Commentary in Mealey's Litigation Insurance Solvency Report: Overview Of COVID-19-Related Legislative, Regulatory, & Litigation Activity & The Potential Impact On Insurer Solvency
In a new commentary published in Mealey's Litigation Report: Insurance Insolvency, Scott Seaman—the co-chair of the firm's global Insurance Services Practice Group—and Judy Selby review the "recent frenzy" of COVID-19-related legislative proposals, regulatory activity, and business interruption coverage claims currently impacting the insurance industry.
In discussing these activities in detail, the authors point out that "short-sighted initiatives that undermine the sanctity of insurance contracts and interfere with the risk assumption and transfer mechanisms pose a threat to the insurance industry." They suggest that legislative attempts to force insurers to provide coverage for business interruption claims threaten to undermine the insurance regulatory structure, fail to account for potential reinsurance ramifications, and put the solvency of insurers into question.
Read the full Mealey's Litigation Report: Insurance Insolvency Commentary (PDF)
"An Overview Of COVID-19 Related Legislative, Regulatory, & Litigation Activity & The Potential " was published by Mealey's Litigation Report: Insurance Insolvency, April 24, 2020.