Thanks to comments to this blog by Ed Vincent, Advisen's Product Manager, I was made aware that our database of sub-prime related suits has swelled from 47 as announced in the Daily Telegraph on Monday to 73 as of yesterday.
Being in an overseas office I don't hear the office chatter or sales calls talking about these amazing developments in our product. Little did I know that my blog would serve to keep me updated by colleagues in New York who read it.
In relating the news about more subprime cases to my customers this morning, my favorite comment was from an underwriter who said, "Mason. Many thanks for the update. The claims are building quite nicely. Unfortunately it is having no effect on premiums yet!" Comments from Risk Managers did not use the term "unfortunately" ...
Recent actions include the following (defendant and type of action):
The Bear Stearns Companies Inc. (Derivative Shareholder Action)
HSBC Holdings Plc (Breach of Contract)
The Bear Stearns Companies Inc. (Securities Fraud)
Fremont General Corporation (Banking Malpractice)
Barclays Capital (Breach of Contract)
Credit Suisse (USA), Inc. (Securities Fraud)
The Bank of New York Company, Inc. (Securities Fraud)
State Street Corporation (ERISA Class Action)
First Franklin Financial Corporation (Fraudulent Trade Practices)
HSBC Finance Corporation (Fraudulent Trade Practices)
Washington Mutual, Inc. (Fraudulent Trade Practices)