Management Liability

Why do you need Management Liability Insurance?

Keep your business and its leadership protected from the multitude of risks in an ever-changing environment.

Management Liability insurance helps cover your company and its officials from the typical risks they face in their day to day activities. These risks can take place in the workplace in cases such as discrimination lawsuits or even outside the office such as kidnap and ransom situations. Having the appropriate protection in place for your company is crucial to ensure that your staff and assets are secure.

Management Liability Insurance typically comes in 5 parts: Directors & Officers, Employment Practices Liability, Fiduciary Liability, Crime, and Kidnap & Ransom. Each of these 5 parts is vital to creating a comprehensive Business Owners Policy (BOP).

Types of Management Liability Insurance

Directors & Officers Insurance (D&O) Directors & Officers Insurance protects your company and leadership from liabilities resulting from their managerial decisions and duties. For more information regarding D&O coverage, click here [insert link to D&O Page]

Employment Practices Liability Insurance (EPLI) Employment Practices Liability Insurance provides defense from claims made against your company for any alleged discrimination, harassment, or wrongful terminations. To find out more about how EPLI coverage can protect your company, visit our EPLI page at [insert link to EPLI page]

Fiduciary Liability Providing a strong package of benefits for your employees is vital to building an engaged employee base but this also opens the door for potential liabilities for any misconduct or breach of duty. With the passing of the Employee Retirement Income Security Act of 1974 (ERISA), the level of liability faced by fiduciaries increased as the responsibilities of said fiduciaries became more clearly defined. Fiduciary Liability covers any costs associated with claims and defense costs and keeps the personal assets of your management safe from exposure.
Types of potential claims include (but are not limited to):
  • Errors and omissions
  • Breach of conduct
  • Wasting or improper administration of assets
  • False or deceptive reporting

Crime Crime insurance , sometimes known as “fidelity insurance”, is crucial for companies looking to protect their profits and well-being. According to the Association of Certified Fraud Examiners (ACFE), the average organization loses roughly 5% of their annual revenue due to fraud.1 Furthermore, those organizations that did not have anti-fraud controls in place saw twice as much in their median losses. Crime insurance can cover your company from a range of crimes including theft, fraud, employee dishonesty, and forgery.

Kidnap & Ransom Insurance The dangers of kidnapping and the ransoms that often come hand in hand are a very real threat that can increase in severity, especially when it comes to company executives. There are over 15,000 reported kidnappings that take place on average each year and these only make up roughly 20% of all kidnappings (the other 80% being unreported kidnappings). If this happens to an important member of your company, it could leave you at a great deal of financial risk. K&R insurance protects your company from any financial losses you might face as a result of kidnappings, extortions, and ransoms.