Deceptive product labeling, violations of federal telemarketing laws, employee wages and benefits—these are just a few of the types of lawsuits that cost businesses billions of dollars in class action settlements each year.
Class action lawsuits are proving to be an increasingly large business continuity issue, which means that more companies are turning to their insurance brokers for solutions to their liability and risk concerns. Fortunately, there is now a solution you can bring to your clients to help them exit litigation quickly and efficiently for a known and fixed cost.
Class Action Settlement Insurance (CASI)—the only product on the market that allows companies to transfer the financial risk of existing class action litigation. Designed by Risk Settlements in response to businesses’ need for financial certainty in class action lawsuits and resulting settlements, CASI mitigates the unintended consequences of settlement and uncertain payout.
Underwritten on the paper of Berkshire Hathaway’s National Indemnity group of insurance companies, which hold financial strength ratings of A++ from AM Best and AA+ from Standard & Poor’s, CASI is a revolutionary tool for businesses when they need it most—after the litigation has been filed.
What does the policy provide?
CASI is unlike traditional insurance products in that each policy is tailored to the specific class action settlement circumstances and financial needs of the business.
CASI is purchased to cover pending or existing class actions
Coverage available for the full spectrum of consumer class actions—from fraud, mislabeling, and product liability to statutory damage claims such as the Telephone Consumer Protection Act
Policy covers all valid claims made by class members under the settlement agreement
Coverage may be extended to include third-party costs such as class counsel fees, as well as notice and administration fees
Limits of up to $25 million—and higher limits may be available upon request