So they don't bump into each other
By Matt Carter, Friday, June 22, 2007.Bookmarking Sites
Gary Cohen -- who as the top lawyer with the California Department of Insurance was an architect of a proposal to cap title insurance rates and escrow fees in the state -- is leaving next month to take a job in the insurance industry. Appointed as the Department of Insurance's general counsel in 2003 by Democrat John Garamendi, Cohen was retained by Garamendi's succesor, Silicon Valley entrepreneur Steve Poizner.
Like "Governator" Arnold Schwarzenegger, Poizner is a Republican who's been able to woo Democrats and independent voters. After trouncing his Democratic opponent in November (California elects its Insurance Commissioner), Poizner made a point of naming Democrats and Republicans to his executive team.
At the time, Poizner said the "balanced team" reflected his philosophy "that consumer protection is neither a Democratic nor Republican issue." The new Insurance Commissioner had already taken some fire, however, for naming former insurance industry lobbyist William Gausewitz as his special counsel.
Apparently, the revolving door between government and the corporate world is also bipartisan, with Cohen leaving July 13 to take a position as deputy general council of Allianz of America and chief counsel of Fireman's Fund Insurance Company.
Poizner has pushed implementation of Garamendi's proposed title insurance rate cap -- which at one time was envisioned as taking place as early as March of this year -- back to 2011 (see Inman News story).
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Submitted by Anonymous on June 22, 2007 - 9:18pm.
Technically, I think the "revolving door" refers to the situation where people go from industry to government and then back to industry. Since I had no connection with the insurance industry before coming to work at thr Department in 2003, I don't think the term applies to me.
In any event, it is important to note that state law requires that I observe a one year ban against appearing before the Department, and a lifetime ban against being working on behalf of my new employer on any matters that I worked on while at the Department. I can assure your readers that I would never do anything to prejudice the Department or the people of the state-whom it has been my privilege to serve for the past six years--as a result of my taking on my new position.
Submitted by Anonymous on June 25, 2007 - 8:52am.
Congratulations on your new position, and thanks for clarifying for our readers the restrictions California places on the activities of former state employees.
Submitted by Anonymous on June 25, 2007 - 2:14pm.
I wish Mr. Gary M. Cohen had added in his comments what motivated him to leave behind the people of the state just to work for a group of insurance companies he used to help regulate in behalf of the state and for the best interests of the consumers.