Zurich has introduced Financial Institutions Select, a new management liability/professional liability policy that reflects the needs of financial institutions and includes more than 75 new coverage enhancements to respond to the current landscape of risk faced by the management of financial institutions.
The Zurich Financial Institutions Select insurance policy offers 10 coverage options to choose from: Management Liability, Excess Side-A Liability, Private Company Securities, Public Company Securities, Employment Practices Liability, Fiduciary Liability, Professional Liability, Lender Liability, Trust Department Liability and Security & Privacy Protection.
Among the highlights of the new groundbreaking policy are:
o Retired Independent Directors Side A coverage that provides an additional level of protection for retired independent directors with personal Side A coverage after all other insurance protection is exhausted
o An Environmental Mismanagement extension that provides coverage for traditional management liability exposures, such as securities claims, retaliation claims against insured persons, non-securities misrepresentation claims and Side A coverage claims arising out of or attributable to actual, or alleged, climate change or global warming
o Non-rescindable Side A coverage
o Guaranteed right to an initial public offering D&O insurance quotation (Private Securities coverage section)
o Management Liability coverage that offers a broadened definition of claims that includes costs associated with civil, criminal, administrative or regulatory investigations of an Insured Person
o A unique e-discovery endorsement offering e-discovery costs that are part of otherwise-covered Defense Costs and providing additional separate limits with no retention plus, no additional cost readiness assessments and preferred rates
o Professional Liability Coverage that provides insurance for claims against the entity for a broad range of services. Optional coverage is available for Broker Services Liability, Insurance Agent Services Liability and IRA/Keogh Services Liability
o An Extended Reporting Period (ERP) enhancement that allows any individual Insured Persons to elect this option at customized rates, if the policyholder declines to purchase the ERP
o Run-off Coverage, if selected, that offers coverage for claims arising from pre-acquisition wrongful acts of directors and officers
o Security & Privacy Protection offering first party and third party coverage with a supplementary limit for Security breaches
o An expanded definition of subsidiaries that now includes limited liability companies, foundations and political action committees sponsored by the policyholder
"Financial Institutions Select is designed to meet the needs of financial enterprises' directors and officers in today's highly litigious and uncertain business environment," Christopher Taylor said, president of Zurich North America Commercial's Financial Enterprises unit.