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Continuing a downward trend, average premium levels dropped by 18 percent last year for directors and officers liability insurance, according to a new survey of 2,875 U.S. public and private companies.

“The D&O Liability 2006 Survey on Insurance Purchasing and Claims Trends” conducted by Towers Perrin–the 29th annual survey by the Stamford, Conn.-based firm–reported that the 18 percent drop in the 2006 average premium index followed a 9 percent drop in 2005 and a 10 percent drop in 2004.

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