Steps to Maximize D&O Coverage for Investigations – Part 3

 

 

This video is the third of a three-part series addressing issues companies should focus on when negotiating and purchasing D&O insurance to adequately protect against governmental investigations. In this post, Miller Friel Attorney Tab Turano continues his discussion on maximizing insurance recovery for governmental investigations. Both public and private companies face the threat of governmental investigations. These investigations by Federal agencies, from the SEC to the FCC to the DOJ, can be for violations of securities laws, the Foreign Corrupt Practices Act, and other laws and regulations. Having the right D&O insurance can be critical for defending such proceedings. Not all D&O policies, however, are the same. This video discusses the importance of negotiating a broad and favorable “allocation clause” as well as narrowly-tailored “conduct exclusions,” both of which are important for maximizing defense coverage in connection with governmental investigations.

Please watch the video to learn more, or Contact us if you have any questions.

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Posted By Tab Turano on July 13, 2017 | permalink | trackbacks(29)

Steps to Maximize D&O Coverage for Investigations – Part 2

 

 

Today’s blog post is the second video in a three-part series addressing steps that policyholders should take to maximize insurance recovery for governmental investigations under D&O insurance policies.  Public and private companies are frequently the subject of governmental investigations.  Defense of these proceedings is expensive.  It is not atypical for defense costs to exceed $10 million for a typical investigation, with larger investigations costing hundreds of millions of dollars.

There are a number of steps that policyholders take to maximize insurance recovery for governmental investigations.  Because defense of governmental investigations is typically front end loaded, the issue of when defense coverage is triggered is a critical.  If coverage is triggered when a lawsuit is filed, coverage may be useless in a situation where a claim is settled prior to the filing of a formal lawsuit.  Coverage under a D&O policy should be triggered prior to the government’s issuance of a Wells Notice, target letter or other formal order of investigation.  Policy language to this effect allows for recovery defense costs incurred responding to voluntary information requests and other events that typically occur early on in the government’s inquiry.  Likewise, a well-negotiated D&O policy should cover investigations even where the company is not the primary target of the government’s inquiry.

These and other issues are explored further in Part 2 of the video series.  Please watch the video to learn more, or Contact us if you have any questions. Continue reading →

Posted By Tab Turano on July 11, 2017 | permalink | trackbacks(29)

Steps to Maximize D&O Coverage for Investigations – 1) Secure Defense Coverage For Pre-Formal Investigation Costs and Expenses

 

 

In today’s blog post, Miller Friel Attorney Tab Turano discusses how to maximize insurance recovery for governmental investigations.  Public companies these days face the threat of a multitude of investigations by Federal agencies, from the SEC to the FCC to the DOJ, for violations of securities laws, Foreign Corrupt Practices Act and other laws and regulations.  Defense of these proceedings can cost tens of millions of dollars.  Having the right insurance coverage is critical.  Not all D&O policies, however, are the same.

This video is the first of a three-part series addressing issues companies should focus on in negotiating and purchasing Directors and Officers insurance, with an eye towards maximizing coverage for investigations.  Part one addresses the importance of securing coverage for costs incurred prior to an actual formal governmental investigation.   Please watch the video to learn more, and contact us if you have any questions.  Continue reading →

Posted By Tab Turano on June 26, 2017 | permalink | trackbacks(29)

Selecting an Insurance Recovery Law Firm (Part 2)

 

 

In today’s blog post, Miller Friel attorney Bernie Bell addresses two remaining questions that corporate clients should ask prospective insurance recovery law firms.  Question three is centered around fee structure, and whether a law firm is open to alternatives to standard hourly billing.  And lastly, question four probes whether your case will be staffed with experienced insurance recovery lawyers, or general litigation associates.  Pulling generalists from a litigation pool may be a common law firm staffing approach, but it is likely not the best approach for insurance recovery law.  If every member of the insurance recovery legal team has substantial experience  in insurance recovery law, greater efficiencies and better results can be realized.  This experience, in major litigation, also translates into greater efficiency in managing litigation support vendors.

Please watch the video to learn more.

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Posted By Miller Friel on June 16, 2017 | permalink | trackbacks(29)

Selecting an Insurance Recovery Law Firm (Part 1)

 

In today’s blog post, Miller Friel attorney Bernie Bell introduces a two part series on Issues to Consider When Selecting an Insurance Recovery Law Firm.  In some ways, Insurance Recovery law is not unlike other specialized areas of the law.  Experienced lawyers are generally capable of delivering better results.  Yet, with insurance recovery law, not all experienced lawyers are playing on a level field.  Law firms that defend corporate litigation, generally need to be approved as insurance company panel counsel to accept that work.  Insurance companies, as a quid pro quo for permitting law firms to accept their money, oftentimes impose rules to restrict the effectiveness of advocacy against them.  That way, if one of “their” law firms elects to pursue a claim them, they can be assured that nothing bad will happen. This approach may be one of the most brilliant risk minimization strategies ever devised as it seriously impacts the amount of money insurers pay on corporate insurance claims.

The issue for corporate policyholders is that their go-to law firms, law firms that are highly competent in most practice areas, may be crippled when it comes to pursuing corporate insurance claims.

In this video, Bernie addresses two questions that should be asked of any prospective insurance recovery law firm.  Please watch the video to learn more.

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Posted By Miller Friel on June 8, 2017 | permalink | trackbacks(29)

Tips and Traps in Corporate Liability Coverage

The Corporate Board, one of the leading journals of corporate governance, recently published one of our articles, entitled “Tips and Traps in Corporate Liability Coverage.”  In this article, we address some of the most important insurance issues faced by directors and officers.  These include notice, securing defense coverage, coverage for governmental investigations, coverage for criminal investigations, and many more.  We welcome your comments and questions.

Click here to read the entire article.

Posted By Brian Friel on June 5, 2017 | permalink | trackbacks(29)

Insurance Recovery Law Firms: Choosing the Right Firm

In today’s blog post, Miller Friel attorney Bernie Bell addresses one of the most important decisions in-house counsel make when addressing corporate insurance needs, namely, selecting the right kind of insurance recovery law firm.  With more than 30 years of insurance recovery experience at a number of global law firms, Bernie is uniquely qualified to address this issue.  In this video, Bernie highlights why many clients believe that the practice of insurance recovery law is best practiced in a boutique law firm setting.

Three things are important to our corporate insurance recovery clients.  First is Experience.  All Miller Friel attorneys are former-large law firm insurance recovery lawyers, who successfully practiced at the highest levels of the profession. Second is Focus.  Our sole and exclusive focus is insurance recovery law.  We don’t cross sell other practice areas, because our main goal – our only goal — is to maximize client recoveries. Third, practicing exclusively in the area of law leads to better Results.  Many clients have come to the realization that with insurance recovery, the best solution is to retain a conflict free law firm with a proven track record of exceptional insurance recovery results.

Please watch the video to learn more, or Contact us if you have any questions.

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Posted By Miller Friel on May 17, 2017 | permalink | trackbacks(29)

Insurance Coverage for Employment Practices Liability Claims

In today’s blog post, we address the key Employment Practices Liability insurance (“EPLI”) issues.  These include considerations that corporate policyholders should keep in mind when purchasing or making claims under EPLI insurance policies.  On the front end, ensuring adequate coverage for EPLI claims starts when coverage is placed.  Considerations there include defense cost carve outs in certain exclusions, and the inclusion of Duty to Advance defense cost provisions.  On the back end, a claim must be carefully analyzed to maximize the full extent of coverage.

Please watch the video to learn more.

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Posted By Mark Miller on April 20, 2017 | permalink | trackbacks(29)

Policyholder Guide to the Recoupment of Defense Costs

In today’s blog post, we address an alarming insurance trend, namely, the increased frequency of insurance companies seeking to recoup defense costs under duty to defend insurance policies.  Even more alarming is the fact that a right to reimbursement doesn’t typically exist, unless the insurance carrier does certain things, and the policyholder fails to properly object.  Policyholders should apply the strategies discussed herein from the moment they receive a reservation of rights letter.  Although the deck is stacked against insurance carriers when it comes to the recoupment of defense costs, policyholders can turn a good situation into a potential problem.  Please watch the video to learn more.

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Posted By Mark Miller on April 18, 2017 | permalink | trackbacks(29)

Insurance Coverage for False Advertising Claims

In today’s blog post, we address how policyholders can secure insurance coverage for false advertising claims under Director and Officer insurance policies.  Using a real-life example, we address a situation where a series of D&O insurers wrongfully denied coverage for numerous false advertising claims.  There, the policyholder faced potential liability for the underlying false advertising claims, and looked to their existing private company D&O insurance policies for coverage.  In turn, the insurance carriers asserted that a professional services exclusion in the policy precluded coverage.  In the end, the insurance carriers paid the claim, but they would not have done so unless appropriate insurance recovery strategies were employed.

Please watch the video to learn more.

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Posted By Mark Miller on April 13, 2017 | permalink | trackbacks(29)