The National Association of Insurance Commissioners (“NAIC”) has released a derivatives risk mitigation proposal (“Proposal”) prepared by the American Council of Life Insurers (“ACLI”) for interim comment.  The Proposal would modify the formula for calculating risk-based capital (“RBC”) to reflect insurers’ use of derivatives to hedge  the risks of default or adverse change in fair market value to fixed income securities and common stocks. …
Read More NAIC Releases Derivatives Risk Mitigation Proposal for Comment

EAPD’s New York office will host an Insurance Federation of New York (IFNY) Breakfast on Thursday, September 30, 2010 featuring New York State Insurance Department’s Deputy Superintendent and General Counsel, Martha A. Lees.  As General Counsel, Lees advises the Superintendent and other officers of the Department regarding a wide array of legal matters and is responsible for supervision of the Office of General Counsel. …
Read More Prominent New York State Insurance Department Official to Speak at IFNY Event

As previously reported in this blog, President Obama signed into law the Comprehensive Iran Sanctions, Accountability and Divestment Act of 2010 (the “Iran Sanctions Act”) in July, following the less stringent sanctions passed earlier by the U.N.  For a more detailed discussion of the Iran Sanctions Act, see here.  Canada, the European Union and Australia soon followed with similar sanctions aimed at Iran’s financial and energy sectors. …
Read More Lloyd’s Market Drafts Exclusion to Ensure Compliance With Iran Sanctions

As a reminder, the U.S. Reinsurance Under 40s Group event will be hosting an event at the rooftop of Hotel Indigo on August 26, starting at 5:30.  The rooftop promises great views of New York and an opportunity to network with others in the industry. …
Read More Reminder: Please Join the U.S. Re Under 40s Group on August 26 in New York

In Citibank, N.A. v. Stok & Associates, P.A., No. 09-13556 (11th Cir. July 20, 2010), the United States Court of Appeals for the Eleventh Circuit ruled that a party did not waive its right to compel arbitration even though it initially participated in the court proceeding. …
Read More Eleventh Circuit Rules that Party Did Not Waive Its Right to Arbitrate

The California Department of Insurance (the “CDI”) has issued a notice establishing deadlines for all applications seeking approval by 2010 year-end.  Corporate applications must be received by September 17, 2010.  Holding company applications must be received by October 29, 2010. …
Read More California Sets Deadlines for 2010 Application Reviews

Nearly three years after a federal district court dismissed with prejudice a nationwide class action alleging antitrust and RICO claims against insurers and brokers in connection with contingent commission arrangements, the Third Circuit Court of Appeals has revived a limited swath of plaintiffs’ claims.  The Third Circuit concluded that plaintiffs’ allegations regarding contingent commission arrangements alone were insufficient to support antitrust and RICO claims. …
Read More Third Circuit Revives Limited Portions of In Re: Insurance Brokerage Antitrust Litigation (MDL 1663)

Plaintiff Hartford Steam Boiler Inspection and Insurance Company (“Hartford”) appealed a decision permitting a court to remand a dispute over an arbitral award to the arbitration panel for clarification of that award.  Hartford argued that the court’s holding was overruled by the U.S. Supreme Court’s decision in Hall Street Associates, LLC v. Mattel, Inc., 552 U.S. 576 (2008). …
Read More Connecticut State Court Finds that a Court is Permitted to Remand an Arbitration Award to Panel for Clarification Post-Hall Street

The next U.S. Re Under 40s Group event will be at the rooftop of Hotel Indigo on August 26, starting at 5:30.  The rooftop promises great views of New York and an opportunity to network with others in the industry. …
Read More Join the U.S. Re Under 40s Group on August 26 in New York

In late July 2010, the Eighth Circuit Court of Appeals held that an insurer that issued  a General Liability policy and an Information and Network Technology Errors or Omissions Liability policy must provide a defense to its insured under both policies for a claim that alleges the insured infected the underlying claimant’s computer with a spyware program, allegedly affecting the operation of the computer. …
Read More Eighth Circuit Rules That General Liability Insurer Must Defend Claim for Lost Use of Personal Computer Under Both General Liability Policy and Information and Network Technology Errors or Omissions Liability Policy