Good news out on NAMC, big cash investment and marketing deal.
PR NEWSWIRE) NAM Corporation, Parent Company of clickNsettle.com, Announces
NAM Corporation, Parent Company of clickNsettle.com, Announces That Insurance
Services Office, Inc. Acquires 16% Stake in NAM
Frank J. Coyne, President and Chief Operating Officer of ISO,
To Be Nominated to NAM Corp. Board of Directors
ISO to Market clickNsettle.com to Its Over 2,900
Insurance Services Clients Worldwide
GREAT NECK, N.Y., May 11 /PRNewswire/ -- NAM Corporation (Nasdaq: NAMC), a
leading global provider of web-enabled and in-person dispute resolution
services, announced today that Insurance Services Office, Inc. (ISO) has
acquired 16% of the Company for $4 million. As part of the transaction, ISO
will be issued 642,570 shares of common stock at a price of $6.225 per share.
In addition, Frank J. Coyne, President and Chief Operating Officer of ISO,
will be nominated to NAM's Board of Directors.
NAM's President and Chief Executive Officer Roy Israel said, "As a leading
provider of information, consulting and technical services to the insurance
industry, ISO serves over 2,900 insurers and reinsurers, as well as agents,
brokers, risk managers, insurance regulators and other government agencies
worldwide. ISO has a unique and unmatched perspective on trends in the
insurance industry, and we are very pleased to have ISO as an investor in our
company."
"Besides investing in NAM Corp., ISO will market our online dispute
resolution service, clickNsettle.com, which provides multiple benefits to
insurance providers, in conjunction with ISO's comprehensive range of
insurance industry services," said Mr. Israel. "In addition, as a former
Executive Vice President of Kemper Insurance Cos and President of General
Accident Insurance Co. of America, Frank Coyne brings a wealth of industry
experience and contacts to our Board."
Said Mr. Coyne, "ISO seized the opportunity to make this investment in NAM
after extensively reviewing the benefits of clickNsettle.com's web-enabled
dispute resolution service, NAM's arbitration and mediation services, and the
company's extensive countrywide roster of hearing officers. NAM's established
reputation as a national provider of arbitration and mediation services, and
ISO's time-tested expertise in all facets of liability insurance, make this an
ideal business combination."
"More important, this alliance provides ISO with a unique opportunity to
leverage its role as the property/casualty industry's premier information
source to help insurers put a lid on large and growing indemnity and legal
costs," said Mr. Coyne.
"The rise in legal defense costs, which now account for 15 percent of
insured losses, is a serious concern to liability insurers, who must
anticipate those costs in the premiums they charge. Those growing costs are
also a concern to policyholders who must pay higher premiums to protect their
assets."
"We know from careful examination of closed insurance claims over time
that the costs of legal defense and indemnity increase the longer it takes to
close a claim. By substantially shortening the time it takes to settle
claims, clickNsettle.com significantly reduces legal costs, and insurers can
reflect those savings in their premiums," said Mr. Coyne.
About NAM Corporation
Headquartered in Great-Neck, New York, NAM Corporation is a full-service,
international dispute resolution services provider. In addition to its
in-person arbitration and mediation services, the company's operates
www.clickNsettle.com , a dispute resolution Web site which features a unique,
unlimited-bid, real-time negotiating format that allows two parties to settle
any dispute which can be resolved with a monetary payment. Through the use of
blind bid technology, the system eliminates the "posturing" associated with
traditional litigation and allows disputing parties to negotiate without the
fear of "benchmarking" their position. The Web site features extensive user
management and reporting options including settlement data by injury type and
venue.
The Company believes its global roster of qualified hearing officers,
video conferencing capabilities, knowledge of dispute resolution, reputation
within the corporate and legal communities and Internet based dispute
resolution programs uniquely position it to provide a comprehensive
web-enabled solution to disputing parties worldwide.
About ISO
ISO is a leading source of information about property and liability risk.
ISO provides statistical, actuarial, underwriting and claims information and
analyses; consulting and technical services; policy language; and information
about specific locations for a broad spectrum of commercial and personal lines
of insurance. In the United States and around the world, ISO serves more than
2,900 insurers and reinsurers as well as agents, brokers, self-insureds, risk
managers, insurance regulators and other government agencies. ISO's Internet
site can be reached at www.iso.com .
The statements contained in the release contain forward-looking statements
relating to such matters as anticipated financial performance, business
prospects, and similar matters. The Private Securities Litigation Reform Act
of 1995 provides a safe harbor for forward-looking statements. In order to
comply with the terms of the safe harbor, the Company notes that a variety of
factors could cause the Company's actual results to differ materially from the
anticipated results or other expenditures expressed in the Company's forward
looking statements. These factors include changes in the insurance and legal
industries; the Company's inability to retain current or new hearing officers;
changes in the public court system; and the degree and timing of the market's
acceptance of its clickNsettle.com web site and in-person and
video-conferenced arbitration and mediation programs.
SOURCE NAM Corporation
-0- 05/11/2000
/CONTACT: Roy Israel of NAM Corp., 516-829-4343; or David Bronte,
Investor Relations, of Venture Catalyst, Inc., 310-399-4059, for NAM; or
Christopher Guidette of Insurance Services Office (ISO), 212-898-6609,
cguidette@iso.com/
/Web site: venture-catalyst.com
/Web site: iso.com
/Web site: clicknsettle.com
(NAMC)
CO: NAM Corporation; Insurance Services Office, Inc.
ST: New York
IN: MLM FIN INS
SU: TNM
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