Feeds

Insurers attacked over Y2K exclusions

Xerox, Microsoft, others, thought to have contested claims worth $Millions

  • alert
  • submit to reddit

Next gen security for virtualised datacentres

A string of top US firms have filed hundreds of millions of dollars worth of millennium bug claims in court against their insurers in a move that threatens to expose the entire industry to billions of dollars in claims. Research published by boutique investment bank Fox-Pitt, Kelton says that three corporates have filed $598 million of contested claims against a range of insurers. The firms are copier giant Xerox, telco GTE and computer firm Unisys. The claims, revealed in the London Evening Standard, come as a surprise. In the run up to the millennium, insurance firms had repeatedly claimed that the millennium bug was in principle uninsurable as it was a foreseeable event (although some of the consequences of a bug failure were covered). To aid their cause insurers devised specific millennium bug related exemptions. Other firms are understood to made claims include a subsidiary of JP Morgan the investment bank and Microsoft. There is no evidence yet of any bug claims being made in the UK. Official bug buster Action 2000 said it "was not aware of any claims being made in the UK". Fox-Pitt, Kelton, which is owned by re-insurer Swiss Re, estimates insurers could be exposed to as much as $77 billion in claims. ®

Secure remote control for conventional and virtual desktops

More from The Register

next story
6 Obvious Reasons Why Facebook Will Ban This Article (Thank God)
Clampdown on clickbait ... and El Reg is OK with this
No, thank you. I will not code for the Caliphate
Some assignments, even the Bongster decline must
Kaspersky backpedals on 'done nothing wrong, nothing to fear' blather
Founder (and internet passport fan) now says privacy is precious
TROLL SLAYER Google grabs $1.3 MEEELLION in patent counter-suit
Chocolate Factory hits back at firm for suing customers
Mozilla's 'Tiles' ads debut in new Firefox nightlies
You can try turning them off and on again
Sit tight, fanbois. Apple's '$400' wearable release slips into early 2015
Sources: time to put in plenty of clock-watching for' iWatch
Facebook to let stalkers unearth buried posts with mobe search
Prepare to HAUNT your pal's back catalogue
prev story

Whitepapers

5 things you didn’t know about cloud backup
IT departments are embracing cloud backup, but there’s a lot you need to know before choosing a service provider. Learn all the critical things you need to know.
Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Backing up Big Data
Solving backup challenges and “protect everything from everywhere,” as we move into the era of big data management and the adoption of BYOD.
Consolidation: The Foundation for IT Business Transformation
In this whitepaper learn how effective consolidation of IT and business resources can enable multiple, meaningful business benefits.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?