Tag: Client Advisory

Bylaw provision can reduce litigation costs and streamline litigation Over the past three years, directors and officers of public companies trading in the United States have been named in more in securities claims filings than any prior three-year period in history. The plaintiff-friendly 2018 Supreme Court decision, Cyan, Inc. v Beaver County Employees Retirement Fund, has…

What Do the SEC Rules Require? Registrants must describe their processes for assessing, identifying, and managing material risks from cybersecurity threats in sufficient detail for a reasonable investor to understand. Any third-party service providers that have been incorporated into a company’s risk management processes must also be disclosed. Registrants must describe the board of directors’…

The McGriff Executive Risk Advisors team has observed a steady uptick in regulatory activity aimed at publicly traded companies (and certain privately held companies) over the last several years. One example was addressed in a previous McGriff client advisory related to a Securities and Exchange Commission (SEC) claw back rule. There was also the overreach by…

Combining Tax Insurance and Business Interruption Insurance To Achieve Tax Credit Qualification and Quantification Certainty It’s hard to believe that more than a year has passed since the Inflation Reduction Act (IRA) was signed into law. The climate-related impacts of this sweeping legislation are certainly already being felt. Significant investments from a broader investor pool are…

In this client alert, we summarize the new cybersecurity disclosure requirements in the final rules and suggest ways to prepare for compliance with the new requirements from an insurance perspective. While companies will need to review their D&O, cyber, and crime bond insurance policies, this client alert will focus on cyber insurance considerations.   On…

On March 24, 2023, Florida Gov. Ron DeSantis signed House Bill 837 into law. The tort reform will have a significant impact on civil litigation going forward. What will this mean for Insurance? In this advisory, we will explore how this bill may affect claims. What is it? And how does it affect Insurance? Why…

On June 3, 2023, Nevada Assembly Bill (AB) 398 was signed into law and is effective as of October 1, 2023. The law prohibits an insurer from issuing or renewing a liability policy that erodes the policy limits of liability by the costs of defense.   Notwithstanding any other provision of law, an insurer –including,…

The Importance of a Business Impact Analysis as Part of Your Incident Response and Business Continuity Plans Cyberattacks continue to dominate headlines. The recent ransomware attacks at MGM Resorts International and Caesars Entertainment, Inc. are just two recent examples of the ongoing challenges businesses face in defending against motivated and resourceful threat actors. Both companies…

The average cost of a hospitality data breach in 2023 was $3.36 million, up from $2.94 million in 2022. That’s a 14% increase in the space of a year. At the same time, where the hospitality industry accounted for just 2% of data breaches in 2019, it now accounts for 4%.1 Frequency A recent report…

Threat Actors are integrating AI in their social engineering attacks. With artificial intelligence (AI), social engineering schemes are becoming more sophisticated, creating new challenges in the insurance industry. Social Engineering Tactics 98% of cyber incidents involve some form of social engineering1. Historically, threat actors have manipulated trust, exploited fear, and created a sense of urgency…