Errors and omissions

Taking on New Risks: Businesses Evolve to Face Challenges Posed By COVID-19

Businesses in the United States and Canada have had to adapt to an unprecedented set of uncertain and rapidly evolving circumstances in recent weeks. According to a recent Goldman Sachs survey of U.S. small business owners, 96 percent say that they have already been impacted by coronavirus, or COVID-19. “Many companies are experiencing changes in…

Architectural Firm Pays School District $1.7 Million for Damage

Last month, KDA Architecture agreed to pay $1.7 million to settle a lawsuit filed by the Yakima School District in Washington over water and mold damage. The alleged design flaws were related to a nearly 750-foot blue wall, constructed of stainless-steel shingles and porcelain tiles that cut through the center of the high school campus….

Pacemakers and Other Implanted Devices at Risk of Hacking, Warns FDA

On October 1, the Federal Drug Administration (FDA) issued a warning about the so-called URGENT/11 cybersecurity flaws that leave certain Wi-Fi-enabled medical devices vulnerable to being remote-controlled by hackers, such as cardiac pacemakers, implantable cardioverter defibrillators (ICDs) or insulin pumps. The FDA indicated that devices potentially at risk are those utilizing IPnet, a decades-old software…

Physician Pleads Guilty in $1.2 Billion Medicare Billing Fraud Scheme

Dr. Joseph DeCorso entered a guilty plea in New Jersey federal court on September 12, on charges he allegedly conspired to commit $13 million in Medicare fraud by prescribing medically unnecessary orthotic braces while working for two telemedicine firms between July 2017 and March 2019. He also agreed to pay $7 million in restitution to…

Insuring Santa Claus

From his bustling workshop to his nine loyal reindeer, Santa Claus operates one of the most complex enterprises in the world. That level of global intricacy requires an expert review of risk management strategies. “There are a number of insurance products that I would think Santa would have in place,” said Chris Zoidis, Corporate Executive…

Parties involved in $2.2 billion construction project face liability following disaster

The $2.2 billion Transbay Transit Center construction project in downtown San Francisco is under intense public scrutiny for cracked support beams that closed the centerpiece of city infrastructure just weeks after it opened. An investigation will determine if the cracks are related to fabrication, installation or design, and if one or more specific parties are…

Self-driving Uber Crash Points to Risks in Autonomous Vehicle Technology

Autonomous vehicles (AV) are changing the way the world drives. Yet this emerging industry is also changing how technology companies think about limiting liabilities in case their products do not work as intended. In the aftermath of the death of a pedestrian struck by an Uber self-driving vehicle on March 18 in Arizona, the future…

The Rise in Mobile Apps & Need for Tech E&O Insurance

Technology firms are beginning to silently carry the small business sector as 62 percent of small businesses already have, or are in the process of building, a mobile application to support their business. Of those businesses, 30 percent have revenue generating mobile applications or apps.1  With approximately two-thirds of the country’s small businesses depending on…

Rise of the Gig Economy Increases Need for Miscellaneous Errors & Omissions Insurance

Forty-three percent of the workforce in the United States is expected to be made up of freelancers by the year 2020, as compared to just 6 percent nearly 30 years ago.1 The rise of what is described “the gig economy” is driven by business professionals wanting greater autonomy outside of the 9-to-5 world. An increasing number…