Latest Articles

For the first half of 2022, the downward trend in the number of US securities class action filings continued, in line with the previous year, with 107 separate actions recorded, including 17 filings against non-US domiciled entities, or foreign filers, which equates to 18.9% of the total. Projecting the half year total to the end of the year would suggest a 2022 run rate of 34 cases, aligning with the 2012-2016 average but sitting below some of the more elevated case numbers of recent years. Previous years indicate that there is sometimes an increase in securities class action litigation activity in the second half of the year.

The digitalisation of trade and the use of credit insurance and capital markets techniques within trade finance make it an attractive asset class for investors, helping narrow the trade finance gap. AIG’s Ana Velandia Evan, Global Head of Trade Finance, and Benjamin Tolédano, Global Head of Structured Trade Finance, share their views.

There is no sidestepping the fact that it has been an intense couple of years for everyone in the insurance ecosystem; buyers, brokers and carriers. The events of the last two years have brought stock market volatility, economic uncertainty, supply chain disruption, inflationary pressures, and energy price hikes, not to mention rising loss costs and cyber attacks, none of which are likely to be easing soon.

The past decade has shown a steady year on year rise in securities litigation filed against companies domiciled or headquartered outside of the United States (non-US issuers). From an historic high of 65 core filings in 2020, we saw a fall in 2021, with filings slightly below the annual 10-year average of 42 cases. 

Rapid growth in containership size has brought industry concerns over the accumulation of value on mega container vessels (those with capacity of >10,000 Transport Equivalent Units or TEU), the concentration of value flowing through a limited number of ports and along just a few routes, and the potential for major losses impacting multiple lines of business. In this article we look at whether these concerns are supported by existing data and what the future direction of mega container vessel growth might mean for the London Marine Insurance Market.

Investment in intangible assets is growing rapidly, to the point where they have become the predominant source of economic value for global companies. Despite this, there is still a lack of awareness among the insurance and wider business community of the growing importance of intangibles, as well as the associated risks and how to mitigate against them.

The decisions made in the first few hours of an environmental incident often have a significant impact and will influence the extent of damage, the resulting financial loss and the impact on a company’s reputation. As such, having a Pollution Incident Plan in place helps companies to anticipate environmental incidents and prepare for how they would respond. 

In the third quarter of 2021 the number of securities class actions (SCA’s) against non-U.S. based businesses increased, compared with the first two quarters of the year. During the quarter, there were 11 core class actions filed against foreign filers domiciled outside the United States (“non-US issuers”). In comparison to the total number of core SCA’s for the quarter (47), non-US issuers represent 23.4%. 

The last decade marked the creation of specialist trade finance funds and establishment of trade finance as a distinct institutional asset class. As the demand for trade finance funding increased and banks retreated due to regulatory capital requirements, institutional investors stepped in to fill the gap, seeking enhanced returns on short duration assets.

Environmental risk is rarely top of the list for real estate investors but is something that should not be ignored. Property owners, developers and tenants face a range of exposures, some of which seem quite innocuous but can have expensive consequences. 

The first half of 2021 saw a decline in the number of securities class actions against non-US based businesses, against the same period in 2020. The first half of 2021 saw a decline in the number of securities class actions against non-US based businesses against the same period in 2020. There were 14 class actions filed against foreign private issuers, or 14.6% of the total of 96 federal suits filed.  This was a 40% decline in filings from the same period in 2020 (35). This is one of the lowest half-yearly number since the 28 cases filed in 2013 and well below the trailing 10-year H1 average of 36 cases. 

On the 30 June 2021 the European Commission announced that the UK would be able to participate in the Green Card Free Circulation Area (GCFA), which comprises all 30 European Economic Area (EEA) countries as well as Andorra, Bosnia & Herzegovina, Serbia and Switzerland. 

A quiet start to the first quarter of 2021, but too soon to speculate on class action numbers against foreign filers for the rest of the year. Over the last decade, and specifically in the last five years, the annual number of Securities Class Actions (SCA’s) against non U.S. companies significantly increased and remains at a consistently high level. AIG’s latest quarterly SCA bulletin for Q1 2021 shows a relatively quiet quarter with 7 core SCAs against non U..S. companies. 

Transportation is a vital part of the industrial process but one where the environmental risks are often not adequately understood. As a result, there are some in the haulage industry who are operating with uninsured or underinsured exposures, leaving themselves – as well as the environment – open to significant damage if something goes wrong.

The claims landscape for Directors & Officers insurance is shifting. The cost of claims is rising, driven primarily by a combination of an increase in bribery and corruption investigations, US securities litigation against foreign-domiciled firms reaching an all-time high, and greater number of regulatory investigations.