Consumer Advocate Challenges 0.3% Cut in Loss Costs

South Carolina Consumer Advocate Elliott F. Elam Jr. has filed a legal challenge to the 0.3% reduction in loss costs approved by state Insurance Director Scott Richardson last month.Among the key factors underlying the challenge is the impact on overall rates of recent loss data supplied by troubled insurance giant American International Group (AIG).AIG settled an investigation by then-New York Attorney General Eliot Spitzer in February 2006 that accused AIG of underreporting workers' compensation premiums by hundreds of millions of dollars across the nation.Loss costs are calculated by co...