Building Coverage: Limiting Professional Liability
March 1, 2003 Paul FamulaContracts are a commonly used tool to limit an organization’s exposure to many types of liability claims. Perhaps their most common use is in the construction industry where many organizations are brought together to work on large projects. Often these projects leave the various organizations exposed to many types of liability claims. Risk managers in this field must ensure they review and understand all of the contracts that are entered into, in order to avoid an unexpected liability.
ACE takes US$354 million asbestos charge
January 28, 2003 by Canadian UnderwriterBermuda-based ACE Ltd. says it will take a charge of US$354 million on fourth quarter 2002 earnings in order to bolster asbestos reserves.Reserves will be increased by US$2.178 billion gross, with US$1.86 billion offset by reinsurance. US$533 million of this…
Silverstein appeal to be heard on WTC “occurrence” case
January 7, 2003 by Canadian UnderwriterAn appeal from World Trade Center (WTC) leaseholder Larry Silverstein will be heard by a U.S. federal appeals court. Silverstein is challenging a ruling by U.S. District Court Judge John Martin which said that for those insurers covering the WTC…
That Cements It: the Lafarge Cement Case, New Directions From the Ontario Court of Appeal
January 1, 2003 Ruth Henneberry & William Blakeney of Blakeney Henneberry BakshOn December 11, 2002, the Ontario Court of Appeal released its long awaited decision on the insurance issues in Alie et al. vs. Bertrand & Frere, Lafarge Canada. The case provided crucial insight into the application of exclusions and occurrence…
Claims Management Strategies 2003: Competing Interests
January 1, 2003 Vikki SpencerWhat promised to be the “year of the rebound” in 2002 was anything but. Despite price hardening, claims have continued to grow, particularly with never-ending medical payouts on auto claims. And, this is just the tip of the iceberg facing…
Snow No Mercy
December 1, 2002 Craig HarrisIce and snow removal contractors are in the insurance spotlight, as growing liability exposures force property and casualty insurance carriers to pull back coverage. Those insurers that remain in the business are taking a careful approach to underwriting – and loss prevention.
III pegs 9/11 losses at US40.2 billion dollars
October 1, 2002 by Canadian UnderwriterThe New York-based Insurance Information Institute (III) is tallying losses from the September 11, 2001 terrorist attacks at US$40.2 billion. The attacks represents not only the largest loss in insurance history, but also the most complex, notes III president Gordon…
Judge calls WTC attacks “one occurrence”
September 26, 2002 by Canadian UnderwriterA federal judge in New York has declared that the felling of the World Trade Center towers by two planes on September 11, 2001 was “one occurrence”, not two as claimed by the leaseholder.The ruling applies to three insurers, St.…
III pegs 9/11 losses at US$40.2 billion
September 12, 2002 by Canadian UnderwriterNew York-based Insurance Information Institute (III) is tallying losses from the September 11, 2001 terrorist attacks at US$40.2 billion. The attacks represents not only the largest loss in insurance history, but also the most complex, notes III president Gordon Stewart.“The…
Cover Story: Danger: Asbestos Exposures
September 1, 2002 Sean van Zyl, EditorRecent multi-million dollar reserving adjustments disclosed by prominent insurers in the U.S. with regard to asbestos-related exposures have occupied financial headlines. As well, the storm clouds surrounding asbestos liability appear to be building up on several frontiers: a new wave of “non-product” liability litigation is feeding into the U.S. courts while a recent U.K. court decision applying to multiple-employer responsibility to worker exposure to asbestos has opened up what many in the insurance industry believe is a “Pandora’s Box” with global ramifications. In response, several industry financial rating agencies have issued bearish reports on the potential exposure property and casualty insurers face under a new wave of asbestos litigation, suggesting that the U.S. industry alone could be under-reserved by billions of dollars. Is the Canadian market immune?
“Tail-End” of the “Other Clause”
September 1, 2002 Bill Blakeney, Blakeney Henneberry Baksh & MurphyThe “Ouroboros” in Greek mythology is a circular snake that gives birth to itself through its mouth, so that it appears to be swallowing its own tail. A common motif around the world, it signifies the eternally self-regenerating and destructive universe. The concept was inspired by the fact that in some species of snake the mother broods the babies in her mouth, so it looks like she is giving birth to them when they eventually wriggle out – an appetizing thought to consider over your morning coffee and muffin.
Lenders’ Insurance: New Tools for Banks and Borrowers
August 1, 2002 Helen Eichmann, product line manager for Chubb Environmental SolWhen it was introduced two decades ago, environmental insurance was used primarily as a risk management tool for businesses whose operations made them particularly vulnerable to environmental exposures, such as companies in the chemical and petroleum industries. More recently, environmental insurance is purchased by both current and former property owners to address transactional as well as operational needs, playing an integral role in mergers and acquisitions, property transfers, and settlement of historic liabilities. Now, a third trend is expanding the scope of environmental protection even further to protect another party wrestling with potential environmental liabilities – financial institutions.