Insurance and Financial Institutions
The Insurance and Financial Institutions group at McKenna Long & Aldridge (MLA) consists of more than 20 attorneys who handle complex matters involving insurance companies and other financial institutions. Our group represents a wide variety of domestic and international clients, including those writing D&O, professional liability, property and casualty, life, health insurance and reinsurance. In all matters, our focus is to assist our clients in developing unique and effective strategic solutions to the many issues and challenges facing financial institutions in today’s legal and regulatory environment.
Our approach is to assist clients in developing strategies to minimize risks and, in litigation matters, to maximize chances of a positive outcome. In all matters, we attempt to avoid simply going through the motions. We strive to be proactive and to achieve prompt resolutions whenever possible.
We are often asked to provide an independent analysis or to take a second look at matters that are pending. We look for approaches and avenues that might have been missed by others. For example, we have developed an approach for dealing with bad faith claims that brings an initial focus on damages issues as well as coverage. This approach facilitates early case evaluation and has achieved positive results. We also provide candid and detailed assessments. In short, we make every effort to help clients avoid last minute surprises.
Litigation
We handle complex coverage and bad faith litigation across the U.S. MLA attorneys are familiar with the unique challenges faced by insurers and other financial institutions in today’s litigation environment, and we proactively work with clients to develop strategies to minimize risk and to achieve rational resolutions to difficult legal issues. We have handled coverage litigation and issues in numerous substantive areas, including D&O claims, professional malpractice claims (accountants, attorneys, financial planners, insurance brokers, real estate professionals and others), employment practices claims, environmental claims, and construction defect claims, among others. We also monitor and report on insurance bordereaux and large liability claims that may involve excess liability policies.
Our attorneys have a depth of experience in handling the many varieties of bad faith claims that may be asserted against insurance companies. We defend “set up” claims arising from settlements made by a claimant and the insured. Although we recognize the potential risks posed by such claims, we also understand the ways in which they can be successfully resolved.
Many matters affecting financial institutions involve class action litigation. We have experience in handling and monitoring class action litigation; as a matter of fact, MLA has recently been successful in defeating class certification in a number of class actions. Some of our attorneys even creatively utilize class action as a method of settling claims against financial institutions.
Alternative dispute resolution has become increasingly important in the prompt and efficient resolution of claims against financial institutions. Our attorneys mediate successful resolutions to complex claims before nationally known mediators. We also have extensive experience in arbitration.
In addition to our own professional resources and depth of experience, we are able to utilize, when necessary, the extensive resources of the firm’s entire Litigation department.
Regulatory Matters
We represent clients before state insurance commissioners in matters relating to rate and form filings, licensing, examinations, enforcement and disciplinary actions. We attend and monitor meetings of the National Association of Insurance Commissioners (“NAIC”). We also have an Investigation Response Team that represents clients before a variety of agencies, including state attorneys general and the Securities and Exchange Commission, regarding insurance related investigations, such as those involving contingent commissions and finite reinsurance. Some MLA attorneys recently submitted comments to the NAIC in regard to the contingent commission issue.
We frequently assist clients in dealing with federal and state legislatures, and have assisted clients in adopting legislation to reduce potential liability, such as the federal SAFETY Act.
Climate Change Risk Assessment
MLA counsels insurance clients on the risks and opportunities associated with climate change. We advise insurers about the potential impacts of climate change in the claims, underwriting, and product development contexts and organize and conduct climate change enterprise risk assessments. We also are actively following the implementation of the NAIC climate risk disclosure requirements for insurers and helping clients adapt to these evolving requirements. Given our experience with insurance and environmental litigation and counseling, we are well poised to handle climate change-related litigation.
Other Services
For corporate clients, we provide assistance with corporate compliance and in the evaluation and selection of directors and officers liability insurance. For professional firms, such as attorneys, accountants, architects and financial planners, we can provide auditing and consulting services to assist in reducing the risks of ethics problems and malpractice claims.
Our group also works on matters with MLA’s Corporate department. The firm has handled substantial corporate matters for financial institutions, including acquisitions of insurance companies, the demutualization of a large heath insurer, and in such matters, has worked with the insurance commissioners of various states in order to obtain necessary regulatory approvals.