D&O Claims: What Really Matters? MODERATOR: Joel S. Townsend, JD, Senior Vice President & Worldwide D&O/DFI E&O Claim Manager, Chubb & Son PANELISTS: Norman Allen, Esq., Senior Managing Director, Carpenter Moore Insurance Services, a NASDAQ OMX Company Joseph G. Finnerty, III, Esq., Partner, DLA Piper LLP (US) Kevin P. Gadbois, JD, CPA, Divisional Executive Vice President, Great American Insurance Group Jane E. Keller, Esq., Senior Vice President and Chief Claims Officer, The Navigators Group, Inc. Lorelie (Lorie) S. Masters, Esq., Partner, Jenner & Block LLP

What is your role in the claims process?

Are insurance brokers a relevant factor in the positive resolution of a D&O Claim?

How cooperative are insurance carrier in-house / employed claims counsel in the claims process?

How cooperative are insurance carrier outside monitoring claims counsel in the claims process?

Should it be against public policy … For a D&O insurance carrier to pay indemnity loss for actual disgorgement or ill-gotten gains whereby the insured profits from their misdeeds? 80% said yes

Should it be against public policy … For an insurance carrier to pay indemnity loss of convicted criminals whereby the insured is reimbursed for their misdeeds? 74% said yes

Should it be against public policy … For an insurance carrier not to seek recovery of defense costs of convicted criminals? 30% said yes.

Should none of the previous questions be against public policy? 25% said yes.

Do you believe D&O insurer “panel counsel” serve the policy holder interests in fully supporting their rights of recovery during an insurance coverage dispute with the insurer?

Do you believe that insurers litigation management guidelines are:

Who is generally more likely to pursue coverage litigation?

Does coverage litigation or arbitration over D&O coverage disputes occur:

In filing declarative actions on coverage issues, are insurers:

Identify, in order of importance, the key reasons for disputes in D&O claims settlements:

Rate the clarity and information content of D&O insurer reservation of rights letters:

Which of the following would you be willing to trade for revised D&O policy wording that removes unpredictability of D&O Claims Outcomes in all situations?

How should D&O coverage disputes be settled?

Have you been involved in an actual claim where the D&O insurer successfully rescinded a policy and as a result did not pay a loss?

What was the reason for the rescission?

Have you been involved in an actual claim where the D&O insurer paid less than the total claim demand due to misrepresentations made by the insured?

Was it due to a misrepresentation made in:

Have you been involved in an actual claim where the D&O insurer paid more than you believe it needed to based upon the facts and coverage issues?

Have you been involved in an actual claim where the D&O insurer paid less than the total claim demand due to the restrictive wording in the policy?

Was it due to the wording of:

Have you been involved in a claim where the D&O insurer paid a loss triggering any of the following provisions?

Have you been involved in an actual claim where the D&O insurer disqualified your defense attorney

What was the reason provided by the carrier?

Have you ever been involved in an actual claim whereby a Side A DIC policy was requested to respond and pay a claim due to the primary not responding to the claim?

What was the response?