Risk Transfer: The Importance of Insurance and Indemnity Considerations in Business Contracts

Sergio F. Oehninger
Jaswant (Josh) Singh
Timothy M. Monahan
Sergio F. Oehninger | Morgan, Lewis & Bockius LLP
Jaswant (Josh) Singh | Morgan, Lewis & Bockius LLP
Timothy M. Monahan | Lockton Companies LLP
Live Video-Broadcast: December 5, 2024
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2 hour CLE
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Program Summary

The program “Risk Transfer: The Importance of Insurance and Indemnity Considerations in Business Contracts” examines the interplay between insurance and indemnity provisions in commercial contracts and additional insured and insured contract coverages to effectively transfer risk among contracting parties. The session will cover important insurance coverages relevant to commercial contracts, emphasizing the need for effective drafting of insurance requirements and indemnity clauses, as well as appropriate insurance placement and claim presentation in order to mitigate and transfer risks. Best practices for drafting and reviewing contracts will also be highlighted, complemented by real-life scenarios and case studies for practical application.

Key topics to be discussed:

  • Indemnity clauses and the scope of indemnity in commercial contracts
  • Insurance requirements in vendor, service, and construction agreements
  • How indemnity agreements and insurance provisions in commercial contracts interplay with insurance coverages, including the distinct types of coverage commonly associated with indemnity agreements
  • The key differences between insured contract coverage and additional insured coverage, and the benefits of each
  • Pitfalls to avoid when reviewing insurance policies that cover risks transferred in commercial contracts
  • Best practices to implement in commercial contracts for reviewing indemnity and insurance provisions to better position your company when pursuing indemnity and insurance claims from primary and excess insurers
  • Case studies and real-life scenarios in contract management

Date / Time: December 5, 2024

  • 1:00 pm – 3:10 pm Eastern
  • 12:00 pm – 2:10 pm Central
  • 11:00 am – 1:10 pm Mountain
  • 10:00 am – 12:10 pm Pacific

Closed-captioning available

Speakers

Sergio F. Oehninger_myLawCLESergio F. Oehninger | Morgan, Lewis & Bockius LLP

Sergio F. Oehninger is a partner at Morgan, Lewis & Bockius LLP and head of the firm’s insurance recovery and advisory group. He advises clients on risks such as cyber and data breaches; commercial general liability; products liability; pollution legal liability; directors and officers liability; aircraft, marine, and war insurance; property and casualty; business interruption; commercial crime; builder’s risk and surety bonds; excess, umbrella, and integrated risks; specialized insured and reinsured risks under occurrence based, claims-made, or claims-made and reported policies.

Sergio’s third-party liability practice focuses on high-exposure cases involving insurance recoveries for environmental liabilities (such a coal ash and CERCLA/Superfund) and products liability (including PFAS and asbestos). His first-party insurance practice includes matters involving explosions, building collapses, and severe weather-related property damage and business interruption losses. Sergio is currently handling litigation over aircraft hull and war insurance coverage in connection with Russia’s invasion of Ukraine.

As part of his Latin America practice, Sergio advises Spanish-speaking corporate clients on cross-border exposures and risk transfer (insurance, reinsurance, and on-shore and off-shore captive insurance) in connection with transactions, projects, operations, products, and services.

Sergio’s litigation, arbitration, and counseling experience includes insurance coverage and bad-faith matters cumulatively valued in the billions of dollars. He has handled matters before federal and state courts throughout the United States and alternative dispute resolution tribunals.

A strong advocate of public service, Sergio has served on the boards of several nonprofits. His pro bono work includes advice to a 501(c)(3) charity dedicated to combating gang violence and raising funds benefiting children living in poverty. He has also been a member of various professional organizations, including the Hispanic Bar Association of DC; the D.C. Bar Board of Governors Nominations Committee and Pro Bono Center Development Committee; the George Washington University Law School Alumni Board of Directors and Latino Law Alumni Association Board of Directors; and the Hispanic National Bar Association, Leadership Council on Legal Diversity.

Sergio is a member of the District of Columbia, New York, Texas, and Virginia bars. He earned a JD from the George Washington University Law School, and a BA, cum laude, from the College of William and Mary.

 

Jaswant (Josh) Singh_myLawCLEJaswant (Josh) Singh | Morgan, Lewis & Bockius LLP

Jaswant (Josh) Singh is an associate with Morgan, Lewis & Bockius LLP, where focuses his practice on a variety of complex commercial litigation matters in state and federal court, including insurance recovery, toxic torts, and product liability. He also has experience in white collar criminal investigations, antitrust matters, and securities litigation. Josh maintains an active pro bono practice, advising a nonprofit organization that provides educational and counseling services to underprivileged adolescents.

Prior to joining Morgan Lewis, Josh clerked for five years with Judge Edwin G. Torres of the US District Court for the Southern District of Florida. Before clerking, he practiced in California for two years with a nationwide firm.

Josh is a member of the California, Florida, and Texas Bars. He earned his JD from the University of Chicago Law School. While in law school, Josh was the academic chair for the Black Law Students Association, a UChicago Careers in Law mentor, and a member of the Employment Discrimination Clinic. Before law school, he served as a judicial intern to the Chief Judge of the Fourth Municipal District for the Circuit Court of Cook County. Josh holds a BA in political science and African American studies from Brown University.

 

Timothy M. Monahan_myLawCLETimothy M. Monahan | Lockton Companies LLP

Timothy M. Monahan serves as insurance and claims counsel for Lockton Companies LLP’s Financial Services Practice Group in Washington, D.C. Tim is responsible for providing clients with strategic risk management advice and claims advocacy including coverage interpretation, reservations of rights responses, and negotiation over coverage. Tim also coordinates the resources available to clients through the entire life cycle of claims and helps develop renewal strategy during ongoing litigation. In addition, Tim assists in the negotiation and drafting of policy language to ensure maximum coverage for clients and advises clients on issues to consider and enhancements to request in their insurance policies.

Tim has experience with all types of executive liability policies including directors and officers, errors and omissions, privacy and cyber, employment practices, and fiduciary liability policies, as well as first party policies including crime and fidelity, and kidnap and ransom policies. Tim’s experience representing clients in securities litigation, insurance coverage claims, and complex corporate litigation provides a perspective based on real-world consequences of the decisions clients face before, during, and after claims arise.

Tim has worked with clients in a variety of industries including financial institutions, technology companies, private equity and hedge fund firms, defense contractors, real estate developers, manufacturers, REITs, and not-for-profit companies.

Tim is a member of the District of Columbia and Maryland bars. He earned a JD, with honors, from the University of Maryland School of Law, and a BA in philosophy from Johns Hopkins University, Baltimore, Maryland.

Agenda

I. Indemnity clauses and the scope of indemnity in commercial contracts | 1:00pm – 1:20pm

II. Insurance requirements in vendor, service, and construction agreements | 1:20pm – 1:40pm

III. How indemnity agreements and insurance provisions in commercial contracts interplay with insurance coverages, including the distinct types of coverage commonly associated with indemnity agreements | 1:40pm – 2:00pm

Break | 2:00pm – 2:10pm

IV. The key differences between insured contract coverage and additional insured coverage, and the benefits of each | 2:10pm – 2:25pm

V. Pitfalls to avoid when reviewing insurance policies that cover risks transferred in commercial contracts | 2:25pm – 2:40pm

VI. Best practices to implement in commercial contracts for reviewing indemnity and insurance provisions to better position your company when pursuing indemnity and insurance claims from primary and excess insurers | 2:40pm – 2:55pm

VII. Case studies and real-life scenarios in contract management | 2:55pm – 3:10pm

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