Professional and financial lines

Corporate fraud is a persistent and growing threat in Australia.

Technology underpins the successful operation of businesses across the spectrum, whether that be safely storing or processing customers’ personal information or confidential information, connecting with customers and suppliers through a network or website (marketing and selling products, servicing, invoicing and transacting), or relying on a network to support day-to-day operations.

Against a legislative backdrop of increasing shareholder activism, strict compliance requirements for corporate governance, and ever more aggressive regulators, the legal and personal liability of company directors and officers is at an all-time high.

Finance professionals – bankers, fund managers, corporate advisers, stockbrokers – are uniquely exposed to litigation risk from regulators, clients and competitors. 

In an increasingly litigious business environment, professionals in a range of knowledge-based industries are exposed to risks including claims for alleged negligence, breach of duty, misleading or deceptive conduct in their professional capacity.

An ever-increasing reliance on information technology (IT) in business continues to drive growth in the IT industry, but there is a sting in the tail: IT providers are increasingly vulnerable to litigation for, amongst other things, alleged failure to deliver or failure to perform to specification.

Regulatory activity in Australia is increasing due to higher levels of public scrutiny, greater  accountability for corporate wrongdoing and such activity is now accompanied by tougher regulatory enforcement powers to investigate and enforce the law.