2005 INTERNATIONAL CONFERENCE Boston, Massachusetts ~ November 13-15, 2005 E&O – Is that all there is? Intellectual Property, Personal Injury and other Technology and Cyber Liability Exposures Southern California Chapter Moderator: Dave Weller

PANELISTS Dave Weller: Stewart Smith/American Wholesale Group Mike Donovan: Beazley Syndicate Gretchen Sayers: Specialty Global Insurance Services Mark Hutchins: Euclid Managers Brian DeGraw: United States Liability Insurance.

Review of Format 15 Minutes Total time to review Table Topics. Half the room has Topic 1, half has Topic 2 When the 15 minutes is up, have your answers ready – voting will take place one question after the other. Each topic will be discussed by the Panelists and with Table responses.

TIMELINE 9:30 – 9:45 9:45 – 10:00 10:00 – 10:05 10:05 – 10:10 10:10 – 10:30 10:30 – 10:55 10:55 – 11:00 Opening Remarks. Individual Table Topic Review Voting using Tabulators Audience Responses Revealed Table Topic 1 Group Discussion Table Topic 2 Group Discussion Witty Moderator Closing Comments.

INDIVIDUAL TABLE TOPIC REVIEW Review with your group the Table Topics provided. 15 minutes total time Collectively formulate table consensus on the answer to each question. Be prepared to enter vote into the Tabulator when prompted.

Table Topic #1 Question 1 1)What is an ASP? (think of an example) A.A type of snake widely held to be responsible for Cleopatra’s death. B.One that provides access to computer applications for use by others through the Internet. C.A clearinghouse for insurance applications where you can find whatever application your client needs. D.A company that out sources their IT needs.

Table Topic #1 Question 2 2)What is an ISP? (think of an example) A.One who provides limited access to over the Internet B.A company that provides computer repair and maintenance for Internet users. C.A new professional designation: Insurance Sales Person. D.One who provides direct access to the Internet.

Table Topic #1 Question 3 3)What is Web Hosting? (think of an example) A.A service providing Internet users with online systems for storing information, images, video or any content accessible via the web. B.Letting others use your website for their businesses and s. C.One who provides space on a server of their own for use by anyone via the World Wide Web. D.What a friendly spider offers a newcomer.

Table Topic #1 Question 4 4)What is E-Commerce? A.Trade in the European Community. B.Buying and selling of electronics. C.Commerce Transactions: buying & selling of products or services conducted exclusively over the Internet. D.The transacting of business via .

Table Topic #1 Question 5 5)Why are these difficult to insure? A.Technology is an "ever & constant" changing field. B.All Internet-based exposures are too new for anyone to understand the long-term claim implications. C.Security, Intellectual Property Exposures, and Content must be reviewed, assessed and controlled. Limited Claim data available. D.Underwriters never really want to assume risk anyway.

Table Topic #2 Question 1 1)What are the differences between first party and third party network security exposures? A.Resistance is futile. B.First party claims get processed first. C.First party exposures cause damage to the insured, and third party liability exposures cause damage to a third party for which the insured is legally liable. D.First party exposures are for tangible property; third party exposures are for intangible property and business income losses.

Table Topic #2 Question 2 2)What are the challenges in writing 1st party network security coverage? A.Underwriters never really want to assume risk anyway. B.Thorough underwriting of the risk is a must, followed by an inspection of the equipment & software. C.No one covers these exposures. D.It is difficult quantify the exposure (revenue), develop a rate, and assess losses.

Table Topic #2 Question 3 3)What are the Intellectual Property Exposures faced by Technology Companies and other users? A.These exposures are yet to be identified. B.Copyright and Patent Infringement. C.Intellectual Property is uninsurable. D.Infringement of Copyright, Trademark and Patent; Misappropriation of Trade Secrets.

Table Topic #2 Question 4 4)Can Personal Injury (Content/Media Events) perils be addressed under a CGL policy as respects Technology risks ? A.CGL policies offer limited or no PI/AI coverage for technology companies. B.CGL policies can be endorsed to cover these perils. C.It depends on the operations of the Insured. D.All of the above.

CLOSING COMMENTS Wrap up remarks Thank you to the Panelists for sharing their thoughts and insight Thank you to the Audience for the interaction and input. Please complete Evaluation forms so we can decide if the format is worth repeating.