1
 Insurers may see claims
5002
span

2
 resulting from the San Francisco earthquake 
1
elaboration-object-attribute-e

3
totaling nearly $1 billion 
5004
span

4
-- far less than the claims
5001
span

5
 they face from Hurricane Hugo -- 
4
elaboration-object-attribute-e

6
but the recent spate of catastrophes should jolt property insurance rates in coming months.
5014
span

7
 The property claims service division of the American Insurance Services Group estimated insured losses from the earthquake at $960 million.
5006
span

8
 This estimate doesn't include claims under workers' compensation, life, health disability and liability insurance and damage to infrastructure such as bridges, highways and public buildings.
7
elaboration-additional

9
 The estimated earthquake losses are low 
5009
span

10
compared with the $4 billion in claims
5008
span

11
 that insurers face from Hurricane Hugo,
5007
span

12
 which ripped through the Caribbean and the Carolinas last month.
11
elaboration-additional-e

13
 That's because only about 30% of California homes and businesses had earthquake insurance 
5010
span

14
to cover the losses.
13
elaboration-object-attribute-e

15
 However, insurance brokers and executives say
16
attribution

16
 that the combination of the Bay area earthquake, Hugo and last week's explosion at the Phillips Petroleum Co. 's refinery in Pasadena, Texas, will cause property insurance and reinsurance rates to jump.
5015
span

17
 Other insurance rates such as casualty insurance,
5017
span

18
 which would cover liability claims,
17
elaboration-additional-e

19
 aren't likely to firm right away,
5018
Same-Unit

20
 says Alice Cornish, an industry analyst with Northington Research in Avon, Conn.
5018
attribution

21
 She believes
22
attribution

22
 the impact of losses from these catastrophes isn't likely to halt the growth of the industry's surplus capital next year.
5020
span

23
 Property reinsurance rates are likely to climb first,
5023
span

24
 analysts and brokers believe.
23
attribution

25
 The reinsurance market has been bloodied by disasters in the U.S. as well as in Great Britain and Europe,
5024
span

26
 says Thomas Rosencrants, director of research at Interstate/Johnson Lane Inc. in Atlanta.
25
attribution

27
 Insurers typically retain a small percentage of the risks 
5026
span

28
they underwrite 
27
elaboration-object-attribute-e

29
and pass on the rest of the losses.
5027
List

30
 Insurers buy this insurance protection for themselves
5033
span

31
 by giving up a portion of the premiums 
5030
span

32
they collect on a policy
31
elaboration-object-attribute-e

33
 to another firm 
5032
span

34
-- a reinsurance company,
5029
span

35
 which, in turn, accepts a portion of any losses 
5028
span

36
resulting from this policy.
35
elaboration-object-attribute-e

37
 Insurers, such as Cigna Corp., Transamerica Corp, and Aetna Life & Casualty Co., buy reinsurance from other U.S.-based companies and Lloyd's of London for one catastrophe at a time.
5033
example

38
 After Hugo hit,
39
temporal-after

39
 many insurers exhausted their reinsurance coverage 
5039
span

40
and had to tap reinsurers
5036
span

41
 to replace that coverage 
40
purpose

42
in case there were any other major disasters before the end of the year.
5036
hypothetical

43
 After the earthquake two weeks ago,
5040
span

44
 brokers say
43
attribution-e

45
 companies scrambled to replace reinsurance coverages again 
5041
span

46
and Lloyd's syndicates turned to the London market excess lines for protection of their own.
45
consequence-s

47
 James Snedeker, senior vice president of Gill & Roeser Inc., a New York-based reinsurance broker, says
5050
attribution

48
 insurers
5049
span

49
 who took big losses this fall
5048
List

50
 and had purchased little reinsurance in recent years
5048
List

51
 will be asked to pay some pretty hefty rates 
5047
span

52
if they want to buy reinsurance for 1990.
51
condition

53
 However, companies with few catastrophe losses this year and already big buyers of reinsurance are likely to see their rates remain flat, or perhaps even decline slightly.
5052
Contrast

54
 Many companies will be negotiating their 1990 reinsurance contracts in the next few weeks.
5053
span

55
 It's a seller's market,
5054
span

56
 said Mr. Snedeker of the reinsurance market right now.
55
attribution

57
 But some large insurers, such as State Farm Mutual Automobile Insurance Co., don't purchase reinsurance,
5056
List

58
 but fund their own program.
5056
List

59
 A few years ago, State Farm, the nation's largest home insurer, stopped buying reinsurance 
5060
span

60
because no one carrier could provide all the coverage 
5059
span

61
that it needed 
60
elaboration-object-attribute-e

62
and the company found it cheaper to self-reinsure.
5061
span

63
 The $472 million of losses
5062
span

64
 State Farm expects from Hugo 
63
elaboration-object-attribute-e

65
and an additional $300 million from the earthquake are less than 5% of State Farm's $16.7 billion total net worth.
5063
Same-Unit

66
 Since few insurers have announced what amount of losses
5066
span

67
 they expect to see from the earthquake,
66
elaboration-object-attribute-e

68
 it's impossible to get a clear picture of the quake's impact on fourth-quarter earnings,
5067
span

69
 said Herbert Goodfriend at Prudential-Bache Securities Corp.
5067
attribution

70
 Transamerica expects an after-tax charge of less than $3 million against fourth-quarter net;
5070
List

71
 Hartford Insurance Group, a unit of ITT Corp., expects a $15 million or 10 cents after-tax charge;
5070
List

72
 and Fireman's Fund Corp. expects a charge of no more than $50 million before taxes
5069
span

73
 and after using its reinsurance.
72
temporal-after

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span
3
comparison

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span
5003
span

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span
6
antithesis

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span
5002
elaboration-additional-e

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span



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span
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span

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span
10
elaboration-object-attribute-e

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span
9
comparison

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span
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span

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span
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explanation-argumentative

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span
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elaboration-additional

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span
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antithesis

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span



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span
5072
span

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span
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span

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span
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span

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span
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Same-Unit

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multinuc
5019
span

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span
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circumstance

5020
span
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span

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span
5016
elaboration-additional

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span
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span

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span
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span

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span
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span

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span
5022
elaboration-additional

5026
span
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List

5027
multinuc
5034
span

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span
34
elaboration-object-attribute-e

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span
33
elaboration-object-attribute-e

5030
span
5031
Same-Unit

5031
multinuc
30
means

5032
span
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Same-Unit

5033
span
5035
span

5034
span
5043
background

5035
span
5027
elaboration-additional

5036
span
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span

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span
5038
span

5038
span
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Sequence

5039
span
5037
reason

5040
span
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Same-Unit

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span
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Same-Unit

5042
multinuc
5043
Sequence

5043
multinuc
5044
span

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span
5024
evidence

5045
span
5058
span

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span
5014
summary-n

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span
5050
Same-Unit

5048
multinuc
48
elaboration-object-attribute-e

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span
5050
Same-Unit

5050
multinuc
5051
span

5051
span
5052
Contrast

5052
multinuc
54
circumstance

5053
span
5054
interpretation-n

5054
span
5055
span

5055
span
5057
span

5056
multinuc
5065
span

5057
span
5045
elaboration-additional

5058
span
5023
explanation-argumentative

5059
span
59
reason

5060
span
62
result

5061
span
5064
span

5062
span
5063
Same-Unit

5063
multinuc
5061
evidence

5064
span
5056
elaboration-additional

5065
span
5055
antithesis

5066
span
68
explanation-argumentative

5067
span
5068
span

5068
span
5071
span

5069
span
5070
List

5070
multinuc
5068
example

5071
span
5073
Topic-Drift

5072
span
5073
Topic-Drift

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multinuc



