial Proceedings Committee heard legislation designed to further loosen the standard of proof in these type of cases. Under SB 138, you could prove your damages by submitting unpaid estimates. Plaintiff’s lawyers claim the use of estimates offer consumers unable to pay a property damage bill a level playing field in court.

In "legalese" both the existing law and the proposed law create "hearsay" exceptions to the normal rules. Generally speaking, if you want to prove surety in court, you must bring a witness who can testify and be cross-examined.

You cannot cross-examine a paid bill, but can you trust it to show damages? This is the heart of the issue. Can you trust an estimate? Insurance carriers argue you cannot. Paid bills, they claim, are reliable precisely because they were paid. Estimates – they assert – can vary widely, and be issued by anyone with stationery. According to large carriers the bill invites fraud, and could lead to higher rates.

What do you think? Is an estimate as reliable as a paid bill? Stay tuned.

Navigating the Maryland General Assembly Home Page

Unless you're a political junkie or work in State Government, you've probably have never come across the Maryland General Assembly website. The website http://www.mlis.state.md.us/ houses just about everything you'd ever want/have/or need to know about legislation during Maryland's 90-day session. 

Looking to find out who your representatives are?  There's a link for that.  Want to know more biographical information about them?  There's a link for that.   Interested in contacting a representative?   There's a link for that.  So, you get the point - lots of great information all in one spot, but there's actually a lot more to the site.

For example,  for the most up-to-date list of proposed legislation users can click on "Senate Legislation" or "House Legislation" under Daily Status Reports and find a list of every piece of legislation that has been introduced.  Once you find the bill you're interested in following, use the link "Bill Information and Status" to track the most-up-to-date information on the legislation, using "SB"= Senate Bill or "HB" = House Bill  in the search box and the bill number, for instance SB 45.   And if you need to follow several bills at once you can create a "Bill Profile" which allows the user to get the latest on the status of bills that they have a special interest in.  And finally, new this year, you can stream live bill hearings through the web right to your PC.

Now that we've hit you with some knowledge, pass it along and show all of your friends how smart you are.

Let's Get This Started...

Welcome to Session Scoop, a blog written and maintained by the Policy and Communications Department at the Maryland Automobile Insurance Fund (MAIF).  We'd like to make our first post a formal introduction on the purpose of this blog, some background our agency, and a little bit about us. 

The idea for Session Scoop was born out of 1. our interest in social media and its ability to reach a mass audience (see e.g. Egypt) and  2.  the desire to make Annapolis accessible for everyone.  Over 2,000 bills will be introduced over the 90-day legislative session - even for the seasoned politician - that's a lot to keep up with!  We hope to bring you at least one posting per week over the next ten weeks on topics that interest us and our industry including  insurance, vehicle safety, financial literacy, and more. We will not take a position on legislation, instead we will inform our readers on the facts of specific legislation and its impact on Marylanders.
 
MAIF is a quasi-State agency created by the Maryland General Assembly in 1972 to provide automobile insurance to those residents unable to find insurance through private market means.  MAIF is a part of the Executive Department and reports to the Governor.  Although it maintains many of the qualities of a State agency, MAIF is not taxpayer funded.

The Policy and Communications Department (PCD) is part of the Executive Department at MAIF and reports to MAIF's Executive Director.  PCD is Director of Governmental Affairs and Policy, Mark McCurdy, Associate Director of Legislation, Sandy Dodson, and Communications Specialist, Adrienne Diaczok.   Mark McCurdy (pictured right) is a Phi Beta Kappa graduate of the University of Maryland College Park and has a J.D. degree with honors from the University of Maryland Law School.  Prior to working directly for MAIF, Mark spent almost 25 years as an Assistant Attorney General for the State of Maryland.  With the AG's office Mark handled high profile trial and appellate cases for the State, including courtroom wins allowing the State's light rail project, and multi- million dollar recoveries in cases stemming from the collapse of the State's Savings and Loan industry.

Sandy Dodson (pictured middle) has worked with MAIF legislation for the past 15 years.  She has a Bachelor of Arts degree from Salisbury State College, now Salisbury University.  Sandy is also a board member of the Maryland Government Relations Association (MGRA). 

Adrienne Diaczok (pictured left) has worked in government communications since 2002.  She has Bachelor of Science in Political Science and Mass Communications from Towson University and is currently working on a Masters Program in Communications and Urban Studies.