Liberty GTS 2023 Claims Briefing
The 2023 briefing delivers comprehensive and insightful information based on our expertise and related claims data. It takes a deep dive into key notifications trends and highlights the issues most impacting our industry from a claims perspective.
The briefing's exclusive data-driven insights empower our clients and law firms with better decision-making to help guide them forward.
Key Findings
Slight increase in notification frequency
The early indication is that notification frequency has picked up slightly on the 2021 Year of Account (YOA) after dropping back on the 2020 YOA.
Significant increase in third-party claims
This means that M&A insurers are facing an increased exposure from defense costs spends which is compounded by the current inflationary environment.
The largest R&W claims continue to be accounting- and financial-related
Our 2023 Claims Briefing data shows accounting- and financial-related issues made up 28% of $1m+ claims over the last 18 months – the highest of any breach type by a significant margin.
Tax related issues continue to account for a large number of notifications
This was to be expected as national and local governments look to increase tax revenues significantly in order to fund their borrowing and expenditure in connection with COVID-19-related measures.
IP claims are becoming increasingly common and costly
The notifications involve trade secret theft and IP infringement claims. These made up 9% of notifications in 2022 (up from 6% in 2021). Unsurprisingly, they are most common in the IT, pharma, and consumer products sectors.
Emerging trends
Our Claims Briefing 2023 data indicates a noticeable increase in R&W claims involving condition of asset issues over the last 12 months.
