Seen in Insurance Journal:
Marsh UK issued a warning to the European financial services sector, including insurance companies, hedge funds, banks and ratings agencies, that “they may be exposed to greater Directors’ and Officers’ Liability (D&O) and Errors and Omissions (E&O) Liability claims in the wake of the sub-prime mortgage crisis in the United States.” [...]
“With trading in Collateralized Debt Obligations (CDO), Collateralized Loan Obligations (CLO) and Mortgage Backed Securities (MBS) as financial investment instruments growing globally, so concern is rising in the European and international financial markets about their impact on the investments held by companies in US assets,” said the announcement.
Do I smell a hard market coming on?