Director Liability: Managing Risk & Avoiding Landmines
Please join us as we review the latest litigation and enforcement threats against directors and officers, and describe how insurance policies are—or are not—adjusting to address them. Topics we will discuss include:
• Individuals in the bullseye: the DOJ’s Yates memo. Stung by criticism it has been too soft on corporate executives, the Department of Justice last year adopted new policies that incentivize companies to throw “culpable individuals” under the bus. We’ll look at how these policies work in practice, and their implications for D&O insurance coverage, including “Side A” policies.
• What to do when the regulators come knocking. No matter what your industry, federal and state regulatory investigations are on the rise. State AGs, the Federal Trade Commission and the Consumer Financial Protection Bureau have brought new rigor to investigations of consumer fraud, while the Securities Exchange Commission has begun to target private as well as public companies. Insurers long resisted providing coverage for regulatory investigations, but that has changed. We’ll review the latest and greatest products on the market.
• Data breach dreams. Corporate boards breathed a sigh of relief in 2014, when a federal court dismissed claims that Wyndham’s directors breached their fiduciary duties by failing to protect the company from a series of data breaches. But satisfying the standards set by the Wyndham case may not be easy, and it will not be the last word on the subject. We’ll outline the evolving D&O standards in this area, and offer a cyberliability “checklist” you can use to see if your coverage measures up.
• Top 5 mistakes in working with claims examiners. Litigation is a huge distraction for any business especially for the executives trying to run it. In the midst of chaos, keeping your insurer involved and up to date may seem like a low priority. It isn’t. We’ll tell you how to avoid the 5 top mistakes that can jeopardize coverage.
Location and Time
Top of the Tower
Three Logan Square, 1717 Arch Street, 50th Fl
Philadelphia, PA 19103
7:30-8:00AM Breakfast and Networking
8:00-9:00AM Featured Program
Steve AbramsAs a member of the Global Life Sciences Leadership Team at Hogan Lovells, Steve Abrams works with clients in many areas of the life sciences ecosystem, such as oncology therapies, pain products, dermatology therapies, vaccines, diagnostics, medical devices and drug/device combinations, orphan drugs, and gene therapies. He also counsels a variety of companies that provide services to the life sciences industry. Steve has successfully negotiated and completed a range of life sciences transactions, with a particular focus on capital market offerings (IPOs, follow-on offerings, ATMs, RDOs, PIPES, and private placements), collaboration/licensing transactions, and M&A transactions. Additionally, he regularly advises public and privately held clients, including boards of directors, on securities, governance, transactional, and a range of other complex issues. Steve is a member of the board of directors of inTEST Corporation (NASDAQ: INTT) and is also a member of inTEST's Executive, Audit, and Compensation Committees. He is Chair of its Nominating Committee as well. Steve is also a member of the board of directors of the National Association of Corporate Directors - Philadelphia Chapter. He has lectured in front of various groups and published articles on securities, governance, and M&A issues.
David NewmannDavid Newmann co-heads our Insurance Litigation Group and manages the Philadelphia office litigation team. He helps clients navigate and win — or, even better, avoid — white-knuckle commercial litigation. Dave's experience runs the gamut. His cases include complex insurance coverage and "bad faith" litigation, consumer class actions, disputes under IT, manufacturing and distribution agreements, director & officer (D&O) litigation, and bankruptcy and insolvency proceedings. Focusing on the insurance and telecommunications sectors, Dave uses his courtroom experience and business-oriented approach to solve litigation problems for key clients in other industries as well, such as manufacturing, industrial equipment, financial services, and food. Dave's insurance practice reaches every corner of the market. He knows his way around D&O, errors & omissions (E&O), cyber, fiduciary, M&A representation and warranty, crime/fidelity, commercial general liability, commercial property, and personal lines policies. He manages exposures ranging from sprawling securities and M&A litigation to products liability and personal injury mass torts. He works with clients to write and revise insurance contracts, evaluate emerging risks, analyze existing coverage programs, and resolve insurance regulatory issues. David is also the Pro Bono Liaison for our Philadelphia office. Prior to joining the firm in 1994, David served as a law clerk to the Honorable John W. Reynolds of the U.S. District Court for the Eastern District of Wisconsin.
Derek LakinDerek is a Senior Vice President in the Financial Services team for Lockton’s Northeast operations. He is responsible for the placement and servicing of D&O, E&O, Crime, Fiduciary Liability, GPL, EPL and Cyber programs for various commercial, financial institution and private equity clients. Prior to joining Lockton in 2011, Derek spent more than 17 years with Marsh; most recently serving as SVP and Team Leader for the broker’s New York City Commercial FINPRO Team. His responsibilities at Marsh included the placement and servicing of predominately Fortune 500, large/mega cap, and large private company business in the executive liability arena. Derek holds bachelor’s degrees in Finance and Management from Bryant University.
Damon BendeskyDamon is Practice Leader for Marsh’s FINPRO operation in Philadelphia. In this role, he is responsible for overseeing and collaborating with the team in developing strategies and delivering solutions on behalf of Marsh clients in the realm of directors and officers liability, cyber, professional liability, employment practices liability, fiduciary liability, and crime insurance. In particular, Damon specializes in the industries of health care, financial institutions, defense and technology. Damon has 25 years of brokerage experience specializing in executive and professional liability for companies and organizations that run the gamut, including complex not-for-profit organizations, privately-held companies, IPO’s, and Fortune 100 multi-national corporations. Damon has a BS in marketing, Syracuse University School of Management.
Tony GalbanTony Galban is senior vice president and global underwriting manager responsible for the directors and officers (D&O) liability business for Chubb Specialty Insurance (CSI). CSI is the Warren, N.J. based executive protection and professional liability underwriting division of The Chubb Group of Insurance Companies. CSI is one of the top two providers of D&O liability insurance in the marketplace. With more than $1 billion in worldwide annual premium, D&O is CSI’s largest line of business. Widely sought as an industry speaker, author, and commentator on D&O liability, Tony served as a co-chair of the Professional Liability Underwriting Society’s (PLUS) D&O Symposium from 2008 to 2011. In addition, he was named Advisen’s 2015 USA D&O Industry Person of the Year. He previously worked in various D&O underwriting capacities for Executive Risk, which was acquired by Chubb in 1999. Before that he worked for nine years at Aetna Life & Casualty as both a casualty underwriter and as a senior product specialist for general liability coverage. Tony is a graduate of Wesleyan University (Conn.).