Before introducing a panel at the recent PLUS D&O Symposium poised to discuss the ramifications of political changes on securities litigation, David Bell, chief operating officer of Allied World Assurance Company, delivered some introductory remarks with the fervor of a politician stumping on the campaign trail.
Defending the much-maligned insurance industry in the wake of a worldwide financial crisis, Mr. Bell delivered the following remarks:
"Confidence, or the lack of it, is at levels not seen since the Great Depression, and yet our industry–the D&O insurance industry–is here to stabilize and restore confidence when we must otherwise question the promises of large institutions.
"Unlike the banks, we're not deserting our customers when they need us most. We're not socializing our product lines because we've [messed] up so badly that the government needs backstop our D&O promises.
"Even in the instances where…D&O insureds have been caught in the economic downdraft, the affected D&O insurers' claims practices have never been compromised.
"While the government throws money at problems, picking winners and losers using methods and metrics alien to ordinary investors, we make straightforward promises and [show] consistency and stability in how D&O claims are adjusted."
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