Effective October 26, 2007, the U.S. Foreign Investment and National Security Act of 2007 (“FINSA”) will amend the Exon-Florio review process to place more scrutiny on foreign acquisition of U.S. companies.  FINSA was prompted by national security concerns that arose after the proposed acquisitions of U.S. ports by a Dubai-owned company and of UNOCAL by China. 


Read More Exon-Florio Reviews Amended by the U.S. Foreign Investment and National Security Act of 2007

It was widely reported this week that insurance broker Marsh & McLennan Cos. is attempting to amend its landmark 2004 settlement with insurance regulators and the New York State Attorney General’s Office that required it to give up so-called contingent commissions. 


Read More Marsh Seeks to Amend 2004 Settlement to Allow New Fees

In a case of first impression, the Massachusetts Supreme Judicial Court (“SJC”) ruled on August 6, 2007 that a “follow-form” excess liability insurer is not bound by the decision of a primary insurer to settle a claim. 


Read More Massachusetts: Excess Insurers Not Bound To Follow The Settlement Decisions Made By A Primary Carrier

Animal Friends Insurance (“Animal Friends”), a UK nonprofit pet insurance specialist, has partnered with Liverpool Victoria to introduce a novel term life insurance product that gives vegetarians and fish-eaters an average discount of six percent on premiums. 


Read More New United Kingdom Life Insurance Product Offers Vegetarians Discount

An intermediate Alabama court of appeals recently held that an automobile insurer properly denied underinsured motorist benefits where it had received only ten days notice of potential settlement of the underlying litigation.  Morgan v. Safeway Ins. Co. of Alabama, Inc., 2007 WL 1866768 (June 29, 2007). 


Read More Alabama Appeals Court Finds Ten Days Not Reasonable Notice of Settlement Under Auto Insurance Policy

A Massachusetts court recently ruled that a “good health” requirement in a life insurance policy must be interpreted based upon what the contracting parties knew at the time the policy was issued (a subjective test), not based upon what in fact turned out to be true based on discoveries made at a later date (an objective test). 


Read More Massachusetts Court Applies Subjective Test Concerning Good Health Requirement In Life Insurance Policy

Massachusetts’ highest court recently formally recognized joint defense agreements as an exception to waiver of the attorney-client privilege under the common interest doctrine.  Hanover Ins. Co. v. Rapo & Jepsen Ins. Svcs., Inc., Docket No. SJC-09780 (August 3, 2007). 


Read More Massachusetts Recognizes Common Interest Doctrine, Joint Defense Privilege

Last week, the Senate Baking, Housing, and Urban Affairs Committee, in a voice-vote, approved a bill (The Commission on Natural Catastrophe Risk Management and Insurance Act of 2007) that would create a national commission to examine natural disaster risks. 


Read More Senate Committee Approves Bill to Create Natural Disaster Commission