The case of Standard Life Assurance v Oak Dedicated Ltd & Ors [2008] EWHC 222 concerned an action brought by the insured against its underwriters, who had subscribed to a policy which provided the insured with liability cover of £75million in excess of £25million. The insured claimed an indemnity under the policy, which contained a provision permitting the aggregation of claims arising from one originating cause or source. 

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Read More English High Court Considers Aggregation Clauses

The FSA’s TCF initiative is a core part of its move to more principle based regulation. It is intended to compel firms to review their treatment of customers and to change their behaviour to deliver improved outcomes for consumers so they believe they are being treated fairly no matter which firm they are dealing with. The aim is for TCF to be embedded within the culture of all firms. 

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Read More UK: FSA Announces More Help for Small Firms on Treating Customers Fairly (TCF)

A members’ meeting of the Committee of European Insurance and Occupational Pensions Supervisors (CEIOPS) recently discussed two important Solvency II project’s draft Advices to the European Commission. 

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Read More EU: CEIOPS Meeting Discusses Draft Advice to European Commission on Key Solvency II Issues

On February 11, 2008, Judge Colleen Kotelly of the United States District Court for the District of Columbia appointed the Lerach, Stoia, Geller, Rudman & Robbins law firm as lead plaintiffs’ counsel in a securities class action arising out of Standard & Poor’s allegedly fraudulent rating of certain bonds collateralized by subprime mortgages. 

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Read More D.C. Federal Court Names Lead Counsel in Standard & Poor’s CMO Securities Class Action

As part of raising the proposed $1 billion Upstate Revitalization Fund in New York Governor Eliot Spitzer’s Executive Budget, Spitzer has requested that surcharges on all automobile policies issued in New York be raised by $15; the current surcharge is $5. 

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Read More New York Governor Spitzer Proposes Additional $15 Fee On All Auto Policies

On February 12, 2008, the Michigan Senate voted 36-0 to amend the state’s Insurance Code to provide for the creation of captive insurance companies.  If passed by the Michigan House of Representatives and signed by the governor, the new legislation, S.B. 1061, would provide for the formation of captive insurance companies (“Captives”), special purpose financial captives (“SPFCs”) and protected cell insurance companies. 

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Read More Michigan Senate Passes Captive Bill

From time to time, we are asked about the prevalence of arbitration over litigation as a forum for resolving reinsurance disputes.  Vince Vitkowsky recently conducted a survey of the attorneys at Edwards Angell Palmer & Dodge, LLP,  in both the US and England, as to to their experience. 

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Read More Reinsurance Arbitration Predominates

The recent decision in the staged trial of the conjoined actions of Standard Life Assurance Ltd v Oak Dedicated and others and Standard Life Assurance Ltd v (1) Aon Limited (formerly known as Aon Group Limited) (2) Reynolds Porter Chamberlain [2008] EWHC 222 (Comm) has endorsed previous authorities concerning the scope of brokers’ duties. 

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Read More The English High Court has Re-Addressed the Topic of Brokers’ Duties

In the case of Kylie Palmer v Estate of Kevin Palmer (deceased) and others [2008] EWCA Civ 46, the Court of Appeal has refused to overturn a decision forcing Royal Sun Alliance (RSA) to pay the opposing parties’ costs personally. The claim arose after a six year old girl was severely injured in an automobile accident. 

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Read More The English Court of Appeal has Forced an Insurer to Pay the Opposing Parties’ Costs Personally

Florida Insurance Commissioner Kevin McCarty (McCarty) announced this week that the Office of Insurance Regulation (OIR) has filed an administrative complaint seeking to suspend the certificates of authority of numerous Allstate Companies to write new insurance policies in Florida. 

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Read More Florida Office of Insurance Regulation Files Formal Complaint to Suspend Allstate Companies’ Licenses