The decision to integrate Generative AI (“GAI”) into an organization is one that occupies significant space these days in many corporate board rooms. In today’s rapidly evolving business landscape, the adoption of GAI...more
On August 23, 2023, the SEC adopted new rules and amendments to existing rules (collectively, the “New Rules”) under the Investment Advisers Act of 1940 (the “Advisers Act”). The New Rules are designed to increase...more
Companies reporting liability insurance claims need to be aware that the pertinent rules vary depending on whether a policy is “claims made and reported” or “occurrence”. Most, if not all, Directors and Officers and Errors...more
The daughters of Paul Newman recently sued the Newman’s Own Foundation to their annual control of $400,000 of funds for donation.Paul Newman created the foundation to give away all royalty rights from the sale of Newman’s Own...more
The market for “signature risks” in the managed care organization (MCO) sector—errors and omissions (E&O), directors and officers (D&O), and cyber—remains hard, with double-digit rate increases being the norm for the fifth...more
No doubt you’ve seen the Farmers Insurance ads claiming, “We know a thing or two because we’ve seen a thing or two.” Most describe insurance claims paid on foreseeable calamities caused by familiar animals — bears, deer,...more
Litigation concerning COVID-19 has already begun. A number of lawsuits have been filed against cruise lines alleging that they were negligent by operating with infected passengers and crew members and failing to screen...more
How bad will the pandemic get? How much will it spread in the United States? Will we develop a vaccine in time to do any good? As insurance lawyers, we have no idea. But we can help you figure out whether your business is...more
The Situation: Declared a global health emergency by the World Health Organization, and with more than 17,000 cases already confirmed worldwide, preliminary estimates indicate that the latest coronavirus outbreak may not peak...more
In an important decision in the world of professional liability (including D&O and E&O policies), the Seventh Circuit recently held that a “contractual liability” exclusion—i.e., an exclusion for claims “based upon or arising...more
Errors and omissions (E&O) and directors and officers (D&O) professional liability insurance policies commonly contain breach of contract endorsements that exclude coverage for claims “based upon or arising out of” a breach...more
Some of the biggest pitfalls for policyholders lie camouflaged among seemingly “standard” policy conditions—often overlooked during the procurement or renewal process. This is especially true of allocation clauses, found most...more
Takeaways - Companies that suffer cyberattacks can expect not sympathy but scrutiny from legal authorities. - D&O insurance can cover not only litigation but also investigation costs. - Strategic negotiation of...more
Carriers rely on application representations regarding the existence of potential claims. Sometimes, the carrier learns after the fact that an applicant may not have reported all known potential claims. What can/should the...more
Who’s afraid of New York’s Martin Act? Right now, a lot of Wall Street and energy industry companies, that’s who. Why are they concerned about the Martin Act? Because it grants the New York State Office of the Attorney...more
The past several years have seen an explosion in class action cases brought under the Telephone Consumer Protection Act (“TCPA”), 47 U.S.C 227. The TCPA generally restricts telemarketing phone calls and the use of automated...more
When a new company moves to secure funding and formalize operations, insurance is often an afterthought. But with a bit of effort, emerging companies can obtain strong insurance protection, maximize their existing coverage,...more
This is the second post in our series regarding coverage issues affecting emerging companies. This post addresses the insurance application process. The application is a critical part of the process because insurance...more
Welcome to the latest edition of Pillsbury’s Perspectives on Insurance Recovery. As this 2015 edition of Perspectives demonstrates, our team is working on the most challenging issues—from cyber-insurance and complex claims...more
In the wake of what seems to be daily announcements of new data security breaches and increased regulatory oversight over company information security and privacy practices, companies are looking for ways to minimize risks...more
Target’s $19 million settlement with MasterCard underscores very significant sources of potential exposure that often follow a data breach incident. In the wake of any significant breach involving payment cards, such as the...more
Seven years removed from the 2008 financial crisis, an increasing number of financial institutions are now finding themselves in the crosshairs of the Consumer Financial Protection Bureau (“CFPB”), a new federal agency...more
Receiving a Consumer Financial Protection Bureau (CFPB) Civil Investigative Demand or Proposed Action, Response Request (PARR) letter is never good news. However, that news can become significantly worse if you discover, to...more
In This Issue: How Long Should I Keep My Insurance Policies? and Coverage Spotlight: Contract Litigation Insurance. Excerpt from How Long Should I Keep My Insurance Policies? - Policyholders often ask,...more
Policyholders often ask, “How long should I keep my insurance policies?” Is it three years? Seven years? The short answer is none of the above. Here are some brief recommendations regarding document retention for insurance...more