Beazley unveils streamlined insurance policy for media and tech industry

New York, May 28, 2019 (GLOBE NEWSWIRE) — Specialist insurer Beazley has updated its MediaTech insurance policy to keep pace with the rapidly evolving technology market and cyber threat landscape faced by firms as they seek to innovate and grow.

Media and technology businesses are at the forefront of developing and applying new tools and systems. They need assurance that they are not only covered by a policy but also supported by expert risk management services that help reduce their exposure.

The Beazley MediaTech policy has been streamlined to provide clear and concise wording and seamless protection, combining comprehensive errors and omissions (E&O) and media liability insurance with cyber coverage.

As well as accessing Beazley’s newest, more comprehensive E&O coverage, businesses will benefit from our team’s experience in managing thousands of claims. E&O claims have involved software failures, hardware defects, implementation errors and downtime, as well as intellectual property rights and personal injury disputes arising from media content.

Beazley’s E&O and media coverage includes:

  • Broad professional liability to address the need to cover non-technology professional services
  • Unintentional breach of contract for professional liability exposure
  • Online and offline media, including content published on social media
  • A wide range of trade secret misappropriation claims
  • Unfair competition alleged with copyright or trademark infringement
  • Mental anguish and emotional distress
  • Defamation, invasion of privacy and plagiarism.

Cyber coverage has also been incorporated into the policy. This includes:

  • breach response costs
  • first-party coverage for cyber extortion
  • data recovery costs
  • business interruption and dependent business interruption resulting from security breaches and system failures
  • e-crime coverage for fraudulent instruction fraud, funds transfer fraud and telephone fraud.

To ensure clients can reduce their cyber exposure and be prepared in the event they fall victim to a breach, Beazley offers access to a full suite of pre-breach and risk management services through our in-house Beazley Breach Response Services team.

Bob Wice, Beazley’s head of US cyber & tech, said: “Beazley MediaTech has been designed to protect firms that are at the cutting edge of using and developing new technology in exciting and often experimental ways. We’ve enhanced our offering to ensure it keeps pace with the evolving risk landscape.

“Our policy is underpinned by a market-leading claims service, provided by our cyber & tech claims team, which understands the liabilities technology companies face and will provide first-class support in the event of a loss.”

Note to editors:

Beazley plc (BEZ.L) is the parent company of specialist insurance businesses with operations in Europe, the US, Canada, Latin America and Asia. Beazley manages six Lloyd’s syndicates and in 2018 underwrote gross premiums worldwide of $2,615 million. All Lloyd’s syndicates are rated A by A.M. Best.

Beazley’s underwriters in the United States focus on writing a range of specialist insurance products. In the admitted market, coverage is provided by Beazley Insurance Company, Inc., an A.M. Best A rated carrier licensed in all 50 states. In the surplus lines market, coverage is provided by the Beazley syndicates at Lloyd’s.

Beazley is a market leader in many of its chosen lines, which include professional indemnity, property, marine, reinsurance, accident and life, and political risks and contingency business

District research finds cost of basic insurance more in B.C. than in other provinces

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Court rules B.C. can’t limit oil shipments in major blow for pipeline fight

By Laura Kane

THE CANADIAN PRESS

VANCOUVER _ British Columbia lost the largest tool in its toolbox to halt the Trans Mountain pipeline expansion with a court decision Friday that concluded it can’t restrict oil shipments through its borders.

The unanimous ruling from the B.C. Court of Appeal represented a major win for the project, which the federal government and Alberta see as crucial to getting more oilsands crude to overseas markets.

B.C.’s minority NDP government, which took power on a promise to use every tool available to stop the expansion, swiftly announced plans to appeal to the Supreme Court of Canada.

“Our government said from the outset that we would stand up for British Columbia’s environment, our economy and our coast,” said Attorney General David Eby.  “Thousands of jobs and billions of dollars in economic activity would be put at risk by a diluted bitumen spill.”

The province filed a constitutional reference question to the Appeal Court that asked whether it had the authority to create a permitting regime for companies that wished to increase their flow of diluted bitumen.

A five-judge panel agreed that the amendments to B.C.’s Environmental Management Act were not constitutional because they would interfere with the federal government’s exclusive jurisdiction over interprovincial pipelines.

Justice Mary Newbury wrote on behalf of the panel that the overall aim of the proposed amendments was to place conditions on and, if necessary, prohibit the movement of heavy oil through a federal undertaking.

Newbury also wrote that the legislation is not just a general environmental law, but is targeted at one substance in one interprovincial pipeline: the Trans Mountain expansion project.

“Immediately upon coming into force, it would prohibit the operation of the expanded Trans Mountain pipeline in the province until such time as a provincially appointed official decided otherwise,” she said.

“This alone threatens to usurp the role of the (National Energy Board), which has made many rulings and imposed many conditions to be complied with by Trans Mountain for the protection of the environment.”

The energy board is the body entrusted with regulating the flow of resources across Canada to export markets, Newbury wrote.

B.C. argued that the proposed amendments were meant to protect its environment from a hazardous substance, while the federal government and Alberta said the goal was to block Trans Mountain.

Alberta Premier Jason Kenney said the decision is an occasion for “real hope” for hard-working people and the project will allow his province to realize a fair price for its resources and create new jobs.

“In light of the court’s decision, we hope that the B.C. government will respect the rule of law and end its campaign of obstruction,” he said.

Kenney also said the expansion could provide much-needed relief at B.C. pumps. Premier John Horgan has disputed that the project would ease sky-high gas prices, noting its purpose is to transport heavy oil for shipment overseas.

Trans Mountain Corp. said it agreed that the legislation was unconstitutional and it shares the value that Canadians and B.C. residents place on the environment.

Eby said his government originally asked Canada to join it in a reference case before the Supreme Court. The federal government declined, so B.C. had to first file its case with the provincial Appeal Court, he said.

The Supreme Court of Canada automatically hears provincial reference questions. Eby said the top court has overturned unanimous B.C. Appeal Court judgments in the past and the cost of pursuing the case was worth it.

“It is a fraction of a fraction of the cost of a diluted bitumen spill,” he said.

Saskatchewan, Enbridge Inc. and the Canadian Association of Oil Producers argued in court against B.C.’s proposed permit regime, while some First Nations, cities and environmental groups supported it.

The Haida and Heiltsuk Nations said the decision was a missed opportunity for reconciliation because it failed to acknowledge their arguments about the role of Indigenous governments in environmental protection.

Heiltsuk Chief Coun. Marilyn Slett called the ruling  “offensive and irresponsible.”

“It is unacceptable that despite being granted interested party status, the court failed to even acknowledge ours or any other Indigenous governments’ arguments in its decision. They invited us into the room, but they completely ignored us,” she said in a statement.

Lawyer Kegan Pepper-Smith represented Ecojustice in the case and said the decision leaves B.C., its communities and environment exposed to a potentially disastrous spill.

There is still plenty the B.C. government could do to stop the Trans Mountain expansion, such as adding conditions to its provincial environmental certificate, said Peter McCartney, a climate campaigner with the Wilderness Committee.

The proposed amendments would have meant that Trans Mountain Corp. and any other company wishing to increase the amount of heavy oil it transported through B.C. would have had to apply for a “hazardous substance permit.”

The permit application would have had to detail the risks to human health and the environment from a spill plans to mitigate those risks and financial measures, including insurance, that ensured payment of cleanup costs.

A provincial public servant would have had the authority to impose conditions on a hazardous substance permit and cancel or suspend the permit if the company did not comply.

B.C. announced the amendments last year, prompting then-Alberta premier Rachel Notley to ban B.C. wines. After Horgan promised to file a reference case asking whether the amendments were constitutional, Notley cancelled the wine ban.

Prime Minister Justin Trudeau’s government has purchased the Trans Mountain pipeline and expansion project for $4.5 billion. Construction was paused last August after the Federal Court of Appeal overturned the federal permits.

The project would triple the pipeline’s capacity to carry diluted bitumen from the Edmonton area to Metro Vancouver and increase the number of tankers in Burrard Inlet seven-fold.

Newfoundland & Labrador – Glen L.C. Noel, Q.C., in insurance law is now a judge

Cox & Palmer is proud to share that Glen L.C. Noel, Q.C., has been appointed a Judge of the Supreme Court of Newfoundland and Labrador and a Judge ex officio of the Court of Appeal of Newfoundland and Labrador.

Since 1990, Glen has worked exclusively with Cox & Palmer (and its predecessor firms), building an extensive practice for almost 30 years in insurance law, commercial insurance litigation, and personal injury law. Consistently recognized as a leading practitioner, Glen’s dedication to the legal profession, commitment to his clients and professional integrity have been paramount to the success of Cox & Palmer.

Albeit managing a demanding practice, Glen has an innate ability to approach every situation with sound judgement and definitive resolve. Steadily encouraging fairness, inclusion and comradery, Glen’s positive influence inspires all those around him. A true leader, Glen always makes time for his colleagues and has been an exceptional mentor and friend to the entire team at Cox & Palmer.

We are honoured to have him serve the Province of Newfoundland and Labrador as Justice Noel, and we are tremendously proud to congratulate him on this well-deserved achievement.

Read the media release from the Government of Canada.

Fort McMurray woman wants Insurance Act changed

‘We are still paying a mortgage on a pile of ashes,’ homeowner says

Excerpreted article was written by Jamie Malbeuf · CBC News 

After struggling for three years to get a settlement, a Fort McMurray woman wants to see changes to the Insurance Act.

Jamie Harpe lost her home in the May 2016 wildfire that destroyed 15 per cent of the buildings in Alberta’s oilsands city.

“Three years into it, we are still paying a mortgage on a pile of ashes, and there doesn’t seem to be an end in sight,” she said.

After the fire, Harpe said, she was able to settle a claim for the cost of her home’s contents with her insurance company, Aviva.

But the house claim remains unsettled.

Aviva declined to comment on the case, but Harpe said she will opt for a formal dispute resolution process.

The most recent estimate for the cost of the rebuild is from two years ago; Two different companies assessed the cost at between $3.1 million and $4.3 million, said Harpe, the president of an oilfield servicing company she owns with her husband.

She estimates the house was about 7,000 square feet. Her lawyer requested a quote for the cost of heating and hoarding — which includes a fence around the construction site to prevent unauthorized access and tarpaulins to cover the site and keep heat contained, allowing construction in winter — and that estimate came in at between $200,000 and $400,000.

The two parties almost came to an agreement recently, she said, except for one unresolved matter: who would pay the heating and hoarding costs.

Harpe said she doesn’t think her family should have to shoulder that cost.

She has been paying lawyers to help her with the claim, which she said has cost her about $70,000 over the last two years.

In the meantime, she bought property two doors down from her old house and put a prefabricated home there.

She says the money for living expenses from the insurance company ran out, and her family has been paying additional expenses out of pocket.

Now they’re paying for a second mortgage on top of almost $5,000 a month for the first mortgage.

The insurance industry is going to be here until the very last claim is closed in Fort McMurray.– Rob de Pruis, Insurance Bureau of Canada

She would like to see the Insurance Act changed so that companies have to pay additional living expenses for lengthy cases such as hers.

“The Insurance Act seems to work for the insurance company, and when it comes to the consumer there are so many loopholes that the insurance companies can, in a sense, bully the hardworking Canadians.”

At this point, she said, her payout should be higher than the cost of the rebuild, because of the additional money they’ve spent.

The provincial and federal governments should make changes to insurance regulations that benefit consumers, she said

Harpe said the claim has taken a toll on her mental health.

“You still have to work. And you still have to live your day-to-day life. And in the meantime … you’re always worried about what’s happening with the rebuild.”

Less than 1% of claims unresolved

The Fort McMurray wildfire was the most expensive insured disaster in Canadian history.

Rob de Pruis, director of consumer and industry relations for the western arm of the Insurance Bureau of Canada, said more than 60,000 insurance claims were opened after the fire.

He said less than one per cent of those files remain open, and those are typically the complicated files, or ones where the company and homeowner couldn’t come to an agreement.

An aerial photo of Harpe’s home before it burned down. She says it shouldn’t take three years to get an insurance settlement. (Submitted by Jaime Harpe)

De Pruis said in most cases when the claim is drawn out, it’s because of misunderstandings or poor communication between the company and the homeowner.

There are options for the homeowner to pursue if an agreement can’t be reached: the company’s internal ombudsman or an independent company called the General Insurance Organization.

They can facilitate conversations between the two parties.

There is also a formal dispute resolution process, which is the route Harpe is taking. This is a facilitated discussion with representatives and specific timelines.

As a last resort, De Pruis said, the claim could go to court.

“The insurance industry is going to be here until the very last claim is closed in Fort McMurray,” he said.

De Pruis said the IBC is available to help anyone who is struggling with an insurance claim.

How Businesses Can Play A Role In Insuring The Future

How Businesses Can Play A Role In Insuring The Future

By planning ahead, entrepreneurs can significantly reduce the likelihood of their businesses running into costly problems in the future.

By M. Rajendran
Deputy Managing Director, Middle East/ CEO of UAE, Al Futtaim Willis

Will the world be more or less risky in the future? The answer to this question depends on which type of risk we are talking about. With our health, for example, better medicines and better prevention, should reduce our risk of suffering from many of the most common chronic diseases. But what about workplace risks? Or the risk posed by the natural world around us? Let’s take a look at each in more detail before exploring how a business can prepare for that future.

1. Future health 
A 2018 report by the Economist predicted that the future of healthcare is to be dominated by personalization, precision and prevention, with the latter taking centre stage. There is good reason for this. According to the US Centre for Disease Control and Prevention (CDC), 75% of American healthcare spend is on chronic diseases which makes sense when the World Health Organization (WHO) reports that 15.2 million deaths worldwide in 2016 were due to heart disease and stroke alone. The bulk of these chronic diseases are caused by our own lifestyle habits, making prevention key. It’s something we’re all waking up to. Governments around the world are already implementing their own disease prevention programs. Individuals are using lifestyle trackers on their phones and watches. This strategy is vital. Especially when the Willis Towers Watson 2019 Global Medical Trends report shows that the cost of healthcare globally is outstripping inflation two-to-one. In the UAE, healthcare costs increased by 10.3% in 2018, and are predicted to hit 11% in 2019.

How can your business play a role in disease prevention? Despite governments pushing disease prevention, much of the work is likely to come from businesses. By putting wellness management and disease prevention at the top of your agenda, you’ll be protecting your business from future risk in terms of spiraling healthcare premiums. Wellness programs come with well-publicized benefits including reduced sick days, improved productivity and lower healthcare costs. But they are a long-term strategy as well: a 2016 study published in the Journal of Population Health Management investigated the healthcare utilization and cost effectiveness of a personalized preventive care program in the US. It found that approximately 24% to 26% of members were cost effective in the first and second year. But that by the third year, 63% had hit this mark.

2. Future work 
Automation and artificial intelligence (AI) are important topics at the moment. While most discussion has centered on what they mean for employees and job stability, you hear far less about what they mean for workplace risk. This is disappointing because ultimately the digital revolution is also a revolution in risk reduction.

A recent Willis Towers Watson report titled “Five Myths About The Future Of Work” was based on the results from the company’s 2017/2018 Global Future of Work Survey. It found that 21% of EMEA responders expected the automation of work in their company to reduce risk or errors. For many industries, it will help make the workplace a less risky place and reduce employee liability, especially with repetitive tasks. A robot’s output is entirely predictable.

How can your business reduce risk with automation and AI? This is a question that can only be answered by auditing your business needs. For example, all jobs can be split into tasks to better understand what can be automated and what requires human input. The human tasks are then rebuilt back into jobs. There are a huge number of tools already available to help companies automate elements of their business. For example, customer relationship management (CRM) systems can help with the control of big data. Automated accounting tools can automate approval and invoicing. And chatbots can keep up customer interactions without over-burdening staff. All of these come together to help reduce the risk of errors and cyber-crime.

3. Future environment 
So far, we’ve seen that our overall health will likely improve through disease prevention, and our workplaces become safer due to automation. The same cannot be said about the environment. The Global Risk Report, published by the World Economic Forum, surveyed over 1,000 decision makers from the public, private and academic sectors globally. They predicted that over the next decade, the top three risks were all environment-related: extreme weather events, failure of climate-change mitigation and adaptation, and natural disasters.

To put this into perspective, these three were higher than data fraud/theft and cyber attacks, which came in fourth and fifth respectively. Businesses are already taking cyber-related issues very seriously, but remain less concerned about the impact of a changing climate. This is to their peril. For example, last year parts of Canada were hit by wild fires, catching companies out because historically the risk was deemed minimal. Here in the Middle East, rising oceans and drought are two threats sitting on the horizon. The World Bank, for example, has identified 24 ports in the region at risk of sea level rise.

How can your business mitigate against environmental change? Many companies are vulnerable to some kind of climate-related risk. For example, a company could purchase stock without fully considering how sudden environmental events could cause rapid price corrections. Or a company could find itself in an area of increased rainfall raising the risk of flooding and damage.

It’s important leaders identify their business and strategic risk. Split these risks by location, as required, and then develop a mitigation strategy. This includes making sure insurance policies are fully up to date and flexible enough to deal with sudden environmental disasters.

The key takeaway here is that things rarely stay the same for long. In many ways the future may well be less risky, especially for our health and workplaces. But this is only the case if we take advantage of the programs and technologies available to us right now. By planning ahead, we can significantly reduce the likelihood of our business running into costly problems in the future.

Source: Entrepreneur 

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