A consumer group on Monday issued a study that alleges “disparate treatment” of low-to moderate-income families by auto insurers nationwide. The group is asking state insurance commissioners to consider lowering minimum liability coverage requirements and creating low-income purchase programs.

The study from the Consumer Federation of America (CFA) concludes that the auto insurance marketplace “denies important economic opportunities, especially those related to employment, to low- and moderate-income (LMI) households.”

The study’s intent, and message, was immediately attacked by several national insurance associations claiming the CFA report is misguided, infers “malicious intent,” makes incorrect assumptions about underwriting and even gets some of the facts wrong.

The CFA study asks state insurance regulators to ensure that auto insurance is fairly priced and affordable for LMI families so that they have greater access to car ownership and jobs.

“We think these solutions are fair and practical and can be delivered by state insurance commissioners,” said J. Robert Hunter, one of the report’s authors, a former Texas insurance commissioner. CFA’s Executive Director Stephen Brobeck co-authored the report.

According to the group, it worked with Santa Monica, Calif.-based Consumer Watchdog on the study. Consumer Watchdog is working to get signatures to qualify its Insurance Rate Public Justification and Accountability Act for California’s Nov. 6, 2012 ballot. The initiative would “ensure fair and transparent rates for health, home and auto insurance,” prohibiting “unfair pricing” for auto based on prior coverage and credit history, according to its backers.

The CFA study cites several examples that its authors say prove “disparate treatment” of LMI households. It also shows that the bottom rung of families considered to be low-income pay 8 percent of more of their annual income on auto insurance.

One example, taken from a study by Consumer Watchdog, was a 30-year-old man in St. Louis with a Ford Taurus and a perfect driving record who commutes 20 miles per day. He carries comprehensive and collision insurance and a $500 deductible. If he were an executive with an MBA degree living in an upscale suburb, his average annual insurance rate would be around $558, according to the study.

But change his profile a bit, and the numbers rise dramatically, the study shows. Give the St. Louis man a mere high school diploma and the rate goes up $71 per year, and if he’s unemployed, tack on another $84, the study shows. Relocate him to a ZIP code with a lower median income, and the rate goes up $347, according to the study.

Additional considerations the study uses for altering the man’s profiles are: paying in installments, up $60; uninsured for period of time, up $638; possessing no car for a time, up $337.

“This goes to $2,095,” Hunter said. “The rate went up fourfold. Insurers have never provided a thesis on many of these factors on how they measure risk.”

He added, “We think these factors are surrogates on income.”

Additionally, he said, no study has ever been done on aggregate impact of insurance rates on low and moderate income families. The authors are asking insurance commissioners to collect this data, as well as data on how rates are calculated, from insurance companies in their states.

“It’s going to be hard, but the states have the authority to do this,” Hunter said. “States have subpoena power—they should require the data and get it.”

The study’s authors are asking commissioners to consider taking three specific steps:

• Lower minimum liability coverage requirements
• Eliminate “disparate” treatment
• Create low-income purchase programs

Aside from factors that are included in rates, Hunter said miles driven are not adequately factored into pricing, and that state liability requirements do not benefit lower income drivers, as they only get liability for damages done to another’s property or person.

As such, “states should look into the possibility of creating low-income insurance plans,” he said.

As an example, he cited California’s state-sponsored Low Cost Automobile Insurance Program, which is designed to give greater access car insurance to low-income families.

“States should look at this model and develop similar models for their state,” Hunter said. He noted the California plan uses no government subsidies, “but we think a case can be made for subsidy in some circumstances.”

State-sponsored efforts to provide income-eligible persons with liability insurance protection at affordable rates have not gained a significant following, according to the Insurance Information Institute. The program in California had fewer than 12,000 policies in effect as 2011, according to I.I.I.

It’s not clear if the CFA group has worked with any specific state insurance commissioners on its plan. A spokesman for California Insurance Commissioner Dave Jones said neither Jones nor his staff had been contacted by CFA.

Jones’ department is looking into why more people aren’t using California’s low cost auto insurance program, the spokesman said.

Rich Roesler, a spokesman for Washington’s insurance commissioner, said he knows of no one in his department who has been contacted.

“I checked with our staff,” he said. “We’ve been getting their emails, but as far as I can tell after checking with half a dozen people here, I can’t find anyone who’s been directly involved with the study.”

Jilene Whitby, a spokeswoman for the Utah Insurance Department, said no one there had been contacted, and that CFA’s announcement last week that it would release its study was the first news they had heard of the study. “Friday was the first he had heard of it, and today was the first our P&C director had heard of it,” she said.

Nevada Insurance Department spokesman Jake Sunderland, who said the group had not reached out to his department, said the state had a low cost auto insurance program bill introduced in state legislature last year that passed Assembly but died in the Senate.

“The commissioner’s office was neutral in the issue,” he said. “That’s kind of where we stand on that right now.”

Sunderland took exception to the CFA study’s assertion that rates are based on incomes–that’s at least not the case in Nevada, he said. “We don’t see that in Nevada,” Sunderland added. “We’re a prior approval state. We require justifiable data regarding a rate change, and that’s not something we would allow.”

In 2011 the Nevada state legislature did approve a bill that provided credit history exceptions for certain insureds for what is considered “an extraordinary life event.” Certain insureds could have their credit history prevented from being taken into account in ratings calculations if they were laid off, deployed by the U.S. military, or had a medical emergency that negatively impacted their insurance credit score.

To help carry its request to the nation’s insurance commissioners, CFA is asking the National Association of Insurance Commissioners (NAIC) to request that its property/casualty committee examine the suggested changes in the study.

“They should hold a hearing on the matter so all stakeholders can be heard,” Hunter said.

An NAIC spokeswoman, who would not allow her name to be used, stated that NAIC has received the letter and study from CFA, and the matter “will be referred to the appropriate committee(s) to discuss what, if any, recommendations are necessary.”

According to Hunter, CFA asked NAIC CEO Terri Vaughn to distribute the study to commissioners. However, the NAIC spokeswoman would not confirm whether Vaughn has been in contact with CFA.

Jim Whittle, assistant general counsel and chief claims counsel for American Insurance Association, said he believes CFA’s study overlooks some important factors in underwriting, and their study and statements assume “malicious intent.”

“There may be actually real reasons why there’s different outcomes,” he said, referring to the alleged disparity in rates between drivers in low-income neighborhoods versus more upscale communities.

Take ZIP codes, for example, he said. “You may just have more people driving in that lower-income area, maybe more vehicles, maybe it’s an area with higher density,” he said. “In other words, a higher likelihood you will have higher vehicle-to-vehicle accidents.”

Other rate factors include crime rates in different neighborhoods, including vandalism and theft, he said.

“If there’s an area that has a higher crime rate against property, it’s entirely appropriate that that gets factored into underwriting,” he said.

He added a caution against going down a path of “cross-subsidization.”

“The price ought to reflect the risk,” he said.

Based on the information CFA provided, Whittle believes the authors of the study made one too many assumptions about not only the methods the industry uses to establish rates, but also the intentions of those in the industry itself, he said.

“From the information they received, they assume a malicious intent,” he said. “But there are perfectly good, actuarially justifiable reasons why differences may exist.”

I.I.I. put out a statement following the release of the study countering CFA’s basic claims about auto insurance affordability and accessibility, saying both coverage and accessibility have actually grown more affordable in recent years.

“A highly competitive auto insurance marketplace is making coverage more widely available and affordable for all drivers,” I.I.I. stated.

The group stated it “vigorously contested” the CFA study, which asserts that insurance rating practices are driving up auto insurance prices for low- and moderate-income households.

I.I.I noted that the CFA analysis came weeks after an NAIC study showing that the typical U.S. motorist had seen auto insurance expenditures drop every year between 2005 and 2009, paying an average of $785 to insure a private-passenger vehicle in the U.S. in 2009, which is $4 less than in 2008.

The ratio of auto insurance costs to family income, an index developed by Risk Information Inc., dropped from 1.27 percent in 2004 to 1.05 percent in 2009, I.I.I. noted.

The Property Casualty Insurers Association of America (PCI) also hammered the report and its authors.

“The Consumer Federation of America’s misguided public policy prescription to increase affordability of auto insurance would be counterproductive and hurt the low- and moderate-income motorists they claim to represent,” said Paul Blume, senior vice president of state government relations for PCI. “Their approach would result in higher costs and fewer choices for all consumers.”

Blume added that while the low minimum liability coverage requirements CFA is proposing “would produce lower costs for some consumers, the CFA’s other recommendations would make insurance more expensive.”

source:  The Insurance Journal Consumer Group Charges Auto Insurers with ‘Disparate Treatment’ of Low Income Families.

General Lines- Property Casualty Agent’s License**

The General lines’s P&C license is the one most people think about when they’re looking to become an insurance agent.  This license helps you sell personal lines auto, home and umbrella as well as most commercial insurance products.  Also, if you want to own your own agency, this license is the minimum requirement to be an agency owner in the state of Texas.

As for the best licensing organizations, I looked at the usual suspects.  Most places offer, online pre-licensing classes online.  Prices for self-study course range from $100 to $300.  Of all the licensing organizations I reviewed, one stood out from the rest.  The Texas Insurance Training Academy based in Dallas, Texas, really puts their money where their mouth is.  They guaranty that if attend their classroom training and don’t pass the General Lines licensing exam on the first try, they’ll pay for your second test.  Not only do they make this guaranty for Property and Casualty, but they offer the same guaranty for the General Lines Life Accident and Health.

Other companies to consider:

• Kaplan Financial

General Lines  – Life, Accident, Health, and HMO**

The life, accident, and health license allows the license to sell any non-variable life insurance product available in the state of Texas.  Again, the Texas Insurance Training Academy offered the best combination of pricing and guarantees.  They also offered a 100% money back guaranty if you decide to follow the online prelicensing program.  Also, unlike 100% of the other organizations Texas Insurance Training Academy focuses only on passing the Texas Insurance licensing exam.

**Please note, exams for all General Lines licensing exams my be taken at Prometric.

Other companies to consider:

• Kaplan Financial

Texas County Mutual Agent’s license

The Texas County Mutual Agent’s license allows the licensee the ability to write insurance for a county mutual company.  This license is usually reserved for newbies to the insurance game that want to be a producer before they become an agency owner or general agent.  As a county mutual agent, you have the ability to write auto, and home insurance written under the direction of a general agent (like me.)

In order to obtain this license, you must first find an agency that has the proper county mutual company appointment.  Once you’ve found the agent, you can either self study for by going to www.cceducation.com and searching for the proper course under P&C, or finding a company that has a one day class.  This is the only insurance agent’s license that will allow you to take a proctored online licensing exam or at the appropriate testing location.  Either way, the abreviated tested allows you limited authority as an insurance producer.  Simply put, this license is reserved for beginning producers.

Other Considerations

Kaplan Financial also offers a combination of online and in personal pre-licensing courses across the state of  Texas.  Similar to  the Texas Insurance Training Academy, if you fail your licensing exam, they will allow you the chance to take the class 3 additional times.  However, the money backed guaranty is still the best deal I’ve seen so far.

Hopefully, this will give you additional insight into becomiing an insurance agent in Texas and the best licensing organizations.  Once you’ve gotten that license and are looking for an agency home, consider talking to us at TXINSURANCEPRO.COM.

Texas Insurance Pre-Licensing Links

• Texas Insurance Training Academy -online and classroom prelicensing available in Texas
• Kaplan Financial - online and classroom pre-licensing available in Texas
• Learn Insurance - online pre-licensing courses only
• Center for Continuing Education - online pre-licensing education and testing for Texas County Mutual Agents only.

Imagine consulting your business insurance agent prior to building a website?  If done properly, your website could yield business for years and years to come.  However, have you ever considered how your website affects your business insurance rates?  This blog post should shed a little light on the best insurance practices for small business websites.

Focus on Your Primary Money Maker

The first thing any business owner should do is focus on the product that yields them the high potential for profit.  Odd are, if you’re a plumber, you want a website designed to get you more plumbing business.  The same holds true for other businesses like electricians, painters, and many others.  Unfortunately, because  small businesses want to ensure they get as many money making opportunities as possible, many entrepreneurs break this rule.

Instead of focusing a primary business service or trade, many startups and small business owners will list every possible  thing they know they can do on their website.  Most do this in hopes of someone stumbling across their site and saying, “Hey!  This guy does roofing, electrical, and carpentry! Maybe I can get them to do all my work!”

From a small business perspective, this is understandable.  From a commercial insurance underwriter’s perspective, these means more exposure to losses.  In cases like this, adding every possible exposure to your website will actually increase your business insurance premiums.  Think of it this way.  Which of the following risks should get the lower rates:  The plumber that does plumbing only; or  the plumber that does plumbing, electrical work, and A/C work.

If you said the plumber who only lists plumbing should get the lower rates, then you’re correct.  In business insurance, the underwriting department is limited to the amount of information he can get.  Therefore, commercial underwriters now ask for a company’s website to determine if there’s anything (ELSE) they should worry about covering.  In the case of the plumber, more is not necessarily better.

Remember Social Media

On top of looking at a company’s website, business insurance underwriters will also look for a company’s social media accounts and profile on places like Google+, LinkedIn, and Facebook.  Today, additional information gained from these new sources play a large role in commercial underwriting for business insurance policies of all sizes.  As a result, not only should you pay close attention to your website or blog’s content, you should also pay attention to your social media accounts as well.  Your online resume could ultimately cost you money if you make a mistake.

So remember, if you’re in the market to build a new website for your business, be sure to consult with a business insurance agent that understands what commercial underwriting departments look for.  Remember , your insurance agent can be an advocate for helping your business focus profitable and ahead of your competition.

Finding Affordable Health Insurance In Dallas Tx can be quite a challenge in today’s market regardless if you are an individual or a company.  If you are like most people, you probably have experienced an increase in the past year of at least 20 -30%.  Over time consistent increases to the cost of your health insurance premium can make coverage no longer affordable, which puts you and your family at risk in the event you require coverage and are no longer able to afford it.  More and more people are entering this category because of rising costs.  The question is what is it that you can do about finding affordable health insurance here in Texas.

There are two main options that you have available in selecting affordable health care.  The first choice which is what most people do first is to reduce the benefits selected with your Major Medical Insurance plan.  Most people will elect to eliminate features that they are not using in their plan, or increasing the deductible to where it is in the thousands of dollars.  Ask yourself this, if your deductible for your health insurance plan was $10,000 could you afford to pay that amount, and this does not include any co-insurance amounts yet.  The sad reality is that more people than ever are choosing this route and putting their families at financial risk because of taking on these costs.  While this is effective in helping to reduce premiums, you can only raise the deductible so high, and you can only eliminate so many benefits from the plan before it defeats the purpose of having it.  There is another solution to this problem depending on your situation.

The other option you have available for Affordable Health Insurance in Dallas Tx is what is known as a limited benefit indemnity plan.  The name of the plan does not do it justice as limited benefits refers to the plan pays out a set amount of dollars for a procedure.  Here is the hidden news about Major Medical plans, they have the same limitations.  Health insurance carriers all have schedules they use to determine how much they will pay for a given procedure, the difference here is that you know what these amounts are up front.   Ask yourself this question, if you were having trouble with your car, would you go to a mechanic to work on it without knowing how much it was going to cost for them to work on it?  Probably not, but the majority of Americans do this every day when it comes to Health Care.  You would shop around to find the best mechanic at the best rate to take care of your vehicle to get it back in working order.  A limited benefit plan lets you know how much it will pay for a procedure which then allows you to become a better consumer through shopping around for who will give you the best rate.  A benefit with these plans is that there is no deductible.  When set up properly these plans may limit or eliminate out of pocket expenses with certain procedures, which for many families can help reduce financial turmoil when it comes to covering health care expenses.

If you would like to know if a Limited benefit indemnity plan is the right fit for you, contact Byron Ingraham with TxInsurancePro.com

Did you know that there were over 80 traffic fatalities in the city of Dallas alone, this is not including any of the neighboring cities.  If you look at the statistics of underinsured households in America, it’s a good probability that 50% of those who lost their life in the accidents either did not have any life insurance or were underinsured.

Far too often we assume that the accidents will happen to someone else, and not us.  I’m almost certain that the individuals who were in those accidents did not wake up the morning they lost their life thinking it was going to be their last day on earth.  The important fact about life insurance is that its there when we need it because when life is lost, usually its unexpected. 

Many people will have some level of life insurance through work, but lets face it how many people have changed jobs recently?  Many employers provide a base level of coverage that does not go far enough to protect a family.  Ask yourself how much money do you spend in a year, how much is the mortgage, how much is the school for children’s education?  If you start adding these numbers up you will soon realize that you have to have your own coverage to protect your family.

Protecting your family from financial disaster in the event someone loses their life is a very straight forward process.  We take the time to find out your specific financial needs and come up with the appropriate combination of coverage to protect you and your family so in the event that there is a loss of life, your family will be taken care of financially.   There is no better time than the present to start the year off right by protecting your family from financial injury with having a lack of life insurance, lets get started today in changing that!

The leading cause of Christmas tree fires and property damage was short circuit or ground fault (21%). In this category, electrical failure other than short circuit ranked second in number of fires, injuries and property damage with the exception of the “other known” category.

According to the National Fire Protection Association (NFPA), cords and plugs were the leading type of equipment involved in the ignition of Christmas trees.

Safety points to remember:

• Any string of lights with worn, frayed or broken cords or loose bulb connections should not be used.
• Always unplug Christmas tree lights before leaving home or going to sleep.
• Never use lit candles to decorate a tree, and place them well away from tree branches.
• Try to keep live trees as moist as possible by giving them plenty of water daily. Do not purchase a tree that is dry or dropping needles.
• Choose a sturdy tree stand designed not to tip over.
• When purchasing an artificial tree, be sure it is labeled as fire-retardant.
• Make sure the tree is at least three feet (one meter) away from any heat source and try to position it near an outlet so that cords are not running long distances.
• Do not place the tree where it may block exits.
• Safely dispose of the tree when it begins dropping needles. Dried-out trees are highly flammable and should not be left in a house or garage, or placed against the house.

Holiday Fire Safety

The winter holidays are a time for celebration, and that means more cooking, home decorating, entertaining, and an increased risk of fire due to heating equipment.

• Unattended cooking is the leading cause of home fires in the U.S. When cooking for holiday visitors, remember to keep an eye on the range.
• Provide plenty of large, deep ashtrays for guests who smoke and check them frequently. Cigarette butts can smolder in the trash and cause a fire, so completely douse cigarette butts with water before discarding.
• After a party, always check on, between and under upholstery and cushions and inside trashcans for cigarette butts that may be smoldering.
• Keep matches and lighters up high, out of sight and reach of children (preferably in a locked cabinet). When smokers visit your home, ask that they keep smoking materials with them.

 
Candle Fire Safety
December is the peak month for candle fires, with nearly twice the average number of incidents.
44% of reported candle fires in the home started in the bedroom.
Safety points to remember:

• Extinguish all candles when leaving the room or going to sleep.
• Keep candles away from items that can catch fire.
• Use candleholders that are sturdy, won’t tip over easily, are made from a material that can’t burn and are large enough to collect dripping wax.
• Don’t place lit candles in windows, where blinds and curtains can close over them.
• Place candleholders on a sturdy, uncluttered surface and do not use candles in places where they could be knocked over by children or pets.
• Keep candles and all open flames away from flammable liquids.
• Keep candlewicks trimmed to one-quarter inch and extinguish taper and pillar candles when they get to within two inches of the holder or decorative material. Votives and containers should be extinguished before the last half-inch of wax starts to melt.
• Avoid candles with combustible items embedded in them.

Via: http://www.dallasfirerescue.com/holidaysafety.htm

According to the insurance journal, Allstate insurance has asked Texas regulators to raise their homeowner insurance rates by as much as 10 percent for many of it’s customer base.

Allstate spokesman Joe McCormick told the Dallas Morning News that the industry is concerned about the potential for more wildfires, especially as the drought continues.

The rate filing with the Texas Department of Insurance seeks a 5.7 percent average statewide increase for customers of AllState Texas Lloyds, which is affects primarily renewal clients (or existing clients on older policies.  Policyholders with the new insurance product, Allstate Fire and Casualty, could face rate increases of 9.8 percent or more.

The Allstate subsidiaries cover about 585,000 Texas homeowners.

The higher rates, subject to regulatory review over the next 30 days, would take effect Jan. 26 for current customers. New customers will pay more beginning this week.

The consumer group Texas Watch has objected to higher rates.

via Allstate Rates for Texas Homeowners Could Go Up.

A new white paper from the I.I.I. observes that like any other new technology, social media brings enormous opportunities and benefits.

Yet as businesses and individuals navigate this shifting online risk landscape, they face a range of evolving social media related liabilities including privacy, security, intellectual property and employment practices liability.

The proliferation of social media use comes amid growing concerns over cyber security. Businesses that store confidential customer and client information online are exposed to increasing liabilities and costs as a result of cyber attacks and data breaches.

A massive data breach at Sony Corp’s online game networks in April 2011 resulted in the theft of more than 100 million online accounts, for example. Just months later in October 2011 Sony’s Playstation Network and other online entertainment services were hit in a second attack that compromised 93,000 user accounts.

Coming in the wake of the 2010 Wikileaks breaches of classified data, these high profile data breach incidents have served to increase both public and government scrutiny of cyber security practices.

The Securities and Exchange Commission (SEC) recently issued guidance urging publicly traded companies to disclose significant instances of cyber risks and events. Description of relevant insurance coverage was included in the SEC’s list of appropriate disclosures.

While traditional insurance policies typically have not handled these emerging risks, in recent years limited coverage under traditional policies has become available.

But as reliance on traditional policies is not enough, specialist social media and cyber insurance policies have been developed by insurers to help businesses and individuals protect themselves from an ever-evolving range of risks.

To learn more about this emerging risk area, check out the I.I.I. white paper “Social Media, Liability and Insurance.”

via:  Claire Wilkinson

Social Media Brings Growing Opportunities and Liability » Insurance Industry Blog.

Dr. Robert Hartwig, CPCU | December 15, 2011

In their new report, “Repeat Offenders: How the Insurance Industry Manufactures Crises and Harms America,” co-authors Robert Hunter and Joanne Doroshow claim that that the property/casualty insurance industry “manufactures” crises in order to justify raising rates and that the industry is “anti-competitive” and in need of more regulation. Even to people unfamiliar with insurance markets, the authors and Americans for Insurance Reform (AIR), which issued the report, could not possibly come across as oblivious to the risks associated with devastating natural disasters and global economic volatility.

Insured losses from catastrophes around the globe totaled an estimated $108 billion in 2011, the second highest year in history. More than $30 billion of those losses occurred in the United States, likely the fifth or sixth most expensive year on record. Since 2004, storms like Katrina, Rita, Wilma and Ike, combined with other events have resulted in nearly $200 billion in catastrophe claims paid to millions of home, business and vehicle owners.

Over the same period of time, insurance premiums charged to businesses, actually fell by 40 percent between 2004 and mid-2011. Indeed, the cost of business insurance fell for 30 consecutive quarters before edging up by just 1 to 2 percent in the second half of 2011. In short, while near-record catastrophe losses are a challenge, they have by no means precipitated a “crisis” as AIR alleges. Insurance and reinsurance markets remain competitive, capacity is available and coverage remains affordable.

Strangely, the AIR and its authors, argue in the report that the industry’s strong capital position is evidence of excessive profits. AIR’s claim is both dangerous and factually incorrect. Buyers of insurance are the primary beneficiaries of a financially strong, stable and secure insurance industry. Millions of victims of catastrophes would no doubt agree. The fact that insurers and reinsurers entered 2011 with record capital on hand to pay claims is unambiguously a good thing for all policyholders. Moreover, over the past four years, while the Great Recession and its aftermath forced hundreds of thousands of businesses to fail, including hundreds of banks—not a single traditional property/casualty insurer failed as a result of the financial crisis and not a single valid claim went unpaid.

AIR’s implied argument that insurers should carry less capital in this era of mega-disasters and unprecedented financial market volatility is irresponsible. In addition, the suggestion that the build-up in capital is the result of excessive profits is unsupported by the facts. Indeed, the average return equity for the property/casualty insurance industry from 2000 through 2011 is 6.7 percent, barely half the 13.1 percent for the Fortune 500 group over the same period.

The bottom line is the property/casualty insurance industry is a financially strong, highly competitive, resilient and essential industry in the United States and around the world. Buyers have the ability to choose from a wide range of products offered by a multitude of competing carriers while having the confidence that their insurer will be there for them in their time of greatest need.

via III – I.I.I. Response to Americans for Insurance Reform Report.

One way to help lower personal and business cyber risk is to avoid using easy-to-crack passwords. SplashData, a password management application maker, recently compiled a list of the 25 worst passwords for the year 2011.

The research results were based on millions of actually stolen passwords that were made available online.

Having tough-to-guess passwords may not necessarily deter sophisticated, determined hackers. But they do make it much more difficult for amateur cyber thieves to breach online accounts. Here is the list of this year’s worst online passwords.

1. password

2. 123456

3. 12345678

4. qwerty

5. abc123

6. monkey

7. 1234567

8. letmein

9. trustno1

10. dragon

11. baseball

12. 111111

13. iloveyou

14. master

15. sunshine

16. ashley

17. bailey

18. passw0rd

19. shadow

20. 123123

21. 654321

22. superman

23. qazwsx

24. michael

25. football

Want to Reduce Cyber Risk? Avoid These 25 Worst Passwords of 2011.