It has been a few weeks since Facebook faltered out of the gate in its initial public offering (IPO)—and while the multiple lawsuits claiming improprieties will take a while to work through the legal process, coverage changes may be coming.
Some brokers are seeing signs that insurers are becoming more cautious about IPOs, especially for technology companies involved in social-media platforms.
With painful memories of the technology-IPO bubble bursting back in 2000, which resulted in Directors & Officers Liability (D&O) claims payouts of around $1 billion, insurers are understandably wary of a repeat.
Recommended For You
Want to continue reading?
Become a Free PropertyCasualty360 Digital Reader
Your access to unlimited PropertyCasualty360 content isn’t changing.
Once you are an ALM digital member, you’ll receive:
- Breaking insurance news and analysis, on-site and via our newsletters and custom alerts
- Weekly Insurance Speak podcast featuring exclusive interviews with industry leaders
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical converage of the employee benefits and financial advisory markets on our other ALM sites, BenefitsPRO and ThinkAdvisor
Already have an account? Sign In Now
© Touchpoint Markets, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more inforrmation visit Asset & Logo Licensing.