Slightly fewer than seven percent were more than $10 million, with an average payout of $22 million. The bigger and more complicated a deal is, the more likely there is an unknown liability lingering, said Mary Duffy, global head of M&A Insurance, AIG. We are paying sizable claims, sometimes writing eight-figure checks in different geographies. CLAIMS FREQUENCY Therewas a seven-point jump in the claims count from policies written in the 2011 to 2014 period (to 21 percent) compared to the prior year study. R&W policies have potential claims tails as long as seven years, which means policies

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The contractors submit inflated repair bills, then file suit when insurers deny or underpay them. Typically the insurers settle for some amount over the invoice, enabling contractors to recover all legal fees billed for the litigation. And those fees mount: Lawsuits tied to assignments of benefits have increased from about 400 in 2006 to more than 28,000 by 2016, state Insurance Commissioner David Altmaier has told legislative committees debating the issue. Seventy-three percent of rate requests by insurance companies filed with the Office of Insurance Regulation last year were approved for

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