CPD. 6th Annual Industry Forum. Everything you Need to Know to Meet the Challenges of the Turbulent D & O Market

Transcription

1 6th Annual Industry Forum D&O HEAR FROM THESE LEADING INDUSTRY PLAYERS AND THEIR ADVISERS Ace Europe Miller Insurance Willis Limited Chubb & Son (New York) Zurich North American Specialities (New York) Beazley Syndicate Insurance Law Group Barlow Lyde & Gilbert Reynolds Porter Chamberlain Kaufman Borgeest & Ryan (New York) Arthur J Gallagher & Co (Illinois) Davies Arnold Cooper (Madrid) Noerr Stiefenhofer Lutz (Dusseldorf) Gaillot Bouchony & Associes (Paris) Accountancy Foundation Review Board Ernst & Young Denton Wilde Sapte Hammond Suddards Edge 11.5 CPD LIABILITY INSURANCE Everything you Need to Know to Meet the Challenges of the Turbulent D & O Market Get insider market insights from D & O experts on the hottest issues, including: Cutting edge market news and claims trends in the US, Europe and the UK The inside track on the increasing number of financial services regulation investigations and the implications for D & O insurers Could Enron happen here? The expert US and UK panel discuss the liabilities of D's and O's for misstatement and misrepresentation of accounts The insurer's guide to effectively identifying danger signs in a company's financial reporting The latest radical developments in corporate governance in the US, the UK, France, Germany and Spain David Walters Director, Miller Insurance Media Partner CONFERENCE CHAIRMEN Martin Firman Vice President of D&O, Ace Europe Monday and Tuesday, 13th and 14th January 2003 The Westbury, Bond Street, Mayfair, London W1S 2YF To register from the UK call & from overseas call or fax or visit our website at

2 6th Annual Industry Forum D&O LIABILITY INSURANCE Enron, WorldCom, The Sarbanes-Oxley Bill, FSMA 2000, The Enterprise Bill... it has been a year of extreme turmoil in the D&O market. In these increasingly dangerous times for both D's and O's and their insurers, get the vital knowledge you need to meet the challenges of this turbulent market from an outstanding faculty of industry and specialist legal speakers. In the face of new and unexpected exposures for misstatement and misrepresentation of accounts following recent scandals and the fast-growing numbers of financial services regulation investigations with massive implications for D&O insurers, you cannot afford to miss out on the industry insights only this conference can provide you with. For the last 5 years, EuroLegal has brought together the D&O market leaders and the lawyers advising them to share with you the latest developments. Don't miss out on this year's event proven time and again to be the best annual D&O forum in the business. Benefit from the written materials prepared by speakers especially for this conference and network with your peers. This conference has been carefully researched with you, the audience, to include the issues most challenging and crucial to your business. Benefit from the experience of the speakers on the following key areas: Liabilities of D's and O's for misstatement and misrepresentation of accounts: get the low down from experts on both sides of the Atlantic Effectively identifying danger signs in a company's financial reporting: the definitive guide for insurers Corporate Governance in France, Germany and Spain: find out how some of the most radical legal changes will affect your business Financial services regulation investigations: what are the implications of this increasing and dangerous area of claims for D&O insurers? Market news, claims trends and coverage issues straight from industry experts on the front line Take this opportunity to hear from industry leaders and experts. Benefit from the written materials prepared by the speakers especially for this event. Be where your industry will be on 13th and 14th January. Your competitors will be there... shouldn't you? Register now by calling or fax your reservation to or register online at MEET YOUR CHAIRMEN David Walters, Director, Miller Insurance Having graduated in 1984, David joined CT Bowring as a trainee account handler and gained experience in D & O liability and professional indemnity insurance. Following a year at Stewart Wrightson, he returned to Bowring to concentrate solely on D & O to create an effective D & O unit. He joined Miller Insurance in 1992 and has played a major part in the success of the team to date. Martin Firman, Vice President-D & O, Ace Europe Martin Firman is Vice President for D&O liability at ACE Europe. Martin has over 30 years of experience as an insurance professional, with 24 years alone in the D&O line. Before joining ACE in 1994 he was head of AIG's management liability department in the UK. Martin is a recognised pioneer in the development of D&O in the UK. WHO SHOULD ATTEND Specialist D&O / EPL: Underwriters Claims Managers Brokers Product Leaders Risk Managers In House Lawyers Insurance Lawyers Insurance Times is the leading weekly newspaper for the UK general insurance industry, with the largest circulation and the brightest news coverage. Winner of PPA Publisher of the Year 2001 and shortlisted for PA Business Magazine of the Year 2002, Insurance Times is essential reading for all professionals involved in general insurance. Written by an awardwinning team of journalists, each issue contains comprehensive news, product reviews, insurance features, general industry comment and the latest job opportunities and appointments. (Insurancetimes.co.uk carries provider listings and a daily news service that has become an essential reference tool for the industry.) As part of our continued commitment to providing essential news and information, 2002 has seen the launch of the Insurance Times Legal Reports. These quarterly reports provide expert insight and analysis into the ever-evolving legal issues that affect the non-life insurance market and do much to shape its future. For further information contact Patrick Palmer on or patrick@instimes.co.uk. SPONSORSHIP AND EXHIBITION OPPORTUNITIES AT THIS EVENT Do you want to win new customers? Do you want to keep ahead of the competition? Do you want to strengthen ties with your existing clients? If your answer is YES, then you really need to promote your company at this conference. Be part of a small exclusive group of exhibitors at this event in order to successfully promote your products and services. For more information contact: Matthew Kitteridge on +44 (0) or matthew@euro-legal.co.uk To register from the UK call & from overseas call or fax or visit our website at

3 The Turbulent D & O 13th January :45 Registration and Coffee 9:15 Chairman's Introductory Remarks 9:30 What s Happening in the UK Market? Julian Elms Manager - D & O, Ace Europe David Walters Director, Miller Insurance Oliver Prior Research and Development Director Willis Limited Which areas of cover have evaporated in the 'hard market' climate of 2002? Insured versus insured exclusions - what is their current extent? - how were they applied in the Equitable Life case? Have we reached the end of the line for entity cover? Insurers' attitudes in the hard market Capacity and the hard market Risk adversity and the need for more selective underwriting What do consumers want from underwriters and how can underwriters respond? Sarbanes-Oxley Act 2002 and its effect on non-us resident companies Does good corporate governance count for anything with D & O underwriters? The shape of future UK legislation on company directors' responsibilities 11:45 What is Happening in Europe? New Claims and Market Developments Michael Rieger-Goroncy Ace (Frankfurt) Francis Kean Partner, Insurance & Reinsurance Barlow Lyde & Gilbert Market Developments What is the impact of the Corporate Governance discussion in different countries in Europe? Legal changes in Europe to protect shareholders of listed companies Impact of the US on the European market: WorldCom, Enron and the Sarbanes-Oxley-Act Premium increases and the effect of the hardening market: what are the statistics? What are the costs trends in the different countries in Europe? Has there been a true hardening of the market everywhere? Which geographical areas should European underwriters be exploiting? Update on the market position in Scandinavia and Eastern Europe Coverage and Claims The changing claims culture in Europe The importance of criminal and regulatory investigations and prosecutions Examples of recent D & O claims in Continental Europe Coverage trends 1:00 Luncheon 10:45 Latest Legal News from the UK John Barlow Partner, Denton Wilde Sapte Corporate Killing The latest developments in corporate manslaughter What are the implications for D & O insurers? The Enterprise Bill The D & O insurer's guide to the Enterprise Bill What is the timescale for the introduction of new requirements? New standards for market abuse Criminal penalties for directors and officers New powers of investigation Other Changes in the Pipeline FSMA 2000 and the Listing Rules - the Combined Code - what is good practice for directors? - sanctions for breach Proposed reform of UK Company Law - the Law Commission Report - direct actions by shareholders against directors: implications for insurers 11:30 Morning Refreshments 2:15 Latest Claims and Market News from the US Mike Rossi President, Insurance Law Group Inc (Los Angeles and London) Phil Norton President - Professional Liability Division Arthur J Gallagher & Co (Illinois) The hardening market for US risks: trends, facts and figures Relations between the US Market and the London Market - market share - the view of Lloyds in the US market High-exposure D & O in the US Claims trends in the US: frequency and severity Estimated Loss Ratios for major D&O carriers Pricing trends for US and global companies Coverage issues and trends: 'playing defence' in the post Enron D& O world Will we see a higher frequency of restatements to earnings? Fines and penalties against directors What will be the effect of restatements on coverage? What will the SEC Order mean in general for the US market? The Sarbanes-Oxley Act and its impact on the US market To register from the UK call &

4 Market Get On Top Of Laddering claims in the US market - the impact on underwriters and the effect on exclusions - how has this phenomenon crystallised the hardening market? 3:30 Afternoon Refreshments 3:45 Nilam Sharma Partner, Commercial Insurance Group Hammond Suddards Edge FSA Investigations Why does the FSA investigate? What sources give the FSA the power to investigate? What is the FSA's procedure? What is the effect on the disclosure of privileged documents? Are FSA investigations confidential? Who does the FSA investigate? What is the frequency of FSA investigations? What is the nature of an FSA investigation? What are the current trends in FSA investigations? Impact on D&O Policy Wordings What is a "wrongful act"? What defence costs are covered? Effect of FSA findings on "in fact" wording Costs What are the costs of an FSA investigation? What costs are covered? Impact on D&O Insurance Going Forward: Future Implications Will policy wordings be affected? Are FSA investigations likely to increase? The effect of class actions on the frequency of FSA investigations The Sarbanes-Oxley Act: what effect will it have on the FSA's decision to investigate, and on confidentiality? 4:45 Chairman's Closing Remarks and Conference Adjourns 14th January :30 Registration and Coffee 9:15 Chairman's Introductory Remarks 9:30 Financial Services Regulation Investigations and Their Effect on D&O Insurers Could it Happen in Europe? Dangers Posed by Creative Accounting Following Enron and WorldCom Perry S Granof VP and Claims Counsel, Specialty Claims for Europe, Chubb & Son (New York) Keith Thomas Vice President - Corporate Market Zurich North American Specialties (New York) Wayne Borgeest Partner, Kaufman Borgeest & Ryan (New York) Colin Reeves Director Accountancy Foundation Review Board The panel will provide insights from both sides of the Atlantic into the challenges posed to D & O insurers by recent accounting frauds. They will share their perspectives on how insurers in the US, the UK and Continental Europe can, and should respond. There will be ample opportunity for delegates to raise questions at the end of the session. What are the liabilities of D's and O's for misstatement and misrepresentation of accounts? - in the US: the duty of accurate and truthful disclosure - in the UK - in France and Germany Recent examples of corporate fraud in the US - WorldCom Inc. - Adelphia Communications Corp. - Xerox - Rite Aid Corp. The US Congressional response: new Corporate Governance legislation What are the potential claims liabilities? - criminal penalties: fraud - certification and disclosure - corporate loans - bankruptcy protection and civil lawsuits How are insurers applying exclusions for dishonesty and fraud? Rammifications for material misrepresentation and rescission Are financials a sufficient basis on which to rescind? Errors or irregularities? Are financials a coverage issue or an exclusions issue? Is there real loss potential under D &O policies: will scenarios translate into claims? What can D & O underwriters do to write the risk and still protect themselves? What are the wider implications for the D & O insurance market? Accounting standards and the AFRB What are the overall differences between the US and UK accounting systems? Could it be possible for another 'Enron' to happen here? Regulatory solutions - what is likely to come out of the Joint Working Party on Accountancy? - what regulatory changes will accountants be subject to? - what will be the impact of these on insurers? 11:00 Morning Refreshments 11:15 How Can You Identify Danger Signs in a Company s Financial Reporting? John Smart Partner, Forensic Services, Ernst & Young from overseas call or fax or v

5 The Latest Changes 12:00 What types of issue affect the accuracy of company reports? - revenue recognition - long term contracts - provisions and acquisition accounting - off-balance sheet items What are the main differences between cash and profit? Which industries are most prone to manipulation? Recent examples of manipulation How do you identify the issues? What information can you request? - company accounts: finding the relevant information - reports to the audit committee - management letters How do you interpret from these information sources? How do auditors assess materiality? Do you understand the accounting policies? Edward Smerdon Partner, D & O Liability Group Reynolds Porter Chamberlain A brief review of the UK governance regime when Enron hit the news Which areas have been re-examined post Enron? - role and independence of non-executive directors - the Higgs Review - auditing practices - the Hewitt Review - directors' remuneration - company law reform How effective are current Corporate Governance rules? The need for UK reform and its impact on the risk of corporate failure The relevance of the Sarbanes-Oxley Act to UK incorporated companies How will the changes affect the demand for D&O cover, going forward? What impact will the changes have on our claims experience? The D&O proposal form: what to look for on presentation of the risk Conclusions which other factors may be affecting corporate risk today? 1:00 Luncheon 2:15 UK Corporate Governance: Insurers Need to Stay Ahead Corporate Governance Across Europe: Increasing Exposure for D s and O s Germany: Dr. Oliver Sieg Rechtsanwalt, Nörr Stiefenhofer Lutz (Dusseldorf ) Spain: Pablo Wesolowski Managing Partner, Davies Arnold Cooper (Madrid) France: Laurent Gaillot Partner Gaillot Bouchony & Associes (Paris) Germany Permanent statutory reforms What are the main recent changes to Corporate Governance in Germany? How do the changes in Corporate Governance influence D&O liability? Shareholder claims against directors in Germany: a new area of exposure? What are the lessons to learn from the EMTV and Infomatec cases? Further reforms in the pipeline Effect on D&O cover - effect of the new statutory provisions - effect of the Corporate Governance Code What is the reaction of the market? Spain The Olivencia Report on Corporate Governance The White Book on financial information What will be the findings of the Aldama Commission on Corporate Governance? The draft Commercial Companies' Code Are fines for breach of Corporate Governance insurable under a D&O policy? What are the requirements for transparency of information and non-disclosure? France Ongoing Corporate Governance developments in France Company Law; recent new provisions The forthcoming Corporate Governance-inspired Bill How is Corporate Governance implemented and enforced in France? Recent practical illustrations of implementation and enforcement Mandatory or voluntary rules? The position of the French business community in relation to EU initiatives 3:30 Afternoon Refreshments 3:45 EPLI Update on the UK, Europe and the US Andrew Cutler D & O Underwriter Beazley Syndicate What has been happening in the UK EPLI market? Update on EPLI developments in Europe EPLI losses in the US - what has changed since last year? - a look at size and frequency of claims What are the trends in the US market? - retentions, deductibles and the shrinking market - what are the facts and figures? A round up of the year: what have been the most significant claims? 4:30 Chairman's Closing Remarks and End of Conference isit our website at EF International, 2002

6 D&O LIABILITY INSURANCE (Please photocopy for additional delegates) Please Register Me for D&O LIABILITY INSURANCE Ref: 845I03-LON Please return to EuroLegal Newsserver House, Singer Street, London EC2A 4BQ Please do not remove a label if affixed; it contains your customer code. 5 CHOOSE ONE OF EASY WAYS TO REGISTER Please complete and return registration form with cheque Fax +44 (0) Registrations +44 (0) Enquiries +44 (0) Free Phone Website registrations@ef-international.co.uk Ref: 845I03. TITLE NAME POSITION APPROVING MANAGER POSITION COMPANY/FIRM PAYMENT Register delegates for % = TYPE OF BUSINESS ADDRESS CITY POST CODE COUNTRY PHONE INTL. CODE PHONE FAX TYPE OF BUSINESS NO. OF EMPLOYEES I have enclosed my cheque for made payable to EF International (VAT No ) I would like to pay by bank transfer Please send me an invoice Please charge my Diners Club AMEX Card Number Exp. Date Valid From (Diners Club only) Holder s Name Signature Date I have already reserved by telephone by fax by online Please add me to your mailing list Please delete me from your mailing list If you do not wish to be contacted by , indicate here If you do not wish to receive mailings from other companies indicate here DATA PROTECTION: The information you provide will be held on a database and may be shared with associated companies internationally. Occasionally, we may make your details available to carefully selected external companies for marketing purposes. If you do not wish your details to be used in this way, please write to the Database Administrator at the address on the registration form. VOLUME DISCOUNT Any firm or company registering three people at the same time for the same conference location will be entitled to a fourth registration free of charge. PAYMENT MUST BE RECEIVED PRIOR TO THE CONFERENCE ADMINISTRATION DETAILS DATE: Monday & Tuesday, 13th & 14th January 2003 TIME: Day One: 9:15 am Day Two: 9:15 am Registration and distribution of documentation from 8:45 a.m. VENUE: The Westbury ADDRESS: Bond Street, Mayfair, London, W1S 2YF (The Westbury Hotel main entrance is situated in Conduit Street) TEL.: FAX.: TUBE: Green Park, Piccadilly Circus, Oxford Circus, Bond Street CONFERENCE LANGUAGE: English FEE: % = PAYMENT INFORMATION Payment must be received prior to the conference. VAT invoices will be issued. Refreshments and lunch are included in the delegate charge. DOCUMENTATION Each delegate will receive documentation prepared specifically for this conference with the most up-to-date information on the subject, supplied by the expert speakers. It serves as a guide during the conference, as well as a valuable reference source back at your office. HOTEL ACCOMMODATION Preferential rates have been negotiated for our delegates. Please call IBR on +44(0) or fax +44(0) , and state you are a EuroLegal delegate. CONTINUING EDUCATION Counts as 11.5 hours towards Continuing Professional Development hours (Law Society Reference No.:BJEUFO). INCORRECT MAILING INFORMATION: If you receive a duplicate mailing of this brochure or would like us to change any of your details, please kairat@ef-international.co.uk or fax the label on this brochure to +44 (0) Amendments can take several weeks, so please accept our apologies for any inconvenience caused in the meantime. DELEGATE CANCELLATION Delegates may cancel their registration and receive the return of registration fees paid less 15% thereof providing they notify EuroLegal in writing prior to 30 December Substitution of delegates is permitted. EuroLegal reserves the right to cancel any conference it deems necessary and will, in such an event, make a full refund of any registration fee. No liability is assumed by EuroLegal for changes in programme date, content, speakers and venue. For further information on this programme contact Natasha Baker on +44 (0) or natasha@euro-legal.co.uk for more information