E&O exposures are changing. That is probably true most of the time, but especially in a year of a pandemic. In this session, we plan to discuss several ways that E&O exposures are changing right now.

The Pandemic has proved that maybe upwards of 98% of commercial businesses do not have the business income coverage they need. The E&O exposure is greater than just pandemic exclusions. The E&O exposure is whether the agency offered solid business income coverages for far more common perils, including cyber. Customers will be looking for the right business income coverage going forward along all lines – and so will the plaintiff attorneys.

Additionally, an entirely new profession is being created consisting of very smart financial experts that are receiving far better education than agents relative to business income insurance coverage. Why is this profession being created? Because the market has recognized business income claims and coverages have many holes plaintiffs can exploit.

Private equity has entered the plaintiff attorney world, just like private equity is in every business sector. They are providing funding for plaintiff attorneys to pursue suits. This makes more suits possible and probably winnable.

These changes create significantly more risks. Even more opportunities are created if an agency will proactively improve its practices, education, and true coverage analysis for clients.