On 24 October 2007, Michael Bright, the former chief executive of Independent Insurance Company, was convicted by jury trial of two charges of conspiracy to defraud. Former deputy managing director, Philip Condon, was found guilty on one count of fraud but was cleared on another, while the ex-finance director, Dennis Lomas, was found guilty of two fraud offences.
Jurisdictions
Texas Department of Insurance Recommends Unauthorized Insurance Guaranty Fund
By Troutman Pepper Locke on
In the Biennial report of the Texas Department of Insurance (the “TDI”) to the 81st Texas Legislature, a recommendation was submitted to create an unauthorized insurance guaranty fund. …
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Update on Use of Credit-Scores by Insurers in Underwriting
By Troutman Pepper Locke on
As we have previously reported here, here and here, the use of credit scores by insurers is a controversial topic.
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Colombia: Premiums and Earnings Rise in 2008
By Troutman Pepper Locke on
Posted in Latin American Developments, United States
Colombian financial regulator Superfinanciera has released premium and earnings figures for insurance companies for 2008, showing that both total premiums and earnings rose significantly, led by the life insurance sector. …
Read More Colombia: Premiums and Earnings Rise in 2008
Healthcare Reform Initiative Creeps Forward
By Troutman Pepper Locke on
Posted in Healthcare, United States
This week, President Barack Obama nominated Kansas Governor Kathleen Sebelius as Secretary of Health and Human Services. He also appointed Nancy-Ann DeParle “health czar” (a/k/a chief of the White House office on health reform).
Merrill Lynch Auction Rate Securities Suits Continue Despite Regulatory Settlements
By Troutman Pepper Locke on
Posted in D&O Liability, United States
Despite its settlement with regulators, two new Auction Rate Securities (“ARS”) suits have recently been filed against Merrill Lynch. Unlike the suit against UBS filed last November by investors alleging the regulatory settlements would not provide them with suitable relief (see here), these suits are brought by investors who do not qualify for payments from the regulatory settlements.
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Read More Merrill Lynch Auction Rate Securities Suits Continue Despite Regulatory Settlements
UK: Regulation – Financial Services Authority Letter to CEOs Re Single Premium Payment Protection Insurance (PPI) with Unsecured Personal Loans
By Troutman Pepper Locke on
Following on from its statements of 30 September 2008 and 20 January 2009 (see our previous blog on this statement here) suggesting firms may wish to stop selling single premium PPI, the FSA has sent a letter to CEO’s requesting that if they have not already done so, to stop selling single PPI with unsecured personal loans as soon as possible and in any event no later than 29 May 2009.
UK: Association of British Insurers Argues Against Age Restriction in Equality Bill
By Troutman Pepper Locke on
Posted in Regulatory, United Kingdom
The Association of British Insurers (ABI) has published a report warning that customers are likely to face higher premiums and less choice if insurers are restricted from using age to help assess risk under proposed legislation. …
Read More UK: Association of British Insurers Argues Against Age Restriction in Equality Bill
Wyeth v. Levine: U.S. Supreme Court Rejects FDA Labeling Preemption Argument, Likely Increasing Defense Costs for Many Pharmaceutical Product Liability Claims
By Troutman Pepper Locke on
By a 6-3 vote, the United States Supreme Court yesterday found that state law claims for failure to include an adequate warning on a pharmaceutical label are not preempted by the federal Food and Drug Administration’s (“FDA”) prior approval of the product’s label.
U.S. District Court for the Southern District of New York Confirms Arbitration Award
By Troutman Pepper Locke on
In a recent decision of the United Stated District Court for the Southern District of New York, Global Int’l Reinsurance Co. v. TIG Ins. Co., 08 Civ. 7338 (JSR) (S.D.N.Y. Jan 20, 2009), the court granted a cedent’s petition to confirm an arbitration award and denied a reinsurer’s motion to vacate the award in part.
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Read More U.S. District Court for the Southern District of New York Confirms Arbitration Award