A management liability policy is specifically designed to protect the directors, owners and executives of the company, together with the company, to the exposures they face with managing the firm.
Anyone who owns, or is involved at an executive level in, a company carries specific responsibilities. They may be personally liable for any alleged or actual wrong doing as a director, officer or owner of a company. Management Liability is a cover designed with keeping the risks of managing a company in mind.
- Directors and Officers (This is the primary cover)
- Company/Entity Cover
- Employment Practices Liability
- Trustees Liability
- Crime Cover
Managing business risks is critical to the overall performance of a business. Most companies insure the tangible exposures of property damage and bodily injury but neglect to insure against economic loss. Any business can experience ‘unwelcome surprises’ that could potentially threaten their financial position leaving their managers and owners exposed to personal liability and the business under threat.
Increased regulation has also heightened the operating risk for businesses of all sizes. Management Liability insurance is one way businesses can help protect themselves against ‘unwelcome surprises’.
Given the potential severity of these types of claims, it’s worth considering Management Liability insurance.