{"id":15251741,"date":"2026-08-12T13:00:00","date_gmt":"2026-08-12T17:00:00","guid":{"rendered":"https:\/\/www.inthacity.com\/news\/insurance-industry-makes-millions-from-delays\/"},"modified":"2026-08-12T13:33:34","modified_gmt":"2026-08-12T17:33:34","slug":"insurance-industry-makes-millions-from-delays","status":"publish","type":"post","link":"https:\/\/www.inthacity.com\/news\/insurance-industry-makes-millions-from-delays\/","title":{"rendered":"Insurance industry makes millions from delays"},"content":{"rendered":"

Good morning, Chicago. \u2736<\/h3>\n

\ud83d\udd0e Below<\/b>: How much money are insurance companies making by delaying paying out claims? A recent analysis shows it’s in the millions. <\/p>\n

\ud83d\uddde\ufe0f Plus<\/b>: Another round of tornadoes hit the Chicago area, the White Sox’ Pope Leo night and more news you need to know.<\/p>\n

\ud83d\udcdd Keeping score<\/b>: The Cubs beat the Nationals<\/a>, 8-6; the White Sox fell to the Reds<\/a>, 5-4.<\/p>\n

\ud83d\udce7 Subscribe<\/b>: Get our morning newsletter delivered to your inbox weekday mornings.<\/i><\/a><\/p>\n

\u23f1\ufe0f: A 7-minute read<\/i><\/p>\n

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TODAY\u2019S WEATHER \ud83c\udf27\ufe0f<\/h4>\n

Afternoon storms with a high near 83.<\/p>\n

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CHICAGO JIGSAW PUZZLE<\/a> \ud83e\udde9<\/h4>\n
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Piece together history to reveal more about today\u2019s photo from the Sun-Times archives.<\/p>\n

PLAY NOW<\/b><\/a><\/p>\n

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TODAY\u2019S TOP STORY \ud83d\udd0e<\/h4>\n
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\"Stacie<\/p>\n

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Stacie Barger has been waiting more than a year to have her auto insurance claim paid after a collision.<\/p>\n<\/figcaption><\/span><\/p>\n

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Mark Black\/For the Sun-Times<\/p>\n<\/div>\n<\/div>\n<\/figure><\/div>\n<\/p><\/div>\n<\/p>\n

Insurance industry makes millions each day claims go unpaid, analysis shows<\/a><\/h3>\n<\/p>\n
Reporting by Stephanie Zimmermann<\/a><\/h5>\n

Delay and profit<\/b>: A new analysis shows that delaying home insurance claims for just a day or a week can add millions of dollars in profit collectively for the insurance industry.<\/p>\n

The analysis<\/b>: For each day of delays on home insurance claims, the industry takes in an extra $8.8 million in interest and investment income, according to an analysis by the independent financial institution rating firm Weiss Ratings for the nonprofit Consumer Federation of America, which looked at the money that home insurers take in as premiums as well as their investment income. <\/p>\n

All insurance<\/b>: Across all lines of property and casualty insurance \u2014 including home, auto, business and other coverage \u2014 the industry gains a combined $52.3 million in investment income for each additional day claims are delayed, the analysis found.<\/p>\n

READ MORE<\/b><\/a><\/p>\n

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CHICAGO STORMS \ud83c\udf2a\ufe0f<\/h4>\n
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\"Maria<\/p>\n

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Maria Todd stands in her driveway looking at a tree that fell on her house in Flossmoor on Tuesday.<\/p>\n<\/figcaption><\/span><\/p>\n

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Allen Cunningham\/For the Sun-Times<\/p>\n<\/div>\n<\/div>\n<\/figure><\/div>\n<\/p><\/div>\n<\/p>\n

3 tornadoes packing winds of 86 to 110 mph hit Chicago area<\/a><\/h3>\n<\/p>\n
Reporting by Elijah James<\/a> and Violet Miller<\/a><\/h5>\n

Damaging storm<\/b>: Three tornadoes hit the Chicago area on Tuesday in a fast-moving storm with extreme winds that left a path of destruction in the south suburbs and cut power to hundreds of thousands.<\/p>\n

Areas impacted<\/b>: The National Weather Service said surveyors confirmed the tornadoes with gusts of 86 to 110 mph: One in southern Cook County, another in eastern Will County, and the third in the Mokena area, also in Will County. Survey teams would continue working to confirm possible tornadoes near Homer Glen, Tinley Park, Crete and Manhattan. <\/p>\n

In Chicago<\/b>: The storms also damaged parts of Chicago, where downed trees were reported across the city. About 357,000 ComEd customers lost power as the storms initially passed, according to the company. <\/p>\n

READ MORE<\/b><\/a><\/p>\n

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EDUCATION \ud83c\udf4e<\/h4>\n
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Aspira Inc. of Illinois is trying to sell its former school building on Milwaukee Avenue in Avondale.<\/p>\n<\/figcaption><\/span><\/p>\n

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Anthony Vazquez\/Sun-Times file<\/p>\n<\/div>\n<\/div>\n<\/figure><\/div>\n<\/p><\/div>\n<\/p>\n

Bankrupt charter wants to pocket cash from selling taxpayer-funded school building<\/a><\/h3>\n<\/p>\n
Reporting by Sarah Karp<\/a> and Dan Mihalopoulos<\/a><\/h5>\n
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For sale<\/b>: More than a decade ago, Aspira Inc. of Illinois got $27 million from the state to build a modern school in Avondale. Now the nonprofit has declared bankruptcy and wants to sell the building for $11 million to a real-estate investment company \u2014 and pocket some of the proceeds for its own operations.<\/p>\n

Key context<\/b>: Aspira filed for bankruptcy after it was forced to close two schools in March, leaving more than 500 students to transfer midyear. In bankruptcy court filings, the nonprofit cited the loss of funding from Chicago Public Schools and “significant and continuing financial distress.”<\/p>\n

Questions raised<\/b>: It’s unclear whether CPS or the state will be able to recoup anything from the sale after sending millions to Aspira. WBEZ has also been seeking information to get a better picture of what led to Aspira’s financial troubles.<\/p>\n

READ MORE<\/b><\/a><\/p>\n

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PUBLIC SAFETY \ud83d\udea8<\/h4>\n