The Hartford Financial Services Group will offer D&O liability insurance coverage to its mid-sized and small commercial customers (typically businesses with 200 or fewer employees) through an exclusive agreement with Executive Risk.
The Hartford will underwrite, issue, market and distribute, through its 5,000 independent agency force, Executive Risk D&O liability policies customized for The Hartford's customers. Executive Risk will assume all of the risk on the policies and will handle all claims.
"This agreement marks the start of a mutually rewarding long-term relationship between us and a premier provider of specialized liability insurance coverages," said William Stanway, president of Hartford Commercial, The Hartford's commercial insurance arm. "By providing D&O coverage, The Hartford now will be able to satisfy virtually all of a business's insurance needs. This will help us partner with agents not only to grow business with existing customers, but also to capitalize on new opportunities with organizations seeking to obtain all their business insurance from one source."
Zurich-American Group introduces new EPL policy
Zurich-American Insurance Group has introduced a new EPL policy with the following new features: removal of the intentional acts exclusion, a modified hammer clause, coverage for independent contractors, and an automatic three-year run-off provision.
The name of the coverage has also been changed from Human Resources Professional Liability to Employment Practices Liability. The policy targets companies with more than 200 employees.
The company is offering several new complimentary loss control services as part of the policy, including customized training sessions from a leading employment consultant and access to an online, interactive source of legal information.
For more information about Zurich American's Executive Assurance EPL program, readers may contact Ms. Reynolds at (212) 748-2375.
Reliance offers child-care products through agents
Reliance Specialty, a division of Reliance Insurance Company, has opened a new distribution channel for child-care business.
Reliance agents, as well as select non-Reliance agents who specialize in child-care business, now can buy products and services for this market segment directly from Reliance Specialty. Previously, this business was handled through a managing general agent.
"Providing products and services direct through producers means it will be easier for producers to do business with us," said Diane Owens, Reliance Specialty operations director. Reliance Specialty tailors insurance programs to meet the complex needs of child-care risks, including: national and regional chains, independently operated centers, government-supported Head Start programs, corporate-sponsored child-care services, kindergartens and Montessori schools. Coverages also are provided for ancillary operations such as summer camps and latch-key programs.
Programs are designed to give insureds peace of mind from routine concerns, such as slips and falls in the playground, and major worries, including automobile accidents and, possibly, abuse.
AIG offers new program for governmental entities
The American International Companies (AIG Group) introduced MuniPro, a public officials and employment practices liability insurance package for governmental entities.
MuniPro covers public entities, their employees and volunteers for claims of alleged or actual breach of duty, neglect, error, misstatement, or omission by an insured in the performance of duties for the public entity. Additionally, the policy covers 11 defined employment practices violations, including retaliation. It also covers the insured's employees for outside board service on behalf of the insured, and original claims made by insureds against other insureds. Optional coverage for libel, slander, defamation of character, and emotional distress damages for employment practice violations can be added to the policy.
Defense costs are paid in addition to the limit of liability. The policy provides for defense of claims alleging errors or omissions even if the allegations are proven groundless and provides up to $100,000 in defense coverage for claims seeking injunctive relief. Punitive damages up to $50,000 are also covered.
For more information about MuniPro, contact Rich Fleischer at (212) 458-1112 or http://access.aig.com.
St. Paul expands program for golf facilities
St. Paul Fire and Marine Insurance Company is offering expanded and enhanced coverages for golf facilities with the reintroduction of Eagle 3, a property and liability insurance program for commercial policyholders. Coverage will be offered to daily fee and municipal golf facilities--as long as the operation of the golf course is the principal business of the insured--as well as private golf facilities.
One Eagle 3 coverage enhancement is "all-risk" coverage for newly acquired equipment such as maintenance equipment and golf cars with a limit of 25% of the combined total values. Coverage for golf-specific property is available and has been extended to "all-risk" along with broader property coverage and expanded comprehensive liability coverage.
The newly enhanced program will be filed under a new general liability rating plan. Golf exposure will be based upon rounds of golf played rather than on a golf facility's total receipts.
CNA/Schinnerer program returns dividend to architect clients
CNA/Schinnerer distributed nearly $41 million in profit-sharing funds to insureds through its COMMITMENT PLUS® profit-sharing plan. The returns cover the 1989 to 1994 policy years, bringing the total returns since 1990 to approximately $306 million.
"Not only is COMMITMENT PLUS the only profit-sharing program of its kind in the architects and engineers insurance marketplace, but this is also the ninth consecutive year our clients have received a COMMITMENT PLUS check. And it's the result of their risk management practices which led to a drop in the number of claims against architects and engineers in the 1990s," said Jim Canavan, vice president of Architects, Engineers and Construction Professional Liability at CNA.
Developed in conjunction with the AIA and the NSPE, COMMITMENT PLUS caps CNA's underwriting profit at 3%. Over a designated period, CNA/Schinnerer returns any premiums that exceed the cap to the insureds that generate the premium.
Cigna has employment practices coverage for small employers
Cigna Property & Casualty's Excess Casualty unit has launched a new employment-related practices endorsement for its commercial umbrella liability policy aimed at small to medium-sized businesses with workforces of 100 employees or less. The new endorsement covers the company and its officers, directors and managerial employees for damage awards and defense costs in employment-related lawsuits.
The endorsement is available on a claims-made basis and provides limit options up to $2 million per wrongful act, regardless of the number of plaintiffs. Companies can choose self-insured retentions of $2,500, $5,000 or $10,000.
The endorsement is not available in Texas, California, New Jersey or Michigan. It is offered through independent agents and brokers.
Hanover announces CGL enhancements
The Hanover Insurance Company has introduced two separate endorsements that broaden the commercial general liability (CGL) policy: the Worldwide Products endorsement and the Special Broadening form.
The Worldwide Products endorsement extends CGL coverage to product-liability lawsuits filed in countries outside the United States, its territories and possessions, or Canada. The premium is based on foreign sales, and there is no minimum premium.
The CGL Special Broadening form provides 19 additional coverages frequently requested by business owners and agents for a flat $250 premium. The Special Broadening form coverages include $100,000 of coverage for government-ordered product recalls, coverage for insureds who unintentionally fail to disclose hazards or unintentionally fail to notify the insurer of a claim, extension of the aggregate limit to each of the insured's locations, and coverage for additional insureds when it is required by a written contract or agreement. *
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