a strength as seen in the uk. no? >> it's certainly a factor which can boost economic growth. >> so other things being equal it should promote a higher sort of rating? >> the -- >> methodology that was necessary -- >> the methodology takes in a wide host, range of factors. >> other things being equal, from what you've said, domestic institutions and the ability to -- currency that is of value? that is a value? you say that's a consequence of your view for sovereign rating? >> the ability -- the existence of strong institutions which are able to support government policy is certainly a positive factor. >> i can't get you to say it but it is a consequence of -- words you used. do you think that the -- why is it, do you think, given some of the warm words we have had recently from the imf that people feel so differently about the value for sovereign ratings? what's the explanation for that? >> not sure i understand the question. >> we've had some imf testimony suggesting that there has been a ratings to perform well d

>> well, assessment on the uk banking -- >> uk banking system. you've scored it. haven't you? >> well, a banking team has made the scoring on the uk banking system. that's their primary responsibility and lead. we do -- >> just so we're talking about the same thing. break it down. institutional framework, inlt mated compensation to diematics, a system worth funding. >> i understand that to be correct. >> i'm reading from fitch ratings, 21st of march 2012 where it says uk budget is neutral for aaa status. >> sorry. you're switching between a comment about the uk budget and -- >> no. can you stop talking. i asked questions. you answer the questions. is it the case you put out something called uk sbcht neutral for aaa status fitch ratings 21 march. you are or are you not fitch ratings? >> that's correct. >> thank you. do you know what i'm talking about? >> i don't have a copy of the document that you're referring to in front of me. >> right. and it actually -- at length, breaks down the fact that you give a score for the united kingdom. and you break it down, risk on institutional

the uk, the u.s., other countries. and europe, the rating agencies, you're basically telling us it's not unimportant. it's what the markets say that matters. in which case, why do people pay so much attention to your debits? >> well, because the -- well, i think -- you asked me the question who is the most important and i gave you the response to that. do the rating agencies have a, an infinite role, i think they do in terms of providing information to investors important to their investment decisions. when investors are looking at a range of investment opportunities, particularly international investors, they're looking at the uk, maybe looking at canada. might be looking at sweden. might be looking at germany or the u.s. and the ratings which are providing a relative guide to credit quality along with the supporting research are wanting in the decision. >> would you agree with this promissory note, referring to this negative -- taken by a couple of ratings agencies and he said, note that what we have seen is that the

record low yields in sweden and the uk and german bunds as well. extended, i suppose? where are people going to be looking? >> well, thing that the bonds have largely discounted, i think, at this point, with the exception obviously of further default but have largely discounted that greece is going to exit the euro at some point in the not too disstand future. as i said they don't have a lot of choice. that's positioned them for growth as long as they take the economies that are needed to get back in shape. we think the markets have basically discounted this. the bigger fear is obviously are over spain and italy that. i're much larger. the euro -- the trillions of euros that are involved with spain and italy are significant to the european banks. so we actually think we'd be better off if we -- if we could get a solution that included greece. it would be great. we're just having a hard time seeing how that's put together going forward. >> horatio, have you been -- can you sense that the u.s. can decouple or won't be affected as these problems contin

we have gotten in the uk. e need them in europe as well. >> with my right honorable friend and agree that when we look at the scale and timescale of the burma of that fell on west germany, and german reunification, we get a sense of the awesome challenge we could face any german chancellor in trying to achieve fiscal union in europe? >> yes, i think my honorable friend is entirely right. this is what i think when some people, and was employed in the question from the former chancellor, implied that german stubbornness is unreasonable. it's understandable. obvious the acting for the success of the eurozone we need everyone to adopt the sorts of approaches i've been talking about in terms of monetary policy, and the rest of the. but it is important to understand people's motivation is difficult as it is because that's what lies behind the current impasse. >> it is good the russians shared in the motion subsidy but even aside the rig elections there are major human rights abuses in russia. [inaudible] and, indeed,

how will this affect the uk? it will hit the city of london and british banks could get caught up in the fallout if the crisis gets worse. what is british banking exposure to public and private debt in those countries? in greece, it is around 2.5 billion pounds after the recent writedowns. in portugal, just under 13.5 billion. italian loans totaled 38.5 billion. in spain, nearly 60 billion pounds. >> spain has been a mature economy in the eurozone so it attracted a lot of investment from all around the world, including the uk. that is the broad exposure but there is direct exposure because some u.k. firms owned banks in spain. >> loners will watch anxiously to see how they will solve the problem. >> this is bbc news. still ahead, catching a dragon by the tail. free enterprise makes its debut. -- its space debut. the uk prime minister says he does not regret giving jeremy hunt responsibility for the news corp. taking full control of bskyb. adam smith said it was mr. hunt who suggested he should resign. he and tony

as the governor of the bank of england said yesterday, the biggest risk of recovery in the uk stems from the difficulties facing the euro area. based on trade flows alone, britain is more than six times exposed to the euro zone as the united states, that's even before you factor in the impact on confidence and our closely connected financial systems. this coalition government was formed in the midst of a debt crisis in the euro zone. two years later, and little has changed, so that is the back drop against which we have to work. so i believe it's only right we set out our views. we need to be clear about the long-term consequences of any single currency. in britain, in the united kingdom, we've had one for centuries. when one part of our country struggles, other parts step forward to help. there is a remorseless logic to it, a rigid system that locks down each state's monetary flexibility, yet limits fiscal transfers between them, can only resolve internal imbalances through painful and prolonged adjustment. so in my view, three things need to happen to function properly. first, the high

the uk government gave this its fullbacking. the union supported the necessary changes. the workforce responded magnificently. at success story. general motors is not alone. look across the country at honda, land rover, toyota, nissan, britain's car industry is growing. indeed, this week a balance of trade in cars turned positive in the first quarter for the first time since 1976 when jim callahan went to the imf. it's not just our car industry that was strong. information technology, aerospace, the creative industries, britt stan has a strong base from which to grow. we have a global language. we have a time zone where you can trade with ashah in the morning and america in the afternoon. we have some of the best universities in the world and a government that is committed to making britain the best place in the world in which to start a business. we w. these strengths, i believe we can see britain through the storm. but to do so we need to act at home and together with our european and global partners. first we must continue to get the grips with the deficit and to buil

there's an internal problem, domestic rob in the uk. titative easing may work -- >> how do you deal with it? >> quantitative easing could have been done in a way that it could boost growth without in our view generating more inflation, but what we're doing with quantitative easing is allowing the banks on to not clear. it's the opposite of what the americans have done. they've forced the housing market to force the u.s. banking system to cheer. ours is doing the opposite. it's preventing that from happening. so interest rates may be at zero. the spread -- >> i've made the point that i think policy is tightening because for a variety of reason, mortgage rates are going up. but with quantitative easing, you have brought down the longer term interest rates and that surely has been beneficial to growth. q how do we get growth back into the system is much more important if i may say so. up until the march minutes, i thought that's what the mpc's views was as well. but they talked more about the stickiness of inflation. they seemed to stop wor

it's a point of pride that at the height of nazi power, the uk is phasing down the might of the german army and they decide not to employ torture because it knows ultimately it would be successful. on the flip side if you study the uk behavior in ireland, there's certainly a lot of abuse to go around and then some. and on the flip side, the u.s., lots of people here are proud of the fact we faced down the odds after 9/11, it's a different age, we're willing to do different things. they only waterboarded three people. only three. and not for very long because they found out it wasn't effective. some people would say abusive interrogation works, then why don't you do only three people? it's no where needs the end of the spectrum. you can walk around london and buy a pack of cigarettes everywhere and everybody is going to see you because there's cameras everywhere. why were they put there? to fight the ira now? and the cameras are still there. and good luck to your privacy because that went out the window a long time ago. for those who are fond the james bond and covert action, look to fr

we need a microphone for you. >> how can the uk government promote the equipment made in the uk has an appeal to the british farmer? >> say that again. how to make equipment in the uk that has appeal to the british farmer. i think it's going to be on quality. i represent a big constituency in the south of england. 400,000 square miles. a lot of agricultural land and the farmers that i represent, they want to buy the best. they want good equipment. and this is fantastic to be in this factory, the last tractor factory in britain that makes, i think, 92% of what you make is for export. but you're also supplying the domestic market. i think in the end if we want a healthy farming industry, what we've got to recognize is that that really depends on us as consumers going into shops and supermarkets and wanting to buy quality british produce. of course we've got the common agricultural policy and all the schemes and grants and everything to help farmers. but in the end if you want healthy farming, you want consumers saying, british meat is the best. british food is the best. i want to demand

>> i think it's a very acute example of the situation that the uk economy is in. we've got a shrinkage of the public sector, so border staff disappear by huge amounts over the next year as part of the program of slinging the public sector and getting the deficit and debt down. that's supposed to be replaced by a boost in the private sector job growth in order to replace that shrinkage. and here we see a class he can classic example. maybe more funding has to come through fees or in some other way for the airlines on ensure their sufficient staff to handle the sort of people coming into the number of people that will come into the country over the olympic period coming up. and i'm sure that it will be very damaging internationally if that issue isn't solved. >> i remember post-sort of 9/11, going to the states, i it actually thought unless i have to go to america, i'm actually not going to go because i don't want -- it does have an impact. >> jfk used to be just an impossible place to enter the u.s. from. go try to find some small mid western airport to land in. >>

this is the latest trading update, of course, from the uk. the stock rebounding slightly on the first key one figures. net inflows, 2.1 billion new business profit in the uk. 62 million pounds. joining us exclusively on cnbc with more of an update. tee gem, good morning to you. >> good morning. >> you've talked increasingly about how asia is going to be your focus, so what more -- how much more of the business is going to come out of this region in the next two years? >> we're very pleased with the results as you said. it's our primary measure of growth, not sales. we'll really driving the business based on new business profits. 22% 22% year on year it's broad performance. so all the fundamentals of that group which are emerging in the middle class in asia with high demand for health and protection products and we have a distribution both for our agency network and banking partners to reach those emerging middle classes, leaves us in a very good position. asia is now comfortable. you gave the numbers, 260 million in asia, 62 in the uk, but giv

on determining the uk's rating. the intention in that it tries to be readable, but detailed information to provide an understanding of our analysis. the intention is to achieve this site to be transparent and open and why we've reached the diss we've reached. >> why not publish all the research and views? >> we have a moody's rating. it needs to reflect a moody's view. what's most important to us is what we publish makes very clear what the rating is and why it's where it is and what the moody's view is. i think enormous risk off the clarity if we published a range of preliminary research. wouldn't be consistent with that rating. >> i have to say people will find it very bizarre that -- that publishing more material would lead to -- but i want to see where -- >> much of the research is freely accessible. the special reports that we publish in the united kingdom, the u.s., iceland in the past we would certainly review and be sympathetic to the potential of providing our sovereign research free of charge. though ultima

the uk treasury can borrow money very cheaply for ten years because of the safe haven fly into uk assetsu've got 3% inflation. if you get a run on the currency, that inflation problem gets a lot worse. at the moment, sterling seen as a safe haven currency, so i'm wondering if the staff at the bank of england will be worried if you you attitudely get a spike in gilt yields or sharp move weaker in sterling. >> the dollar index back to levels since september 2010. how much further account dollar go. >> like i said before, the only real benchmark is 2008. before that, 2001. these are the last times where we really did have severe crisis in the market. and the dollar index was this overbought in the september time 2008. and is still rallied after that. so i think you could easily see another 3% to 5% rally in the month of june. >> you you like your football, don't you, stewart? >> absolutely. big hampton fan. >> stick around, you might want to ask a question of our next guest before the european football market sx bands expand the economic turmoil across the region. many clubs still have some

i am from the uk, that the accent. and i said to my agent, i need a car. i need to drive to work.that in the uk. it's like a big boat of a thing. it's a convertible. it's red and stribed seats. it looks angry. it's not good for a skinny indian guy. and i rented this apartment that had no furniture, and i went to ikea. and i have the tables and stuff sticking out of this camero, i can't control. >> jimmy: you are a licensed driver here? >> yeah, listen, i have not doing anything illegal i hope. i have a uk license. >> jimmy: you do? >> i hope that is fine. it's international, right? i'm okay to be driving. >> jimmy: i think you can drive if you are visiting. >> i'm going to go behind -- >> jimmy: i don't know. technically, you are living here now? >> kind of. i'm not properly living here. tis like a vacation but i'm working. >> jimmy: so you are probably do time here. you have been to american prison? >> no, i have not. i hope not. >> jimmy: i hope you don't end up there. in the new movie, you ride a motorcycle, right? >> that is another bad transports story. and i was like, this i

has so far managed to avoid the double dip recession the uk is experiencing now. 's been the same story throughout much of europe has stimulus measures have jumped start the economy. here in the u.s. there's even evidence now that less austerity could have improved the economy even more. this graph was posted by justin lahart of the wall street journal. it showed if they kept workers the unemployment rate would be around 7.2% instead of 8.1%. in the face of all of this evidence we're in the situation in this country where one of two major political parties is committed to austerity. massive cut, massive cuts in government spending. rejection of any government administered stimulus for the economy. precisely the policies that have failed in europe. we have one that will bring europe's misery to our shores and it's the party that's demonizing everything about europe. there is one last small glimmering home to escape the straight jacket of austerity in this country. you'll be shocked to learn the not so secret story of how republicans are cinching the belt on that one

sidelines here, i have been impressed by the amount of effort going on particularly between the fdic and the uk authorities on this issue. where there's a meeting of minds near as i can see in the euro zone generally. but getting that down in a very complicated way so the authorities can work together when you have an incipient failure is very important. i do think considerable progress is being made in that area. so i will just stop there touching on some of the points that i think are critical. >> thank you, chairman, volker very much. i'll take five minutes in questions. starting with the ranking member and we'll go from there. you've often talked today about the moral hazard issue. the pattern of government support for the largest institutions for each greater risk taking. in december at that committee table sheilah behr told the subcommittee quote, it's important for the government to be sending all the right signals that we do not view it as a good in and of itself to keep these institutions alive just because they are big. your congressmens about the skepticism might be overdone about th

not fit to run a media empire, says the uk's investigative committee. >>> and oh betty, america's favorite golden girl picks her candidate in a hotly contested california congressional race. >> and he has very nice blue eyes. >> betty. >> i'm howard berman, and my friend and i approve this message. >> good day, i'm andrea mitchell live in washington. on this the first anniversary of the death of bin laden, mitt romney now says, any thinking american would have ordered the operation. chris cillizza is an msnbc contributor and managing editor of postpolitics.com. that begs the question, even jimmy carter would have ordered this operation and what he said initially at least in 20007, which is that he would not have moved heaven and earth, he created that a month later but he never came to the point where he said he would authorize raids

i think that the uk looks a lot to me like the u.s. did.d or bad shall. >> i think it's good to the sent that the u.s. has now come out of this. >> let's address parts of the u.s. are you seeing strength across the board, are there regional or does it matter the type of retailer type of product? >> first of all, demand for our product is beyond just retailers. and if you want to look at the retail segment, the online retailers are on fire. the online retailers are building a whole new supply chain which drives demand. anything related to housing is still weak. and that accounts for a lot of the smaller users. and that partoperating at a low level. there has been remarkably little construction in the u.s. in the last three or tour yeafour year. so good companies are reconfiguring their supply chain. and the high quality space is almost gone. >> and your biggest opportunity you think is going to be -- >> u.s. i think is by far the biggest opportunity. we have a great business in japan. and i think our european business will surprise people. i

economy and the economy of the uk since the great recession struck.s you can see there, both economies cratered in 2008. since then the uk instituted harsh austerity measures and here's what happened there. their economy recovered initially, but it has since taken a turn for the worse. the united states rejected austerity measures and opted for a government stimulus package and this was the result, growth. slow and at times uneven but growth nonetheless. the u.s. has so far managed to avoid the double dip recession the uk is experiencing now. it's been the same story throughout much of europe as stimulus measures have jumped started the u.s. economy, europe economies have seen their economies recover at first then drop off. here in the u.s. there's even evidence now that less austerity could have improved the economy even more. this graph was posted by justin lahart of "the wall street journal" today. it showed if they spent money to keep government workers rather than lay them off, the unemployment rate would be around 7.2% instead of 8.1%. in the fa

we'll bring you the numbers. >>> uk inflation 6% on the month, annual rate 3%. the 3.1% forecast. loes annual rate since february 2010. still higher than where the bank of england were wanting it to be six months or so ago. the rpi, annual rate of that 3.5%, that'ses as forecast rpix. i miss the old target. 3.5% the annual rate of that low since november 2009. that as forecast. biggest downward effect from airfares, alcohol, clothes and sea transport. also latest borrowing numbers. sterling falling on that. here's the borrowing numbers. public sector net borrowing minus 16.5 billion. expected plus 8 about.5 billion. it's boosted by the raw mill asset transfer and the bank of england specially liquidity scheme. so i'm afraid you'll have to look through that number because it's totally flattened by balance sheet accounting. >> the first time mervyn king will not have to write a letter explaining himself. >> of course as the bank of england just also launched an investigation into how its performance versus -- one of the key metrics will be its inflation target. re

. >>> this is at the peterley police station in the uk. you see several officers and a detainee sitting down on a bench. the man sitting down on the bench is david heeler. they ask him to stand, but he won't. they have some questions, but he won't answer them. so one of the officers gives the order to stand him up. and so several officers then walk over to david to get him to stand up. >> is this guy sick? it seems like he's having trouble standing. >> in fact, he does start asking for a doctor. and this is the most dramatic part right here. >> stop! ah! ah, stop, please! >> my gosh, is that his hand? does he have his arm folded completely backwards? >> one of the officers, steven harvey, does take his arm and twist it around his back while the other officer, michael mount, takes his other hand and drags it across the desk they are on. >> that's a common means for cops to use, a submission move to get guys to do what you need them to do? >> he was asking for a doctor, and he did not appear to be well. >> do you need any assistance reading a

and finally here in the uk, the ten year is at just over 2%.ecking if to the euro rates, euro-dollar still slipped by 0.2%. we had ppi data out today, as well, for the eurozone. we see oil continues to be an issue as far as the inflation picture is concerned. 1.3131. euro dipping by 0.2% against the dollar. dollar-yen trading at 80.0. the dollar just moving up by 0.2%. aussie dollar down by after a percent. 1.0277 roughly. and the sterling is at 1.6174. sterling down by 0.1% or so today. we had services pmis out during the show, as well, we had the chief economist there for market joining us to talk through the figures which had declined more than expected. sterling con raiste sterling contraction till still above 50. >> you can understand why there was caution kicking into the asian section because of worries about what the yields would be in terms of spanish and french debt auctions. services pmi you talked about, as well. so certainly that ral aly that we saw didn't last long and ultimately as we gear up for the big jobs data out of the unit

the whole of the west is deleveraging, america, uk, and europe. and there's two ways to delever ram. you either take the pain with the deleverages and the forces dominating on the economy, which, of course, is spain or you prinl and try to offset the broad money in the economy. >> it remains to be seen. europe has no growth. in fact, in many cases it has contraction as well. it is much easier to reorg nice your economy if you have growth, isn't it. so are we doing this the wrong way around in europe? >> i think in europe you probably need to print some more money basically. we have bun phase of printing and stood back and within europe itself as well. of course, there are parts that are weaker than other parts. so places like spain increasing to hole lard, greece, france, italy where you're trying to attract fiscal deficits in a deleveraging economy. you need more stimulus. you need to print money and so on. we need to currency lower in europe. >> what about the chinese perspective here? they seem to be in a soft spot, probably will avoid a hard la

the second thing is the forecast for growth is the uk will grow fast their year than france, germany, or the eurozone. so they're not predicting that things will get worsement they're actually predicting that things will improve. >> mr. paul blackmon. >> thank you, mr. speaker. as our brave troops come home from afghanistan, one of the key issues is the sustainability long-term of the afghanistan economy. the biggest export in the past has been the poppy crop, which has fueled the illegal drugs trade worldwide. however, that self-same product could be used to alleviate medical suffering. >> here here. >> what consideration has been given to purchasing the poppy crop so we can use it for beneficial medical aims and then sustain the afghan economy as well? >> have i looked at this issue in some detail. i think the key thing is that if you can deliver in the country proper governments, proper rule of law, proper transport networks, then you can consider what you might do with the country's ability to grow poppy. that's what happened in turkey. i think if you suddenly introduced a poppy p

two kayakers near the coast of wales in the uk, they capsized in rough seas. one was a 53-year-old man, the other a 47-year-old woman. the woman began drifting away out to sea. so to the rescue came the unit of the rnli. those guys have been a group since 1830. when they got to the scene, there was another kayaker there lending a hand. you can see them lifting the couple on board their lifeboat. they said that the woman was floating there in the sea for 40 minutes. can you imagine these waters are rough, these waters are cold. she ingested a lot of seawater while she was out there. she was also very cold, very confused. >> imagine what went through her mind in those 40 minutes where she's drifting, taking in lots of water. she probably thought this was it. >> the woman was eventually airlifted by a helicopter and transferred to a nearby hospital where she was diagnosed with hypothermia. she was later discharged and she was okay. >> they made the transfer at sea. they didn't wait until they got to shore. >> they didn't have time a press officer from the royal na

the english authorities, uk authorities, are always told by their banks, you can't do this, you can't do that, because we will be at a disadvantage to american banks. if you are told all the time, you can't do this or that because you will be at a disadvantage with the english banks. the capital requirement should not be that different. there is a lot of effort to make to make sure the capital requirements are not that different. now trade n this trading operation, the british looked at what we're doing and at what point they expressed sympathy. now they are at the same point with a different rule. they say no investment banking. no trading. no proprietary trading. no hedge funds. no equity funds. in a bank. in a commercial bank. you can have it in the same holding company. but it's going to be in a separate part of the holding company and we are going to make a great wall between one side of the holding company and the other side of the holding company. i don't know whether that's any easier, the banks obviously don't like that. i don't know what they like least. but they are after t

we're aware of the issues that we see in the uk. these matters may come before the fcc as a judicatory matters. i think it would be inappropriate for us to prejudge them. and also inappropriate to speak about any investigations we may -- >> we're not talking about an outcome. we're talking about a natural disaster. >> we don't comment, as other agencies of government don't comment on the status of investigations. we have important responsibilities to take seriously. it's important not to judge it. >> that would be good. take seriously. the fed of the company found unfit we're looking to see that as they do have an obligation for good character to have a license renewal. it's been long standing that the fec is looking into newscorp and its application to renew the license in new jersey. mr. mcdowell, do you have a point of view here about when we ought to get started on looking into this? >> i think the senator stated it eloquently. >> i heard. >> i agree. >> senator, we do have a process in place, they have a the right to file before

we ended up driving to tia juana with our family in order to return to the uk. we then had only five months to verify. we flew back to the u.k. for the interview which cost about $6,000, rather than processing in the u.s. embassies were rude to me and my bike in the process. -- wife in the process. we were a small company but had been in the u.s. for eight years, and had one of our best years. they seemed unaware of general business and tax accounting practices. however, my wife developeafter h the officer, the visa was approved. afton and there was finger wagging saying that you need to come up was something better than two years' time currently, there is no resolution for these types of green card holders. we will have to constantly trouble in the new at the will of immigration authorities. so how does this affect families? it affects our ability to run a business with unpredictable but times. it makes you unproductive and therefore unproductive thanks to the huge amounts of repetitive information required. processing fees which are a burden to the families inv

we have gotten in the uk. em in erope as well. >> with my right honorable friend and agree that when we look at the scale and timescale of the burma of that fell on west germany, and german reunification, we get a sense of the awesome challenge we could face any german chancellor in trying to achieve fiscal union in europe? >> yes, i think my honorable friend is entire right. this is what i think when some people, and was employed in the question from the former chancellor, implied that german stubbornness is unreasonable. it's understandable. obvious the acting for the success of the eurozone we need everyone to adopt the sorts of approaches i've been talking about in terms of monetary policy, and the rest of the. but it is important to understand people's motivation is difficult as it is because that's what lies behind the current impasse. >> it is good the russians shared in the motion subsidy but even aside the rig elections there are major human rights abuses in russia. [inaudible] and, indeed, by many org

. >> something you always saw on tv doing growing up, and so to be here today in the uk, you know, withork that it took me to get to this level to be able to do that, it's following the pursuit of my dreams and now i'm here in the uk running the torch. it's great. >> he's texting. he's on his phone while running with the olympic torch. >> still ahead on "way too early," why are you awake? your medal winning tweets and texts are next and "morning joe" moments away. with these new depend real fit briefs,untry and today we are surprising pro football all stars. there's wes, clay and demarcus.what's up guys. now i know you don't need one, but would you try these on for charity and prove just how great the fit is? seriously? no way for charity? let's do it! yup... they're doin it. the best protection now looks, fits and feels just like underwear. let's go drive, use the legs... nice teamwork! they tried on the new depend real fit. get a free sample so you can too. mine was earned off vietnam in 1968. over the south pacific in 1943. i got mine in iraq, 2003. usaa auto insurance is often hande