Financial Institutions

One of the key trends shaping the U.S. banking industry is the transition of community banks and regional banks into "business stores" and "investment opportunity centers." The origins of this trend can be traced back, in part, to the onslaught of bank failures in the mid 1980's. Fallout from those bank failures, combined with the industry's steady merger and acquisition activity for nearly a decade, has resulted in far fewer banks doing business today than 10 years ago.

The banks that are left compete for market share by striving to be one-stop financial superstores offering everything from traditional commercial lending services to investment counseling, securities brokerage services and insurance services. With these expanded services come greatly expanded liability exposures.

The number of lawsuits brought against financial institutions is on the rise. Suits against boards of directors, in particular, are increasing. They can take many forms depending on the party that files the lawsuit. The three most common sources for financial institution D&O liability claims are:

JMP has been meeting the complex liability insurance needs of financial institutions for more than 10 years. In that time, we have earned a reputation for being a consistent and stable market for providing financial institutional coverages:

By coordinating the other issues relating to Financial Institution Technology exposures (see our Web Page), JMP can provide a comprehensive risk management solution for your Bank.

For more information, please contact Jack Patton at jackp@jmpatton.com