...Stable 2013 Results Property/casualty industry statutory direct written premiums in directors and officers (D&O) liability insurance rose by over 4% in 2013. The industry's direct loss ratio was up slightly from the prior year to 49.8% from 48.2%. Steady Claims Trends Relatively stable claims trends have contributed to this underwriting performance. Advisen Ltd.'s report, D&O Claims Trends: 2013 Wrap-Up & Possibilities for 2014, shows that securities litigation and regulatory actions leading to D&O claims have fallen for two consecutive years. The Cornerstone Research report, Securities Class Action Settlements -- 2013 Review and Analysis, showed a significant year-to-year increase in the number and average size of settlements. However, settlements remain considerably below those experienced from 2005¡2007. Heightened Price Competition Premium rate trends from market sources reveal that pricing momentum is fading. Aon plc's first-quarter 2014 D&O Pricing Index's indicates that rates on...
