On Thursday I went to Chubb’s new product release of Forefront Portfolio 3.0. There was a great set-up in the State Room and I learned about the new developments in their new product recently released in Massachusetts. This is a program that incorporates nine specialty coverage parts including:
– Directors and Officers
– Employment Practices Liability
– Fiduciary Liability
– Professional Liability
– Employed Lawyers Liability
– CyberSecurity
– Crime
– Kidnap/Ransom and Extortion
– Workplace Violence
All of these coverage parts are absolutely a worst nightmare for a business owner. They are also some of the most overlooked. The percentage of companies without these coverage parts is enormous. While the Employed Lawyers liability or kidnap and ransom may not be a good fit for your company – D&O is. (Per Chubb’s Risk Survey, 12% of companies experienced a D&O lawsuit in the last 5 years. The claims mostly stemmed from: a customer (29%) or a government of regulatory agency (28%). The cost? $225,682 on average)
When people think of D&O they think: publically traded, huge company; this doesn’t apply to me. In reality for the small private companies and non-profits – it does.
From Chubb’s website: “As leaders of the company, the directors and officers can be held personally liable for their management decisions. Shareholders, employees, customers, suppliers, competitors, and even the government can sue a privately owned company and its board.”
Think about: Breach of contract, Civil Fines and civil penalties coverage where insurable, including FCPA penalties
I don’t want to boar you with more stats. Bottom Line: Think D&O.
For more information or quote, contact Chip Gibson.
781.239.7664 or cgibsonjr@delandgibson.com
