Management Liability Insurance
Also called Executive Liability, Management Liability insurance combines several traditionally separate policies—like directors and officers, employment practices, fiduciary, and professional liability—into one policy. Management Liability insurance provides a great variety of safeguards to private business owners and other corporate leaders.
Who Needs Management Liability Insurance?
Management liability protection should be considered by commercial businesses, professional service firms, and non-profit organizations where management responsibilities are sometimes delegated to employees or others beyond the entity’s directors and officers.
The specialized coverage provided by Management Liability insurance may be offered as an optional coverage at an additional premium on a Business Owners Policy (BOP) or Commercial Package Policy (CPP). It can also be included in a customized commercial insurance plan.
Advantages Of Management Liability Insurance
A Management Liability Policy may offer a level of protection beyond that of separate Directors & Officers Liability, Employment Practices Liability Insurance (EPLI), and Fiduciary Liability policies.
Coverages can include:
- Automatic “outside directorship” liability coverage for 501(c)(3) non-profit organizations
- Broad definition of employment practices claims
- Broad definition of the insured, including the company, directors, employees, independent contractors, and leased employees
- Business tort coverage, such as claims for interference with contractual relations
- Coverage for claims brought by partners not involved in the firm’s management – an internal exposure not offered by traditional D&O and E&O policies
- Coverage for claims of mismanagement or negligence in the day-to-day business decisions made by the firm’s management committee or executive officers
- Coverage for partnership agreement and compensation disputes
- Coverage for subsidiaries
- Defense for claims seeking enforcing of a contract
- Non-employment discrimination coverage, which protects against discrimination and sexual harassment claims brought by third parties (customers and clients), whether individually or as a class
- Spousal coverage
- Unique securities coverage, including blanket private placement coverage, select IPO coverage and Guaranteed Public Offering of Securities coverage
Brunswick Companies offers Management Liability insurance policies from wide range of top ranked carriers. With over 35 years of commercial experience, we have the know-how and industry contacts to match your needs with the plan that best suits your risk management and financial goals.