Overview
Wk 4 - Due in 48 Hours
Discussion - Discuss the breadth of the duty to defend and the potential difficulties in determining whether to provide defense to the policyholder. 1paragraph
Assignment - What is the general flow of a coverage analysis? (One paragraph only)
Read: Martinez Chapter 5
- Liability Insurance, Insurer’s Undertaking, p. 281-396
- Liability Ins., Employment Practices Liab., p. 497-500
- Selected Case:
- Entergy Gulf States, Inc. v. Summers, 282 S.W.3d 433 (Tex. 2009
- Wk 5 - Due in 4 Days
Discussion: Discuss the pros and cons of Specified Risk and All Risk Coverage and how they fit into the Axioms (Power point Week 5 – Part 2).
Assignment: Briefly describe the subrogation process. (2 Paragraphs)
Read:
- Martinez Chapter 6:
- Property Insurance, Basic Principles, p. 504-526 & p. 529-558
- Property Insurance, The Insured is Disqualified, p. 586-615
- Property Insurance, Paying Claims, p. 617-633
- Property Insurance, Bailment & Subrogation, p. 649-678
- Wk 6 Due in 6 Days
- Martinez Chapter 6:
Discussion 1: List and discuss one significant difference between traditional lines and non-traditional lines insurance coverage. For example, traditional lines are generally commercially available in the marketplace.
a. Pricing is determined using market data versus specialized underwriting
b. Non-traditional risk has a limited loss history
Discussion 2: What are some risks that you believe the traditional insurance market should cover and why?
For example, bitcoin transactions, driver-less cars.
Read: Martinez Chapter 7 Lloyd’s of London History and the attached Powerpoints and handouts related to wk 6
- Personal Insurance, Requirements & Defenses, p. 679-703
- Personal Insurance, Rights to Proceeds, p. 734-782
- https://www.lloyds.com/about-lloyds/history/corporate-history
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Wk 8 (Wk 7 assignment is separate) - Due in 8 Days
Discussion : Do you agree with the outcome of Avrahami and Reserve Mechanical? How do non-traditional risk structures pass muster from a tax perspective given these outcomes? Can any 831(b) captive stand a chance in tax court? For example, the outcome seems unreasonable given the fact that the judge gave little deference to the actuary in Reserve Mechanical. If the judge is going to call into question the professional determination by an actuary as to reasonableness of risk, then it would seem the court can usurp the job an actuary does to determine post facto that insurance does not exist. In other words, it discounts the actuary's professional opinion. For example, the outcome in Avrahami seems reasonable given the fact that coverage were unreasonable in the eyes of the judge. That the risk pool did not really create a true risk of loss is one reason the court was correct in finding a real insurance arrangement did not exist.
Read: Attached wk 8 stuff
https://www.irmi.com/articles/expert-commentary/up-front-about-reinsurance