Environmental and Transactional Risk Insurance: What Lies Ahead?
With today’s highly competitive and sophisticated market, investors, buyers, sellers and organizations are starting to realize the value of environmental and transactional risk insurance as risk management tools. Employing these strategic tools to effectively address environmental and transactional liabilities, and allocate the risks arising from mergers and acquisitions (M&A) and other transactions has become a common practice for buyers and sellers. However, considering its significant challenges and potential pitfalls, it is still imperative for corporations and organizations to keep themselves abreast with the latest trends and regulatory updates to safely navigate the complex landscape of environmental and transactional risk insurance.
In this LIVE Webcast, a panel of distinguished professionals and thought leaders organized by The Knowledge Group will provide the audience with an overview of the latest trends; critical issues and best practices with respect to Environmental and Transactional Risk Insurance. Speakers will also offer risk management strategies and best compliance practices.
Some of the major topics that will be covered in this course are:
- Environmental and Transactional Risk Insurance - An Overview
- Types of Environmental and Transactional Insurance
- Benefits and Traps
- Emerging Trends and Legal Challenges
- What to Consider When Negotiating Coverage and Exclusions?
- Best Practices and Risk Management Strategies
Steven Jones, Of Counsel
Holland & Hart LLP
Phil Casper, Principal
Euclid Transactional, LLC
- Identifying risks in transactions
- Common areas of due diligence:
- Information Technology
- Ways of identifying Environmental risks:
- Phase I and Phase II assessments
- Permitting issues affecting development (i.e., NEPA, cultural and archeological issues);
- Ways of identifying Environmental risks:
- Common areas of due diligence:
- Types of environmental risks: contamination, permit compliance and restrictions on development
- Allocation in different types of acquisitions – stock purchase vs. asset purchase; leasing vs. purchasing
- Tools for risk allocation:
- Closing conditions
- Seller-retained liabilities
- Price reductions and use of escrow agreements
- State voluntary cleanup programs/prospective purchaser agreements
- Types of insurance: RWI and Environmental-specific
- Process for procuring RWI, process for procuring Environmental insurance (timing, information needed, etc.)
- Choosing a broker/underwriter
- Types of insurance coverage: CGL policies, pollution legal liability and cost cap policies
- General Claims Process: What to expect when making a claim, timing, info required, etc.
- Coverage issues and exclusions
- Triggering coverage: definition of “occurrence” and the theory of “continuous trigger” for contamination
- Allocation issues: all sums vs. pro rata
- Defense vs. indemnity costs and erosion
- Late notice, actual prejudice to the carrier and claims made policies
- The qualified and absolute pollution exclusion on CGL coverage
Kenneth Cornell, Managing Principal
- Environmental Risk Management
- Common Environmental Transactional Concerns
- Traditional Environmental Risk Management Tools for Transactions
- Role of Environmental Insurance in Mergers and Acquisitions
- Environmental Site Pollution (ESP) Insurance
- Other Environmental Site Pollution Coverage Considerations
- Case Study – Former Industrial Facility
Who Should Attend:
- M&A Lawyers
- M&A Professionals
- Private and Public Companies
- Insurance Companies
- Risk and Compliance Officers
Phil Casper is a Principal of Euclid Transactional, a managing general agency specializing in the underwriting of representations & warranties, tax liability, contingent liability and other transactional insurance coverages. Prior to joining Euclid Transactional in April 2016, Phil was a Vice President and Regional Underwriting Manager in AIG's M&A Insurance Group. Prior to joining AIG in 2011, Phil was an attorney at Schulte Roth & Zabel LLP, where he advised clients on a wide range of corporate matters, including mergers and acquisitions, securities and corporate governance. Phil holds a B.S. from Washington University in St. Louis and a J.D. from Boston University School of Law. In 2014, Phil was named as one of the winners of M&A Adviser's 40 Under 40 Awards.
Phil Casper is a Principal of Euclid Transactional, a managing general agency specializing in the underwriting of representations & warranties, …
Steve Jones has over 25 years of experience advising both companies and government agencies on a broad range of energy, environmental, natural resources and insurance matters. He is an Adjunct Professor at the University of Utah S.J. Quiney College of Law, where he teaches Environmental Practice.
Mr. Jones assists public and private companies, municipalities, and energy producers with environmental compliance and permitting, the investigation and remediation of contaminated property, cost recovery, and insurance coverage for environmental issues. He has experience dealing with the investigation, defense, and mitigation of pipeline releases and responding to enforcement orders issued by regulatory agencies, including the EPA, Utah DEQ, and the Pipeline Hazardous Materials Safety Administration. He also has expertise in both negotiating permitting issues and in defense of citizen’s suits brought under both the Clean Water Act and the Clean Air Act. He also has actively litigated coverage issues pertaining to environmental insurance pertaining to operations, releases, investigation and remediation of environmental hazards.
Prior to joining Holland & Hart, Steve was a partner at Marten Law in Seattle, Washington.
Steve Jones has over 25 years of experience advising both companies and government agencies on a broad range of energy, …
Ken Cornell is Managing Principal of Enviant, a Division of Euclid Environmental Underwriters, LLC. Ken, along with a team of industry veterans, launched Enviant in March of 2016, building a team of underwriting, claims and legal professionals to deliver a diverse portfolio of environmental insurance products and services. He began his career with AIG in 1985, rising from an entry level underwriting position to Executive Vice President of AIG Environmental, ultimately managing a $1B environmental insurance portfolio and team of over 150 underwriters in 12 offices. In addition to his US role, his duties at AIG also included responsibility for the global environmental reinsurance program which supported both US and non US business. Subsequent to his time at AIG, Mr. Cornell built an environmental wholesale brokerage unit at a national wholesale broker and launched several successful startup environmental insurance divisions for large publicly traded insurance carriers. He has a BA in Biology from Gettysburg College and a Master’s degree in Environmental Management from Duke University.
Ken Cornell is Managing Principal of Enviant, a Division of Euclid Environmental Underwriters, LLC. Ken, along with a team of …
Print and review course materials
Method of Presentation:
Experience in environmental and transactional risk insurance
NASBA Field of Study:
Management Services - Technical
NY Category of CLE Credit:
Areas of Professional Practice
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About Euclid Transactional, LLC
Euclid Transactional is a managing general agency specializing in the underwriting of representations & warranties, tax liability, contingent liability and other transitional insurance coverages. Euclid Transactional is owned and operated by a seasoned team of underwriters dedicated to providing best-in-class service, deal execution and claims handling. The team collectively has over 30 years of M&A and transactional insurance experience and has been involved in the underwriting of hundreds of transactional insurance policies and billions of dollars of transactional risk.
About Holland & Hart LLP
Celebrating the 70th anniversary of its founding in 1947, Holland & Hart is a full service, national law firm that today has almost 500 lawyers in eight states and in Washington, D.C. delivering integrated legal solutions to regional, national, and international clients of all sizes. We serve clients in a diverse range of industries, including energy and resources, food and beverage, and technology, communications and media. For more information, visit www.hollandhart.com or on Twitter: @HollandHart.
Enviant is focused exclusively on providing a comprehensive suite of environmental insurance products and services to a range of commercial clients. With a highly experienced team of technical experts, a one-of-a-kind approach to underwriting, and a comprehensive service profile, Enviant stands apart as a thoroughly unique approach to environmental insurance and risk management. Enviant is a division of Euclid Environmental Underwriters, LLC part of the Euclid Program Managers family of program administrators. Enviant is a managing general agent and Lloyd’s coverholder, offering insurance products backed by Lloyd’s of London.