Recently, Spotify, the streaming music service, made trade press headlines. The company announced it would offer its shares in a “Direct Public Offering”.¹ Immediately, a flood of articles emerged in which commentators described, decried and delighted in Spotify’s move.
1 - 10 of 146 items [Currently showing All Items in Management Liability]
We expect the continued soft market to slowly level out and potentially begin a slow process of gradual firming, first through coverage changes and then eventually making its way to renewal rating.
The role of the independent fiduciary has evolved greatly over the last several years. The combination of Madoff-type scandals and the perpetration of other fraud involving pension plans, resulted in increased investment regulation. As a result, independent fiduciaries are being utilized more frequently to mitigate legal risk. How can independent fiduciaries help plan fiduciaries?
As we approach the state of commercial real estate market for 2019, the big question seems to be, “What is your perspective?” – ‘headwinds’ of a ten year cycle of an economic expansion or ‘tailwinds’ that the best is yet to come.
One of the thorniest issues in directors and officers (“D&O”) liability insurance is “capacity.” D&O provides financial protection for directors and offices, only when they are acting in that specific capacity. Often, the insurance grant will limit coverage to actions “solely” related to the insured capacity.
Fiduciary Liability renewals were stable in 2018, and this coverage line continues to be the least affected in Management Liability. There have been sizable fiduciary liability settlements in the past 24 months that are noteworthy. We anticipate a minor impact in the market condition as markets begin to adjust for loss trends across all management liability lines.
The United Kingdom, especially London, has historically been an insurance hub,especially for management liability coverage. During the U.K.’s time in the European Union, its market grew considerably, thanks, in part,
As we look to forecast the state of the D&O marketplace in 2019, there is plenty of data to review and much of it is noteworthy. If 2017 was a year in flux, then 2018 began to turn the corner into a market with dramatically more underwriting discipline and backbone than anything in the previous 10 years outside of the financial and homebuilding sectors during the most recent financial crisis.
The marketplace for Kidnap and Ransom (K&R) insurance remained stable and competitive through 2018. Premiums are as low as $400 per million limit for companies with limited foreign exposure (locations or travel). For companies with higher exposures including foreign travel and locations, premium is around $1,000–$3,000 per million of coverage limit. Coverage is broad, but broker expertise is needed to ensure the policy contains all applicable enhancements, such as Workplace Violence, Child Abduction and Cyber Terrorism.
As we head into 2019, the current state of the R&W insurance market remains very strong. Over the past twelve months, we witnessed continued growth in the use of R&W insurance as it has moved from commonplace to the norm in M&A transactions.