Specialty Lines

Expert Analysis

• How D&O Coverage Fits Into Diversity Claim Mitigation

  

  As companies face a shift in the directors and officers insurance market following a spate of recent shareholder suits over lack of diversity in corporate leadership, executive teams should review D&O policy coverage while implementing diversity initiatives that will effect meaningful, long-term change, say Natasha Romagnoli and Hannah Ahn at Blank Rome.

• D&O Insurance Implications From Tesla's Stock Drop Suit

  

  A recent shareholder stock drop lawsuit against Tesla showcases the legal perils that can follow companies' social media missteps, and highlights the importance of directors and officers liability insurance in the current age of political polarization, says Tae Andrews at Miller Friel.

• Tips For Managing Cybersecurity And Privacy Risks In M&A

  

  Cybersecurity and privacy issues in M&A transactions should no longer be an afterthought and should be treated on equal footing as other parts of the due diligence process, like tax, real estate and intellectual property, say David Kessler and Anna Rudawski at Norton Rose.

• 6 D&O Provisions To Consider When Buying SPAC Insurance

  

  As directors and officers insurance strives to keep up with the unique risk profiles of special purpose acquisition companies, D&O policy language distinctions can make a critical difference in whether claims against SPACs are covered, says Stephen Raptis at Haynes and Boone.

• Del. Rulings Guide On D&O Insurance For Corporate Fraud

  

  Two recent Delaware decisions chart a helpful path for policyholders seeking directors and officers coverage for incidents involving fraudulent conduct, and also demonstrate the flexibility afforded by choice-of-law clauses, say Brian Scarbrough and Eric Fleddermann at Jenner & Block.

• Boiler And Machinery Insurance Can Boost Cyber Coverage

  

  Companies affected by cybersecurity incidents may be covered by their boiler and machinery insurance, which shares many similarities with modern cyber insurance offerings and may apply despite exclusions specifying certain forms of cyber coverage, say attorneys at Cooley.

• 3 Cybersecurity Questions To Ask Before A Remote Mediation

  

  Lawyers preparing to mediate or arbitrate a case through videoconference should take steps to ensure they and their alternative dispute resolution providers are employing reasonable security precautions to protect digital client data and conform to confidentiality obligations, say F. Keith Brown and Michael Koss at ADR Systems.

• 4 Areas Of Cyberattack Vulnerability For Law Firms

  

  Recent data breaches involving Goodwin and Jones Day show that cyberattacks are very real threats to the legal profession, especially in the era of remote work, so law firms should revisit common business practices that expose them to unnecessary risks, says Ara Aslanian at Inverselogic.

• Ill. Biometric Claim Case Highlights Core Insurance Principles

  

  During oral argument in West Bend v. Krishna this month, the Illinois Supreme Court justices' questions on coverage for biometric privacy claims touched on three core principles of insurance policy interpretation and should result in an affirmance of the lower courts' decisions, says Emily Garrison at Honigman.

• Questions Following 2 Recent Cyber Insurance Developments

  

  A Minnesota federal court's recent decision in Target v. ACE and guidance from the New York State Department of Financial Services have furthered confusion surrounding how insurance policy language should be applied to the unique circumstances of cyber incidents, say Huiyi Chen and David Kroeger at Jenner & Block.

• When Mergers Create D&O Insurance Complications

  

  A Delaware state court's recent decision in Northrop Grumman v. Zurich illustrates some of the pitfalls and disputes that commonly arise when companies with competing directors and officers insurance policies merge, says Sam Ballingrud at Sherman & Howard.

• How Biden's Administration Will Affect The Insurance Industry

  

  President Joe Biden's administration has signaled interest in a range of key issues — consumer protections, regulation of the cannabis industry and health care reform — that will have outsize influence on the private insurance market, say Adrian Azer and Wes Dutton at Haynes and Boone.

• An OFAC Compliance Checklist For Ransomware Payments

  

  As the U.S. government heightens its scrutiny of ransomware payments, victims that pay extortion demands can follow 12 steps to help establish the requisite mitigation and due diligence to avoid penalties from the U.S. Department of the Treasury's Office of Foreign Assets Control, says cybersecurity consultant John Reed Stark.