Management Liability

Cyber risks and the resulting liability are the fastest-growing area of risk. As computers hold more of your information, cyber security becomes more important and the insurance to cover it evolves.

What could you lose? Money, time and your reputation.

Inside threats to an organization:

• Employee negligence
  • Security failures due to ignorance
  • Lost devices
  • Improper disposal of information
•  Malicious Employees

Outside Threats to an organization:

• Hackers
  • Malware
  • Phishing and spear phishing
• Thieves
• Vendors

Some of the considerations to determine the right cyber insurance:

• First party coverage
• Third Party Coverage
• Damaged Hardware, software and computer networks
• Cyber Extortion
• Business Interruption and Extra Expenses

First-party types of data breach costs which should be covered:

• Data loss
• Software loss
• Hardware loss
• Income loss
• Business interruption costs
• Restoration costs

We can help you calculate the cost of a data breach and determine if you have the right limit for your insurance policy.  To learn more please click on the Make Contact button so we can help.

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Employment Practices Liability (EPL) protects businesses from employment-related lawsuits, such as:

• Multiple Classes of Discrimination and Harassment, like Racial, Sexual, Age, Disability
• Wrongful Termination
• Third-Party/Employment-Related Sexual Harassment Claims
• Third-Party/Non-Employment-Related discrimination and Harassment Claims
• Workplace Torts
• Wage & Hour Claims

Good to Know:

• Employment Law is rapidly evolving, so it’s best to get help with quantifying the risk-management value of specific policy provisions.
• Employment Practices Liability policies can be purchased as either a stand-alone coverage or combined with Management Liability policies or a Commercial General Liability Policy.
• Employment Practices Liability policies can be either duty to defend or reimbursement policies, which is a crucial consideration for who controls defense.
• Marchel & Associates has worked with hundreds of clients in placing coverage and monitoring and handling claims.

Also called management liability insurance, this covers exposures faced by directors, officers, managers, and business entities. You’ll be insured against risk that arises from governance, finance, benefits, and management activities.

Types of Management Liability (Executive Liability, Directors & Officers Liability):

• Public Entity
• Private Entity
• Not-for-profit entity
• Public Officials

We have assisted hundreds of clients and their agents to:

• Review and place management liability policies
• Present their claim to their insurance company
• Work with counsel to resolve claims for management liability

Fidelity & crime liability insurance covers claims involving the loss of money, securities or inventory due to a crime.

Fiduciary liability insurance covers claims filed against fiduciaries by employees and beneficiaries of retirement plans. The claims would be for errors in the handling of employee benefits and retirement plan investments protected under ERISA.

Why Does this Matter?

Because protecting the fiduciaries of employment benefit plans can be complicated. ERISA claims typically aren’t covered by Directors and Officers and Employment Practices Liability policies. So individual fiduciaries may be personally liable for any losses they caused.

A combined program written out of Lloyds that provides coverage for both medical billings errors and the cyber risks that health care providers face.

The top two cyber exposures faced by health care providers are:

• Theft/loss of data
• Insider misuse of data

When evaluating medical billing errors insurance, here are a few items you should consider within the insurance policy:

• Definition of billing error proceeding
• Regulatory proceeding language
• Fines and penalties covered
• Exclusions
• Claim reporting and notice of circumstance language
• What, if any, government action(s) are covered?
• What privacy regulations are covered?
• What costs and expenses are covered (shadow audits)?

We can help you identify other exposures and ways to reduce your risk.