Topic Legal
Transatlantic, Validus at odds over unsolicited acquisition offer
July 29, 2011 by Canadian UnderwriterTransatlantic Holdings Inc. is recommending stockholders reject Validus Holdings Ltd.’s unsolicited, $3.5-billion offer to acquire all the outstanding common shares of Transatlantic.The Validus offer follows a previously announced, $3.2-billion offer for Transatlantic in June 2011 by Allied World Assurance Company…
Extended warranties or guarantees are not “insurance” for tax purposes: Alberta Appeal Court
July 28, 2011 by Canadian UnderwriterExtended warranties or guarantees on products other than vehicles do not count as “insurance” for tax purposes, the Alberta Court of Appeal has ruled.In Brick Protection Corporation v. Alberta (Provincial Treasurer), the Appeal Court concluded on July 21 that taking…
Phony airbag deployment often used to beef up claim damage: accident reconstruction expert
July 28, 2011 by Canadian UnderwriterPhony airbag deployment is an increasingly common element of auto fraud, an accident reconstruction expert told an education seminar held in London, Ontario on July 26. Gord Jenish, president of Jenish Engineering, presented some common signs indicating the fraudulent deployment…
OPP notes increase of insurance frauds involving ‘homemade’ trailers, marina chop shops and ATVs
July 27, 2011 by Canadian UnderwriterCar theft may be grabbing headlines these days, but frauds involving other types of vehicles have emerged recently on the radar screens of Ontario police. These include insured ‘homemade’ trailers, watercraft and all-terrain vehicles (ATVs).Sergeant Stephen Boyd of the Ontario…
Paying out small auto claims without investigation could embolden fraudsters
July 27, 2011 by Canadian UnderwriterInsurance companies settling small claims without any investigation may in fact be emboldening fraudsters to commit more serious forms of fraud in the future, a claims investigator warned at a seminar on combating auto fraud.Jordan Legg of Cunningham Lindsey spoke…
FICOM will no longer perform bankruptcy, criminal record checks for prospective insurance company directors, executives
July 20, 2011 by Canadian UnderwriterBritish Columbia’s Financial Institutions Commission (FICOM) will no longer perform bankruptcy or criminal record checks for directors, senior officers or significant shareholders of insurance companies or captive insurers.Instead, candidates for these positions will have to bankroll their own criminal record…
Canadian insurance defence firm first to join U.S. network
July 19, 2011 by Canadian UnderwriterKelly Santini LLP, an Ottawa-based law firm with a large insurance defence group, is the first Canadian firm to join USLAW Network.USLAW Network is a national organization of more than 60 independent member firms covering 47 states, Canada and Latin…
Insurers should consider a blackout provision as an excluded peril after court decision in Caneast: lawyer
July 19, 2011 by Canadian UnderwriterThe Ontario Court of Appeal’s decision in Caneast Foods Limited v. Lombard General Insurance Company of Canada demonstrates the limitations on insurers that attempt to use catch-all exclusions in insurance policies, according to Hartley Lefton of McMillan LLP.In a paper…
Changes to Alberta Insurance Act to come into effect on July 1, 2012
July 18, 2011 by Canadian UnderwriterAlberta’s department of finance and enterprise has outlined changes to the Alberta Insurance Act that will go into effect on July 1, 2012.Legislative amendments to the act include the following:•Legislation will require statutory conditions to be incorporated into multi-peril property…
IBC calls for regulation of medical assessment clinics
July 15, 2011 by Canadian UnderwriterThe insurance industry is calling for the accreditation and regulation of assessment clinic ownership to help put the brakes on fraudulent accident benefits claims. Fake accident treatment charges are costing insurers roughly $1.3 billion, a recent Toronto Star article says,…
Legal counsel for AB claimant not required to docket hours to receive credit at upper end of scale for hours worked: FSCO arbitrator
July 14, 2011 by Canadian UnderwriterLegal counsel representing claimants in Ontario arbitrations are not required to docket their hours in order for claimants to receive their legal expenses at the high range of the scale determining hours worked, an Ontario arbitrator has ruled. In Kamal…
Europe proposes moving Solvency II deadline to Jan. 1, 2014, but insurers encouraged to work toward current Jan. 1, 2013 deadline
July 11, 2011 by Canadian UnderwriterInsurance companies are being encouraged to continue working towards a Jan. 1, 2013 Solvency II implementation date, even though The Council of the European Union has proposed a delay of the final Solvency II deadline until January 1, 2014. Solvency…