Page 16 - CU-20200201.pdf

NEW OFFERS
Inc., released in 2013, the Ontario Supe- rior Court of Justice declined to throw the lawsuit out of court. Hudbay argued it does not have a duty of care to ensure that a subsidiary’s commercial activities in a foreign country are conducted in a manner designed to protect those people with whom the subsidiary interacts.
A different case, Arati Rani Das, et al. v. George Weston Limited, was tossed out of court. Plaintiffs from Bangladesh tried to sue Loblaw Companies Ltd. in Ontar- io. Its brands include Joe Fresh, whose clothing was manufactured at the Rana Plaza, an eight-storey factory complex. It collapsed in 2013, killing thousands.
Plaintiffs alleged that Loblaw was vicariously liable for negligence on the part of suppliers and sub-suppliers. But the Ontario Superior Court of Jus- tice dismissed the lawsuit, ruling that a clothing manufacturer operating out of Rana Plaza was neither a subsidiary of the company nor an independent con- tractor of the sort that could trigger vi- carious liability. The ruling was upheld on appeal. The Supreme Court of Can- ada announced this past summer it de- nied the plaintiffs’ leave to appeal.
“There is a real question mark in Ca- nadian law about whether liability can extend to the end-user in the supply chain,” Burkett said, referring to compa- nies who buy goods in developing coun- tries where labour laws are lax, non-ex- istent, or not enforced.
Others say the liability risk is real. “Whether or not a company is ultimately found to be at fault, lawsuits like this are legally complex and require years of lit- igation,” according to regulatory lawyer Yusra Khan.
Khan has advocated for the Canadian government to adopt a law similar to the California Transparency in Supply Chains Act. In Canada, draft legislation is in the works but has yet to be tabled in either the Senate or House of Commons.
REINSURANCE RENEWALS | JAN 2 Reinsurance renewals at Jan. 1, 2020 reflected
an “asymmetrical” market, featuring a mixed bag
of rate increases or decreases (depending on the specific business line or territory), as well as signifi- cant rate increases in the retrocession markets, according to Guy Carpenter & Company.
CYBER EXCESS POLICY
Vendor: CFC Underwriting
Target audience: Small and medium-sized businesses
What It Does: Provides small and medium-sized businesses with access of up to $10 million of excess cyber capacity
Offered globally and designed for organizations with up to $1 billion in revenue, the policy provides an automatic reinstatement of the excess limit as standard. “This
helps to ensure clients are protected against the increasing likelihood of multiple cyber events during a single policy period,” says London, U.K.-based CFC. In addition, the policy features several unique “dropdown” coverages, which, if required, effectively top up coverage provided in the client’s primary cyber policy. These include Side A cover for lawsuits against directors and officers arising directly out of a cyber event when their D&O policy excludes cyber claims; up to $1 million of primary cover for theft of funds of senior executive officers; and a top up of the primary limit for wire transfer fraud, a major source of cyber claims. The solution also gives policyholders complementary access to CFC’s full suite of cyber risk management tools – including phishing simulations, breach monitoring, incident response templates and more – that can be used alongside the tools of any primary insurance provider.
SONNET GROUP INSURANCE
Vendor: Sonnet
Target audience: Employees of participating companies
What It Does: Provides a home and auto discount to employees of participating companies.
Organizations potentially qualifying for a group insurance discount include companies with 100 or more employees, professional associations, alumni associations, and certain affinity groups. (Sonnet has already signed on Deloitte to offer a discount to its employees across Canada.) Discounts vary based on the risk profile of the employee or member base. There is no limit to how many employees can receive the discount, which also extends to employees’ spouses and children under 25. The group discount is in addition to any other discount for which the applicant qualifies, including bundling home and auto insurance. Employers gain access to Sonnet Connect, a network
of like-minded brands whose special offers across financial services are aimed to promote financial wellness.
SGI SAFE RIDE APP
Vendor: Saskatchewan Government Insurance
Target audience: Currently only available for consumers in Saskatchewan
What It Does: Automatically determines a consumer’s location and lists one-touch calling for all local taxis, and designated driver and rideshare services.
The SGI Safe Ride app allows users to have a number of safe ride options at their fingertips, including rideshare services, taxi and designated driving companies, bus routes, and even their own personally designated drivers list of friends and family. The app automatically determines the user’s location and lists one-touch calling options for users that may be impaired by drugs or alcohol. It works on iOS and Android devices. SGI’s app has been available since 2012, but the latest technical upgrades mean a faster and easier user experience, plus the addition of current rideshare options now available in some Saskatchewan communities.
SECONDARY PERILS | DEC 31
Damage damage due to “secondary perils” such as river floods, torrential rainfall, landslides, thunderstorms, winter storms (excluding Europe), snow and ice storms, drought and wildfires are on the rise, said the latest sig- ma study published by Swiss Re. Globally, Nat Cat losses cost the P&C industry US$56 billion in 2019.
16 February 2020 | Canadian Underwriter