Presentation on theme: "Tort Reform in Reverse?. Singin’ The PL Blues MODERATOR: Sean Fitzpatrick, Esq., Senior Vice President, Middle Market & Specialty Financial, The Hartford."— Presentation transcript:
Tort Reform in Reverse?
Singin’ The PL Blues MODERATOR: Sean Fitzpatrick, Esq., Senior Vice President, Middle Market & Specialty Financial, The Hartford PANELISTS: Timothy Braun, MBA, Executive Vice President, AXIS Louis H. Castoria, Esq., Partner, Wilson Elser Moskowitz Edelman & Dicker LLP Jason Hawkins, Managing Director, Aon Kalju Nekvasil, Esq., Partner, Goodman & Nekvasil, P.A.
Agenda Tort Reform in Reverse: Has the tide turned? Developments in Securities Liability Healthcare Reform – Implications for the Professional Liability Industry Financial Services and Professional E&O – How will Underwriters and Brokers address a changing liability environment?
Developments in Securities Liability
Scandals, Prosecutions, and Investigations Madoff Stanford And a Cast of Thousands
Regulation of Hedge Funds? Insurance?
Changes in the FINRA Arbitration System Fewer “Industry” Panelists Fewer Motions to Dismiss No Arbitrations of Statutory Rights
Section 1031 Exchanges $3.7 Billion in TIC offerings in 2006 What happened at DBSI? Why real estate turned out to be risky
Reg. D – Private Offerings 26,485 private offerings filed in 2008 What happened at Medical Central? What happened at Provident Royalties Who is minding this store?
Looking Ahead -- Trends
Healthcare Reform – Implications for the Professional Liability Industry
Health Care Reform = Tort Reform?
Managed Care, ERISA, and Bad Faith
Medical Device Safety Act
Arbitration Fairness Act
Financial Services and Professional E&O – How will Underwriters and Brokers address a changing liability environment?
Effect on FI Underwriting Sector Analysis Underwrite to individual sectors to determine which are more vulnerable with systemic exposure always a concern. Understand that the exposure is fluid and changes occur from both internal and external forces.
Effect on FI Underwriting Management Analysis Financial Analysis Operational Risk Management Analysis Enterprise Risk Management
Effect on FI Underwriting Conclusion: Comprehensive Review Utilization of traditional and non-traditional underwriting resources Differentiating between well-managed and poorly-managed risks Balance between proper rate and coverage vs. premium
A Brokers Perspective Challenges faced by the broker What it means for the client Education - broker and client focused Potential Impact on Clients Higher premiums and retentions Limited coverage available Managing insurance budgets vs. insurance spend Education Industry Challenges
Carrier / Industry Challenges If current trend continues can/will carriers continue to write certain lines of business Increased defense costs Increased claim frequency and severity Program limits and structures “In the News”/Headline Risks – Madoff, Stanford, Lehman, AIG etc…. Economy
Questions & Answers
Many thanks to … Sean Fitzpatrick Tim Braun Louis Castoria Jason Hawkins Kalju Nekvasil