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24th National Conference on Employment Practices Liability Insurance

Views from the Brokers/Carriers on Claims Trends, New Products Entering into the Market, Underwriting

Considerations, Plus Insights on the Defense Counsel Panel!

January 28-29, 2016

Tweeting about this conference?

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IntroductionsModerator:

Mercedes Colwin, Esq., Managing Partner, NY Office

Gordon & Rees, LLP

Panelists:

Daniel Aronowitz, Managing Principal, Euclid Specialty Managers

Raymond Cashman, Esq. Director, Nationwide

Julia Keenan, Vice President , Zurich North America

Carolyn Leder, Esq., Assistant Vice President , Aspen Insurance

Julie Levinsohn

Senior Claims Consultant, The Hartford

Joni Mason

Vice President and National Practice Advisor, Wells Fargo Insurance Services

Paul Nash, Underwriter- Management Liability Specialty Lines, Beazley Group

Anthony Rapa, Assistant Vice President and FINEX Claim Advocate

Willis Towers Watson

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Workplace Surveillance

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Build long-term relationships between the parties

• Negotiate – good clients & companies understand they have to work together

• Partnering – having a good broker & insurance company is one of the best strategies while dealing with a hard market

• Cost – a few dollars more won’t make much of a difference when it comes to the survivability of the company

• Market Segments (Private and nonprofit D&O)

• Moving towards panels

How are brokers approaching the market?

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• Cost

• Claims departments

• What types of policies their business needs

• What the policies cover

• Managing choice of counsel

• Litigation control

• Tensions in handling claim

What are Insureds most Concerned About?

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Conflicts Between Insurers & Insured That Require Intervention

• How the claim is defended

• Coverage issues

• Late reporting of claim

• Choice of Counsel

• Reservation of Rights

• Allocations

• Covered/Uncovered Claims

• Breach of Contract

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What Specific Drivers Underlie The Purchase Of EPLI From The Insured’s Perspective?

•Protected Categories•Media•Wage and Hour•Warn-RIFS•International or Global Concerns•Privacy•Workplace Violations by Third Parties•Social Media•Workplace bullying

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The Ideal Insured

Companies that have:

• Centralized Human Resources

• Hiring Committee

• Handbooks

• Training

• Risk Prevention Policies

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Insureds’ in Difficult IndustriesCasinos

RestaurantsRetailers

Medical/Dental Facilities & HospitalsFinancial Institutions

Professionals Auto Dealerships

Real Estate/Property ManagersFitness Centers

SpasNail Salons

Oil & Gas Industries

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Most Problematic Claims To Resolve

• Class Action

• Pattern & Practice

• Insureds Perspective differs from reality

• EEOC Involvement

• Perceived Slippery Slope

• Headline Risk

• Emotional claims component

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Special Considerations in the EPLI Marketplace

Number and Location of employees

Size of business

Location of business

Type of business

Employer’s HR practices

Claims history

Financials

Corporate Culture

SIR

Salary Ban

Frequency v. Severity

Years in existence

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• Family Medical Leave Act

• Pregnancy

• Website & Accessibility

• Legalization of Marijuana

• Background Checks (FCRA)

• Wage and Hour

• Workplace Violence

New and Cutting Edge Coverage

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What Exclusions Exist in the Market?

EPLI policies generally limit or exclude coverage for the following:

•Occupational Safety and Health Act Violations

•Fair Labor Standards Act Violations

•State Employment Law Violations

•Consolidated Omnibus Budget Reconciliation Act Violations

•Employee Retirement Income Security Act Violations

•Certain Americans With Disabilities Act Claims

•Intentional Institutional Claims

•Breach of Contract

•Catch All- WARN, IRCA, and EPA

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Insuring U.S. Companies with Foreign Locations

What special considerations exist?

Lay-Offs in Foreign LocationsDifference in Protected Classes Where is the claim filed? Importance of Local Legal Contacts

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Carrier offerings to help the Insured Risk?

• EPL Coverage• Access to Claims Departments• Access to Underwriters• Expert Defense Counsel• Risk Management Services

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Risk Management Extras

• Hotline (Limited or Unlimited?)- Usage?

• Websites with forms; templates, guidance

• Webinars

• Sample policies

• News Feed

• State/Federal Local laws

• Newsletter

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Questions

Or

Comments

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24th National Conference on Employment Practices Liability Insurance

Views from the Brokers/Carriers on Claims Trends, New Products Entering into the Market, Underwriting

Considerations, Plus Insights on the Defense Counsel Panel!

January 28-29, 2016

Tweeting about this conference?