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Tips On Travel Insurance, Airlines And More

Tips On Travel Insurance, Airlines And More

Experts have been saying that this Thanksgiving is going to kick off one of the busiest holiday travel periods in recent history—and the crowds are already proving it. The Transportation Security Administration reported that more than 2.2 million travelers passed through airports in the United States on Friday—a record. It was the most people the TSA has screened in a single day since the start of the pandemic. Travel sites are also seeing the same kind of traffic: Tripit is experiencing nearly triple the volume of last year, with flight bookings up 298{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}, hotels up 258{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}, vacation rentals up 175{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} and car rentals up 390{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}.

From travel insurance to advice on the airlines to the best travel deals, here’s what you need to know, whether you’re traveling over the coming week or anytime during the holiday travel season:

Arrive at the airport early. A third of all Thanksgiving travelers will be taking to the skies on Tuesday and Wednesday, so expect lines at airports. “Arriving at the airport two hours early is usually the gold standard, but this year I would recommend two and a half hours if possible,” says Jen Moyse, senior director of Product at TripIt. According to Tripit, some of the busiest airports will be San Francisco International Airport (SFO), Los Angeles International Airport (LAX), Denver International Airport (DEN), Seattle-Tacoma International Airport (SEA) and Chicago O’Hare International Airport (ORD).

Related: Best Pandemic Travel Insurance Plans

Be aware of COVID-19 protocols. It is the law that people must wear a mask in airports and on planes or any other type of public transportation in the U.S.—but that’s not the only place you’ll need it. “Be sure to keep a mask on hand when visiting hotel common spaces like the front lobby or dining area, and bring your vaccine card or negative COVID test results with you when out and about (tucked away safely) in case somewhere you hope to visit requires one,” says Moyse.

Pack light. If possible, carry your bags on the plane, since checking luggage can add time (and expense). Another advantage: You won’t have to wait for luggage when you land, so your vacation can start right away.

Think about travel insurance. Is it too late to get travel insurance to cover delays or trip interruptions? “The simple answer is you can technically get travel insurance the day before (even the day of) your trip, however, your coverage options will be very limited,” says Meghan Kayata, a spokesperson for InsureMyTrip. “You can put in your trip info on InsureMyTrip.com and see what options there are available. Our customer care call center is also available for those who would like to be walked through the options.” A note: For future trips, it’s a good idea to get a travel insurance policy as soon as you put any kind of money down to get the most options, like Cancel for Any Reason insurance. 

Covid insurance: Speaking of travel insurance, if you’re traveling internationally, you’ll need to get a Covid test to return to the United States. It’s a good idea to get Covid insurance, even if the destination doesn’t require it. You’d hate to get stuck somewhere and have to pay a ton of money out of pocket for hotels and more.

Confirm your rental car. There’s been a massive rental car shortage that has already impacted many plans this year—and it’s only going to get worse. “With reservations up 390{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} from 2020, it’s worth calling ahead and triple confirming your reservation,” says Moyse. Another tip: Check with your provider to learn the quickest and easiest way to get your car when you arrive. “And don’t forget to keep them in the loop if your flight plans change,” says Moyse.

Plan your drive wisely: Expect traffic delays. According to transportation analytics company INRIX, road travel will be about 40{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} higher than normal over the holiday. Drivers should plan for traffic if they’re leaving on Wednesday—which will be the busiest day of the Thanksgiving travel season. Leave after 9 p.m., if you can. Or a better bet: drive on Thanksgiving Day before 11 a.m. If you’re returning on Saturday or Sunday, leave before noon.

Get Your Car Ready: According to the U.S. Department of Transportation, 24{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} of all accidents are weather-related, so as you head into the holiday travel season, it’s a good idea to make sure your car is weather-proofed. Check your windshield wipers to ensure optimum visibility in the event of inclement conditions and consider getting a portable jump starter like the Michelin High-Capacity Jump Starter and Power Bank.

Book your next trip now. If you’re a procrastinator, there’s good news and bad news. The good news? “We’re currently seeing more last-minute deals on cheap flights than ever before,” says Willis Orlando of Scott’s Cheap Flights. “The bad news? This golden opportunity for last-minute deals probably won’t last much longer.” So where to go? “Demand to hot leisure destinations like Miami and Las Vegas is back with a vengeance, whereas business-heavy destinations like San Francisco have been slower to bounce back,” says Orlando. If you’re traveling abroad or to one of these business-heavy domestic destinations, Orlando predicts that you can expect to see a couple more months of last-minute deals, as demand creeps back to normal.

READ MORE:

• The Most Stressed Out State In America Will Surprise You

• The Top 19 Cheap Hotels: Five-Star Luxury Under $50 A Night

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Bank of Canada Renews 2{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} Inflation Target, Adds Jobs to Mandate

Bank of Canada Renews 2{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} Inflation Target, Adds Jobs to Mandate

(Bloomberg) — The Bank of Canada will maintain its 2{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} inflation target for the next five years, but has formally been given license to moderately overshoot it to “support maximum sustainable employment.”

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In a mandate renewal released jointly with the Canadian government on Monday, the government directed the central bank to use monetary policy to boost employment levels as long as those efforts don’t jeopardize the broader objective of stable prices.

The move effectively gives Governor Tiff Macklem more latitude to keep interest rates lower than what they would have been had the focus remained squarely on the inflation number — though the central bank and government argued the new mandate only formalizes what was already an implicit part of recent Bank of Canada policy. At a press conference in Ottawa, both Macklem and Finance Minister Chrystia Freeland said there was no real change in the framework that will guide rate decisions.

“This agreement provides continuity and clarity, and it strengthens our framework to manage the realities of the world we live in,” Macklem said in an opening statement before taking questions from reporters.

The Canadian dollar extended declines after the statement, trading down 0.7{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} from yesterday at C$1.2807 per U.S. dollar at 4:38 p.m. in Toronto. Yields on Canadian government two-year bonds fell 5 basis points to 0.919{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}.

Since the 1990s, the bank has been narrowly focused on a single objective: to keep prices stable. The goal has been to keep inflation within a range of 1{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} to 3{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} as much as possible. Operationally, that’s meant aiming for a 2{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} target over the Bank of Canada’s forecast horizon, a period of about two years.

The big change this time was to put more of an emphasize on the target range. The government added a new requirement whereby officials can use the 1{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} to 3{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} control range to “continue” supporting employment levels if warranted, but “only to an extent that is consistent with keeping medium-term inflation expectations well anchored to 2{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}.”

Some economists saw no real changes in the new mandate, while others expressed concern about the government unecessarily introducing uncertainty into the Bank of Canada’s mandate. The central bank already had scope to delay the return of inflation to target, according to Bank of Nova Scotia economist Derek Holt.

“Overall, it would have been better to leave the wording unchanged in this sensitized, populist environment marked by concerns about governments seeking to more directly interfere in the operations of central banks,” Holt said in a note to investors. “Central bank watchers already knew that labor conditions matter, but having governments lead a process to codify this is a bit insensitive toward market concerns.”

‘Broad Set of Tools’

While the central bank had studied the benefits of a major overhaul of the mandate, any arguments in favor of a big change were weakened as inflation accelerated in recent months. Canadian inflation has been above the upper limit of the central bank’s control range for seven months, and is currently hovering at a two-decade high 4.7{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}.

The statement provided some details into how the new flexibility would work. The central bank would use the control range “when conditions warrant” with officials promising more transparency in how they plan to use it. According to the statement, the bank will explain when it is using the flexibility and will report on how labor market outcomes have factored into decisions.

There’s also a reference to the central bank using a “broad set of tools” to address challenges of structurally low interest rates, including maintaining low borrowing costs for longer.

The document is much more extensive than the last one in 2016, with references to climate change, the pandemic, and the need for more inclusivity in the economy. There was a recognition the Bank of Canada is “well-equipped to address some of these challenges, less so for others.”

Another addition to the statement was a reference that the Canadian government sharing responsibility for achieving the inflation target and maximum sustainable employment.

The statement also acknowledged a low interest rate environment can fuel financial imbalances, with the government pledging to working with federal agencies to deal with the risks if needed.

(Updates with Macklem comment in fourth paragraph, economist comment in 9th paragraph.)

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Building “a fine-tuned Swiss watch” of a specialty insurance business

Building “a fine-tuned Swiss watch” of a specialty insurance business

This is the latest milestone in Canopius USA’s quick evolution since Davis joined the firm as president and chief underwriting officer in September 2020. A 30-year insurance veteran and experienced leader in the US specialty insurance industry, Davis was hired with the remit of bringing Canopius’s existing US business units together, and building a specialty insurance company with a flexible and entrepreneurial spirit, backed by the strength and stability of multiple world-class insurance platforms.

Prior to Davis’s appointment, Canopius was operating in the US via two distinct platforms: Canopius US Insurance, Inc. (CUSI), an insurance company licensed in all 50 states that writes excess and surplus (E&S) lines binding authority business through select distribution partners; and Canopius Underwriting Agency, Inc. (CUAI), an MGA, underwriting solutions for open market property, ocean marine, management & professional lines, and cyber business.  

“There was not a lot of interaction between the organizations [CUSI and CUAI], and as we look to grow in the US, we identified a need to bring everything together,” said Davis. “That’s what I was hired to do. We’ve been working on that for the past year, and I feel like we’re in a really good spot in terms of connecting all the dots together.”

Read next: Canopius Group names new COO

Over the past few years, Canopius USA has achieved significant growth in gross written premium (GWP), jumping from approximately $100 million across CUSI and CUAI in 2019 to $200 million by the end of 2020, and the business is now on track to close 2021 with about $400 million in GWP.

“We’re in the process right now of putting together our full five-year plan for the US that will encompass additional growth, with a goal of getting us to somewhere around $1.5 billion or $2 billion GWP over the next five years. So, it’s ambitious,” Davis told Insurance Business. “[At present] we’re tiny in the US, but that really opens up a lot of opportunity because when you’re small, there’s a lot of things you obviously haven’t explored yet.

“We’re in the process of exploring: How do we grow the lines that we’re currently in? Are there adjacent lines we can add to that? Are there things we can do more on admitted paper that we haven’t really had the ability to do in the past? It’s a combination of all those three things that [will enable us] to make that real growth trajectory.”

As a first step under the agreement with SFMI, the ocean marine and management & professional lines teams of CUAI will write admitted business using SFMI’s paper. This complements Canopius USA’s existing ability to write non-admitted business through CUSI and Canopius Lloyd’s Syndicate 4444.

“My vision for Canopius USA as an organization is really to be able to write on Lloyd’s paper, other non-admitted paper, as well as SFMI paper,” said Davis. “I think it gives us a really distinct opportunity in the specialty market to really have multiple platforms, multiple distributions, and really concentrate on following and finding solutions for different niche areas.

“We’re not trying to be all things to all people. We’re really trying to set up something that’s a little bit more boutique and focused on specific risks. What we’re looking to do, and what we can do, is build really deep expertise in a few areas, and then use that as our base jumping off point [for] adjacent lines of business. We differentiate ourselves by being nimble, responding quickly [to the market], and developing products in partnerships.”

Read more: Canopius launches algorithmic underwriting MGA

The finalization of the admitted partnership with SFMI will fuel Canopius USA’s plans to expand its offerings in the specialty insurance market. Currently they include open market property, ocean marine, management and professional and cyber business distributed through a broad range of insurance market intermediaries including retail and wholesale agents and brokers. Canopius USA also supports additional lines including property, general liability, auto and surety through partnerships with specialized MGAs.

While Canopius USA is a relatively young firm in the grand scheme of things, Davis insists it is not a start-up. “We’re not starting from scratch like so many others in the class of 2020,” she said, referring to Canopius USA’s parent company Canopius Group, a global specialty (re)insurer with underwriting operations in Australia, Bermuda, China, Singapore, the UK and US, as well as its relationships with Lloyd’s and established partners like SFMI.

“We already have a strong base, and now we’re ramping up what we’ve been doing with more focus. I think that that gives us a little bit of an edge over some of the other folks out there that are trying to make every step all at once,” said Davis. “We’ve already made the baby steps, and now we’re looking to really accelerate and grow.”  

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Stocks End Higher, Closing Out Best Week Since February | Business News

Stocks End Higher, Closing Out Best Week Since February | Business News

By ALEX VEIGA, AP Business Writer

Technology companies led a rally on Wall Street that powered the S&P 500 to an all-time high and gave the index its best weekly gain since February.

The S&P 500 rose 1{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}, enough to recoup its losses from a day earlier. The benchmark index closed higher four of the last five days, finishing 3.8{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} higher for the week.

The Dow Jones Industrial Average rose 0.6{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} and the Nasdaq composite gained 0.7{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}, both recovering from declines in the early going. Smaller-company stocks lagged the broader market, leaving the Russell 2000 index 0.4{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} lower.

A late wave of buying solidified the gains for the market, which had wavered between small gains and losses in morning trading after the government reported another big rise in inflation last month.

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The Bureau of Labor Statistics said prices for U.S. consumers jumped 6.8{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} in November compared with a year earlier. Surging costs for food, energy, housing and other items have left Americans enduring their highest annual inflation rate since 1982. Core prices, which exclude food and energy, rose 4.9{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} year over year.

Still, markets were relieved to see that the report was in line with expectations.

“Many have felt the effects of inflation in their day-to-day, so this likely isn’t a huge shocker to the market,” said Mike Loewengart, managing director, investment strategy at E-Trade.

The S&P 500 rose 44.57 points to 4,712.02, a new high. It set its previous record high on Nov. 18.

The Dow gained 216.30 points to 35,970.99. The tech-heavy Nasdaq rose 113.23 points to 15,630.60. The Russell 2000 fell 8.40 points to 2,211.81. The indexes all posted weekly gains.

The latest inflation data comes ahead of the Federal Reserve’s two-day meeting of policymakers next week. Rising inflation has prompted the central bank to speed up the pace at which it trims its bond purchases, which have helped keep interest rates low.

Federal Reserve Chair Jay Powell has suggested the central bank could move more quickly to pare back, or taper, the amount of bonds it’s been purchasing each month to keep long-term interest rates low.

Analysts say the elevated inflation figures ramp up the pressure on the Fed to follow through on Powell’s comments. Many investors also expect the Fed to start raising interest rates from current ultra-low levels starting in the middle of next year.

“The inflation print from this morning will reinforce the Fed’s resolve to accelerate tapering. With the strength in the economic recovery, it is time to take the crutches away,” said Anu Gaggar, global investment strategist for Commonwealth Financial Network.

Apart from a decline Thursday, stocks have bounced back this week following two weeks of volatile trading that left the S&P 500 with back-to-back weekly losses. The index has now recovered most of the losses after the discovery of the omicron variant of COVID-19 was announced last month. It’s now up 25.5{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} for the year.

Investors’ worries over omicron eased this week amid encouraging signs that the variant may be less dangerous than delta. Pfizer said this week that its lab tests suggest the drugmaker’s COVID-19 boosters provide protection against the new strain.

More than 70{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} of the stocks in the S&P 500 rose, with technology companies doing most of the heavy lifting. Business software maker Oracle surged 15.6{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} for the biggest gain in the S&P 500 after reporting strong quarterly results. Microsoft and Apple each rose 2.8{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}.

Makers and sellers of household goods also helped lift the S&P 500. Costco climbed 6.6{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}, while Coca-Cola rose 2.6{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}.

Energy futures closed higher. The price of U.S. crude oil rose 1{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}. That helped give a modest boost to energy sector stocks in the S&P 500. Devon Energy rose 2.6{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}.

The yield on the 10-year Treasury note fell to 1.48{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} from 1.51{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} just before the inflation report came out. The yield on the two-year note dropped to 0.66{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}.

Copyright 2021 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

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Stock market news live updates: December 14, 2021

Stock market news live updates: December 14, 2021

Stock futures were up on Monday following declines during the earlier trading session for all three major U.S. indexes as investors set their sights on a prolific week in Washington that includes the Federal Reserve’s final policy-setting meeting of 2021 and the release of new prints on retail sales, housing starts and other economic data.

Contracts on the S&P 500 edged higher, turning positive after the blue-chip index retreated from a rally last week that helped the index post its sharpest gains since February. Research from Goldman Sachs showed the S&P 500 is powered by five stocks that have accounted for 51{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} of its return since the end of April. Microsoft, Google, Apple, Nvidia and Tesla account for more than one-third of the S&P 500’s 26{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} return this year, according to Goldman.

Futures for the Dow and Nasdaq were also up. 

Traders are awaiting a decision from the Fed on how quickly the central bank will tighten monetary policy amid a backdrop of fresh inflation numbers that reflected the fastest annual increase in nearly four decades. The Labor Department’s Consumer Price Index (CPI) soared 6.8{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} in November compared to last year, according to figures published last week.

The Federal Open Market Committee (FOMC) is scheduled to hold its two-day policy-setting meeting starting on Tuesday, followed by the release of the monetary policy statement and remarks from Federal Reserve Chair Jerome Powell Wednesday. An updated Summary of Economic Projections outlining individual members’ outlooks for economic conditions and interest rates is set to accompany the statement.

The Fed has been under pressure to control rising inflation levels, as investors watch for clues of a faster taper that could set the stage for earlier rate hikes.

“Because inflation expectations do appear to be adaptive, our view is that the longer inflation stays elevated, the greater the risk that consumers adjust their behaviors in a way that contributes to persistently elevated inflation” wrote PIMCO economist Tiffany Wilding in a recent note to clients.

“We believe the Fed will want to manage this risk by shortening the time over which it winds down its purchases of U.S. Treasuries and agency mortgage-backed securities (MBS), aiming to end the program in March 2022, while also signaling a June rate hike is likely,” said Wilding.

PIMCO managing director and portfolio manager Sonali Pier also separately told Yahoo Finance Live that the firm expects to see two hikes in 2022, three hikes in 2023, and potentially four in 2024, with the Fed trying to bring the policy rate to neutral.

“Amid proliferating signs of solid growth and a robust job market, various measures depict a deeply troubled economy,” wrote Oxford Economics senior economist Bob Schwartz in a new report. “Households are downbeat, according to sentiment surveys, and the so-called ‘misery index‘ that adds together inflation and unemployment hovers around recession levels.”

Markets await a trove of fresh economic data this week. November retail sales, out on Wednesday, are expected to rise by 0.8{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}, according to Bloomberg consensus estimates. And November housing starts are forecasted to see a month-over-month increase of 3.3{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}.

Meanwhile, Morgan Stanley projects the U.S. unemployment rate will drop to 3{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} in 2022.

“It’s stunning to see how much the rate has fallen in the last five months,” Morgan chief U.S. economist Michael Feroli told Yahoo Finance Live. “We expect that pace of decline to slow, but it doesn’t take much to get below 4{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}, even with a tick up in the labor participation rate which has been depressed over the last year and a half.”

6:00 p.m. Monday ET: Stock futures edge higher

Here were the main moves in markets in late trading on Monday:

  • S&P 500 futures (ES=F): +5.50 points (0.12{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}), to 4,674.25

  • Dow futures (YM=F): +46.00 points (0.13{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}), to 35,691

  • Nasdaq futures (NQ=F): +10.75 points (0.07{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}) to 16,092.75

—

Alexandra Semenova is a reporter for Yahoo Finance. Follow her on Twitter @alexandraandnyc

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Personal finance education belongs in PED standards

Personal finance education belongs in PED standards

As the New Mexico Public Education Department (NMPED) revamps the state’s K-12 social studies standards, it is imperative we ensure all students are provided with the skills necessary for navigating life after they graduate. One essential element should be personal finance education.

We commend the PED for its work to bring the state’s social studies standards into the 21st century. However, we believe the department’s proposal would be greatly strengthened by the inclusion of personal finance standards.

Our neighboring states, among them Arizona, Colorado, Texas and Utah, have adopted standards to ensure their students learn the financial skills required for personal and professional success. In fact, New Mexico is currently one of only five states that has not incorporated personal finance into our K-12 education standards.

Personal finance standards will make sure New Mexico’s students learn how to make a budget, open an account at a bank or credit union, save and invest for their futures, and avoid high-cost debt.

During the most recent legislative session, Dixon co-sponsored and Figueroa strongly supported a legislative effort led by Reps. Moe Maestas, D-Albuquerque, and Willie Madrid, D-Chaparral, to make personal finance a graduation requirement. The bill received strong bipartisan support, passing the House unanimously before running out of time in the Senate.

That effort, and adding personal finance to the education standards, builds on Maestas’ successful 2007 reform that required financial literacy to be offered as an elective in New Mexico’s high schools. Unfortunately, only about 11{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} of students currently complete that course.

Adopting strong personal finance standards lays the foundation for guaranteeing that all students of all backgrounds are receiving equitable instruction, and are provided the skills necessary for financial planning and decision-making when they enter the workforce or post-secondary institutions.

In October 2018, researchers at the University of New Mexico released a report showing that two of every three private-sector workers in New Mexico have no money saved for retirement. Nearly 80{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} have less than $10,000 saved. This continues to weigh heavily on the wallets of many New Mexicans. Should there be another pandemic, or major recession, our state will be better off if we have prioritized teaching our state’s students about savings, investing, costs of borrowing and how credit works.

Addressing personal finance will make the school curriculum more relevant and ensure that students who do not learn how to manage their personal finances at home are not left behind. This material also helps us fight cycles of generational poverty, which has plagued our state for decades. The skills developed by students will be shared with their family members, who could also gain from this information.

Personal finance education also supports the findings from the Martinez/Yazzie lawsuit by providing students – especially low-income, Native American, English language learner, and those with disabilities – the skills and knowledge necessary to be college- and career-ready. The ruling found the state failed to meet this obligation and we must ensure we do our part in providing students a sufficient education.

We hope PED will adopt robust personal finance standards within the current revision to the social studies standards. We owe it to NM’s future generations.