Watch My Cyber Insurance For Bankers Webinar

You can view the recording of my May 12th webinar on Bank Cyber Insurance by going HERE. I cover cyber liability, funds transfer fraud, debit card losses, computer equipment coverage, and other related cyber insurance issues. … [Read more...]

Supervisory Insights From FDIC for Banks

The FDIC issued a special edition of "Supervisory Insights" recently providing guidance on community banks guidance on governance. Preventing D&O claims means your board and leadership are attuned to regulation and regulator's stance on running your bank. This is required reading for anyone looking to meet their fiduciary obligations as … [Read more...]

CEOs Signing Insurance Applications

A bank client is in the final stages of changing insurance companies. The insurer wants a signed application. The CEO looks over the app. He is busy and trusts his CFO. He signs the document and moves on. Six months later a claim comes up. The insurer turns the claim down because there is a pertinent question on the application that was answered … [Read more...]

Bank Questions Issues Of Religion In The Workplace

A client recently asked me for some ideas on the issue of religion in the workplace and preventing possible conflict/lawsuits. I found this EEOC publication that struck me as well written and filled with great guidance. … [Read more...]

Your Bank Is Buying Another Bank…

I got a call today from the CFO of a client bank.  They are 80% of the way to buying a small bank.  Relatively speaking, the bank they are buying is very, very small. It's so small that, in all likelihood, the acquisition will have no impact on my client's fraud-bond or management liability insurance policies.  I told the CFO to give their … [Read more...]

Banks – Professional Liability Notary Services Exclusion

Bankers, a reminder about most insurance company's professional liability coverage... Most insurers exclude lawsuits that come out of notarized signature when the person signing the document did not appear personally before the notary. You'd think it was a given that notaries would have to have the guy standing in front of them in order to … [Read more...]

Wage/Hour Claims

Employees suing you for back overtime pay is not covered by most Business insurance programs. So-called wage hour or fair labor claims are excluded by both general liability insurance and in most cases employment practices liability insurance. Some employment practices policies cover defense costs in such claims. This is certainly not the … [Read more...]

Bank Director Gross Negligence vs Ordinary Negligence and FDIC

When a bank fails, the FDIC wants to get its money back.  There is a common pattern of the FDIC going after the directors of failed banks.  Currently the FDIC has to show "Gross Negligence" before doing this. They want to lower the bar to "Ordinary Negligence." Bank associations and bankers are mostly against this change.  The American Bankers … [Read more...]

More (Though Not New) Thoughts on Bank Civil Money Penalties Insurance

A client asked about my knowledge of the history of civil money penalties against bank board members. The question was prompted by a note I sent about AmTrust's CMP insurance policy. My Reply: CMP against banks seems to be mostly for issues of lack of flood insurance on loan collateral that is in flood areas. CMP against directors is exceedingly … [Read more...]

Is Your Bank Covered For Cyber Fraud?

My latest article for Banking Exchange...  E-Banking insurance issues are by far the most common question-topic I get from bankers.  Cyber liability insurance, cyber crime, e-hacking, etc. The arms race that is computer security goes on and on. As your fraud prevention systems get better, the bad guys get better at being bad. Your insurance must … [Read more...]