NU Online News Service, June 9, 2:23 p.m. EDT
XL Capital Ltd., announced that it has signed agreements for a Berkshire Hathaway subsidiary to provide backing for its directors and officers liability policies.
Hartford, Conn.- based, XL said its XL Insurance will have Berkshire's National Indemnity issue endorsements to "Side A" D&O policies, which provide directors and officers with personal asset protection in situations when other sources of insurance or indemnification are unavailable.
David Duclos, chief executive officer of XL Insurance, said, "Given today's business climate, we believe that this enhanced 'Side A' coverage, for individual Directors & Officers, addresses both client and broker need for a program that offers the utmost protection to directors and officers in the event that the client's indemnity coverage fails to respond."
He said the action is "another example of the proactive focus XL takes in responding to our customers' needs."
According to the company, the new endorsements offer clients the option to add an additional layer of protection from National Indemnity which it noted is rated A plus plus "Superior" by A.M. Best Co.
John T. Burrows, senior vice president of XL Insurance's Professional group said association with National Indemnity "brings together our collective strengths to support our clients' long-term professional liability needs. This is especially critical in today's economic environment."
XL said its "Side A" coverage can be tailored to provide dedicated coverage to "Special Board Committees, Audit Committees, Outside Directors, or any other D&O sub-group facing increased scrutiny and potential liability in today's business environment."
The insurer said protection may also be crafted to provide "targeted coverage for an individual in his/her role as director or officer across one or more unrelated firms."
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