Exclusions loom as D&O renewals impacted by pandemic

Exclusions loom as D&O renewals impacted by pandemic

Exclusions loom as D&O renewals impacted by pandemic

The coronavirus pandemic is further hardening the D&O market, which is beginning to apply more restrictive terms and conditions with Covid-19 exclusions on the horizon, according to brokers and insurers. The coronavirus outbreak is adding pressure to the D&O market, which had already hardened globally for more than 18 months ahead of the outbreak, according to Nicky Stokes, head of…

Construction firms with loss history may struggle to secure full PI cover

Construction firms with loss history may struggle to secure full PI cover

Construction firms with loss history may struggle to secure full PI cover

There are concerns that construction companies with a poor loss history or inadequate risk management will not able to buy professional indemnity (PI) cover as hard market conditions spread around the world. The warning comes as a leading construction risk manager said blanket rate increases currently being offered by the PI market are simply not taking into account underlying risk…

QBE to raise A$1.3bn to cover virus-linked uncertainty and prepare for opportunities

QBE to raise A$1.3bn to cover virus-linked uncertainty and prepare for opportunities

QBE to raise A$1.3bn to cover virus-linked uncertainty and prepare for opportunities

QBE plans to raise A$1.3bn to protect itself against expected reductions in revenues in various countries in which it operates, as they struggle to cope with the forecast global recession caused by the coronavirus. The group said the new funds would lift its regulatory capital to the top of its target range in view of the “economic and investment market…

Ed moves into transactional risk space

Ed moves into transactional risk space

Ed moves into transactional risk space

Ed has launched a transactional risk unit, appointing Niraj Perera as head of the operation within the broker’s professional and executive risk team. Mr Perera joins from Arthur J Gallagher and has more than 20 years’ experience in the insurance industry. At Ed he will focus on providing bespoke insurance solutions in M&A transactions, including warranty and indemnity, tax liability…

World Bank pandemic bonds will be triggered if virus cases escalate in developing world

World Bank pandemic bonds will be triggered if virus cases escalate in developing world

World Bank pandemic bonds will be triggered if virus cases escalate in developing world

The World Bank’s pandemic bonds, which could provide $132.5m of funds to countries within the International Development Association (IDA) and International Bank Reconstruction and Development (IBRD), will be triggered and paid out – but only if reported cases of coronavirus continue to escalate rapidly in the developing world, as cases in China and Europe show welcome signs of plateauing. Credit…

AXA XL’s Harris to replace Pryce as CEO of QBE international

AXA XL’s Harris to replace Pryce as CEO of QBE international

AXA XL’s Harris to replace Pryce as CEO of QBE international

AXA XL’s Jason Harris will replace QBE’s CEO of international business Richard Pryce, who is retiring at the end of this year. Mr Harris was CEO of global property and casualty at AXA XL with responsibility for financial lines, construction, engineering, ART and risk engineering. He will take on his new role in the fourth quarter and report to QBE’s…

BI coverage biggest concern for Marsh clients as Covid-19 exposures mount

BI coverage biggest concern for Marsh clients as Covid-19 exposures mount

BI coverage biggest concern for Marsh clients as Covid-19 exposures mount

Cover for Covid-19 business interruption (BI) losses is the biggest concern for Marsh clients currently, as many come to realise that standard property damage and BI policies likely lack any trigger. Even losses covered by non-damage BI extensions will be a matter of significant debate, Marsh said. Clarissa Franks, head of placement, risk management at Marsh, speaking at a recent…

DAC gives advice for D&Os under mounting coronavirus risks

DAC gives advice for D&Os under mounting coronavirus risks

DAC gives advice for D&Os under mounting coronavirus risks

The Covid-19 pandemic has exposed company directors to heightened legal and directors and officers (D&O) risk, from liabilities for wrongful trading to breach of fiduciary duties, with a fine line between the two, according to a briefing note from DAC Beachcroft. The pandemic has mothballed many businesses, putting them under financial distress and presenting directors with difficult decisions about whether…

New GB head of Finex D&O for Willis Towers Watson

New GB head of Finex D&O for Willis Towers Watson

New GB head of Finex D&O for Willis Towers Watson

Willis Towers Watson’s (WTW) GB financial lines and executives risk team (Finex) has appointed Eve Richards as its new GB head of Finex D&O, and Angus Duncan as executive director and coverage specialist. According to WTW, they will be tasked with working with large complex clients on structuring “long-term sustainable placements in a move that reflects the need for a…

Risk managers need to prepare for attacks on D&O policies as virus bites

Risk managers need to prepare for attacks on D&O policies as virus bites

Risk managers need to prepare for attacks on D&O policies as virus bites

Directors and officers of companies that suffer losses or even bankruptcy as a result of coronavirus are likely to face legal assaults from creditors on the basis of inadequate disclosure of risks and failure to react adequately during the crisis, warned Julia Zhu, associate in the finance practice at Brattle Group. “There may be causes of actions against a company’s…