Last month, the United States Securities and Exchange Commission (“SEC”) issued a release (“Release”) setting forth a roadmap (“Roadmap”) for the potential use by U.S. issuers of financial statements prepared in accordance with International Financial Reporting Standards (“IFRS”), as issued by the International Accounting Standards Board, rather than statements prepared in accordance with U.S. GAAP accounting standards. 

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Read More SEC Proposes Roadmap for the use of International Financial Reporting Standards

The FSA has banned two insurance agents after it was found that they had issued hundreds of policies purportedly underwritten by companies which were not authorised to carry out insurance business in the UK. 

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Read More UK: FSA Bans Agents for Illegal Trading with Unauthorised Overseas Companies

A company has been incorporated to manage China’s insurance protection fund (IPF) (previously controlled by the China Insurance Regulatory Commission (CIRC)) as part of its response to the global financial problems. The IPF protects policyholders when insurers go bankrupt and also companies that take over insolvent insurers. …
Read More HK: Company Set Up to Control China’s Insurance Protection Fund

The Antitrust Division of the Department of Justice has concluded that competition in the insurance market is likely to be enhanced, rather than harmed, by a proposed consortium of commercial insurers who will pool their resources to offer large commercial insurance policies worth a minimum of $250 million. 

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Read More Consortium of Insurers to Pool Their Resources To Offer Coverage in Excess of $250 Million Receives Antitrust Approval

A Washington district court recently held that an insurer’s conduct and communications during a mediation were discoverable in a subsequent bad faith lawsuit brought against the insurer by another insurer in its status as the insured’s subrogee. 

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Read More Insurer’s Conduct And Communications At Mediation Are Discoverable In Subsequent Bad Faith Litigation

As part of the Treasury’s effort to inject capital into the credit markets, the Treasury initiated the Capital Purchase Program (“CPP”) in October.  Access to the CPP was expanded on November 17, 2008 to include certain privately-held companies. …
Read More The U.S. Department of the Treasury Term Sheet for Privately Held Financial Institutions Applying for the Capital Purchase Program

As reported in a previous post, the new Massachusetts security regulations affect almost every employer in the Commonwealth and many other companies with other relationships with Massachusetts residents.  They will require significant security and other policy changes, including encryption of laptops and wireless communications containing personal information. 

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Read More Extension of Robust New Massachusetts Security Rules – What is Needed Now to Comply by May 1

The Decision On 21 November, Mr. Justice Burton handed down his long-awaited decision in the six test cases comprising the Employers’ Liability Policy ‘Trigger’ Litigation. 

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Read More Client Advisory – UK Employers’ Liability Policy “Trigger” Litigation

The Eighth Circuit Court of Appeals recently upheld an exclusion in a D&O policy barring coverage for suits against officers and directors arising out of the underwriting and sales of securities.  Leonard v. Executive Risk Indemnity, Inc., No. 07-1327 (8th Cir. Oct. 27, 2008). 

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Read More D&O Policy Exclusion Barring Coverage for Securities Suits is not Limited to Only the Insured’s Securities

In congressional testimony before the House Agriculture Committee on Thursday, November 20, 2008, New York Superintendent of Insurance Eric Dinallo announced that New York is postponing its plans to regulate certain credit default swap contracts (“CDS Contracts”) as insurance. …
Read More N.Y. Reconsiders Regulating Credit Default Swaps as Insurance