We are pleased to launch our new Management Liability Product (MLP) and would like to outline how insurance brokers can benefit from offering our product.
What is MLP?
You know what it means but we would define our MLP as an insurance product that helps protect directors, managers and commercial businesses from claims alleging ‘wrongful acts’ in the management of a business or the discharging of duties as company directors.
Our policy is divided into two main sections.
Directors and Officers Liability Cover: An overview
Our Directors and Officers Liability Cover protects directors and senior management (officers) from a broad range of claims that could be made against them during the policy period.
This policy covers company reimbursement and investigation costs, ensuring senior directors or officers of the company are reimbursed up to the limit of liability for wrongful act claims made against the company. Corporate liability is also included.
Our cover is there to protect the company on a broad basis and this also includes the reputation of a company. For example, following a wrongful act claim, the policy will fund a mutually agreed public relations firm to mitigate reputational damage
We have introduced other additional covers to this end. Below are just some of them:
· Retirement cover
· Management buy out cover
· Personal charity cover
· Tax cover
· Corporate legal liability contractual cover
· Pollution clean up costs
· Corporate legal liability identity fraud cover
· Restrictive covenant cover
· Corporate legal liability third party electronic funds transfer cover
· Corporate legal liability pursuit extension
· Contract disputes and debt recovery cover
We also have the option to include crime cover up to £50,000, to further protect SME businesses.
Employment Practices Cover: An overview
The second section of the policy, Employment Practices Cover, indemnifies a manager and/or their company from claims made by a past, present or potential employee. Potential claims include wrongful dismissal, discrimination on the grounds of sex, unequal pay and the unlawful deduction of wages, to name just a few.
Other elements of the cover include:
· Compensation for court attendance cover – The policy will indemnify a manager (and any other relevant individual such as a spouse or partner) for court attendance.
· Management buy-out cover – If a management team conducts a buy-out, the company will receive the same level of cover for 30 days from the buy-out date.
· Outside company cover – In addition to internal claims, the cover will protect a manager from wrongful employment practice claims made by an individual in an outside company.
Many small businesses and start-ups wrongfully believe that as they have a small or limited staff number, they don’t require employment practices cover. Businesses of all sizes, however, can be impacted by claims made by former or current employees, making employment practices cover essential.
Want to learn more about our new management liability product?
At Custodian, we aim to provide our brokers with quality products, service, capacity and claims handling.
A member of our team would be happy to discuss our offering in detail with you along with any opportunities you may have.
So do not hesitate to contact our team today.
Email us at info@custodianinsurance.co.uk or give us a call on 03333 448 535
