D&O and EPL
Also see -
D & O Liability | Personal D & O Liability | Employment Practices Liability
Manry Rawls Consultants understand the complex nature of Executive Liability. A select group of professionals within the Commercial Insurance Team overseas the placement and servicing of Executive Liability lines including:
- Directors and Officers Liability
- General Partnership Liability
- Employment Practices Liability
- Fiduciary Liability
- Commercial Crime
- Ransom & Extortion
- Workplace Violence
We provide our clients the expertise needed for managing these product lines. Every D&O contract is different for each insurance carrier. Most of the coverage enhancements available in the market today are available by endorsement. Negotiating a settlement provision can literally dictate how much of your claim will ultimately be paid. There is specific language with some insurance carriers that provide the broadest possible coverage for punitive damages. It is critical that your insurance broker knows what to ask for in negotiating these coverage provisions.
We deliver the solutions that give our clients a true competitive advantage. We make your Director, Officers and key Executives feel at Home with Manry Rawls.
Directors and Officers Liability
Directors and Officers Liability (D&O) protects directors and officers of public, private, and not-for-profit corporations against loss (damages and defense costs) arising out of their status or conduct as directors or officers. Common claims allege breach of duty, security law violations, and unfair competition.
In recent years, D&O liability exposure has reached an unprecedented level, for several reasons:
- Plaintiffs are bringing more types of D&O lawsuits, including class actions, private actions, derivative suits, and ERISA/401k claims, in more jurisdictions.
- Directors and officers are being closely scrutinized as never before by the government, shareholders, and the public.
- The personal assets of directors are more frequently at risk in securities lawsuits.
Personal D&O Liability
Recent corporate scandals and regulatory changes brought on by Sarbanes-Oxley have led to a decline in boardroom talent as directors and prospective directors have become increasingly concerned about potential liability.
Personal D&O helps protect the personal assets of directors and officers, even in the event that traditional D&O coverage is denied, unavailable or rescinded due to criminal or fraudulent activities. Personal policies have become increasingly important as traditional D&O coverage has become more difficult to secure, more expensive and includes more restrictions on coverage.
A recent study of 908 board members by Korn / Ferry International and Corporate Board Member showed that:
- Almost half of those surveyed were concerned about their D&O coverage
- 49% said D&O insurance was a very important factor in their decision to join a board
- 48% said they recently turned down a board position because the risk of being sued was too great
Manry Rawls Consultants can discuss Personal D&O and address some of the current issues surrounding coverage for individual directors and officers, such as:
- Protection of individual assets when sued by shareholders and others, including spousal coverage for those spouses or domestic partners named as co-defendants
- Coverage tailored for the needs of individuals - personal, dedicated limits up to $10 million; no aggregate limits to be shared by all directors/officers or the company
- Customization of policy to cover one or any combination of boards the individuals serves on and the right to choose defense counsel
- In many recent cases of fraud, scandal and bankruptcy, financial losses have exceeded the limits of traditional D&O policies, leaving individuals unprotected
Employment Practices Liability
Employment Practices Liability (EPL) protects companies and individuals against loss (damages and defense costs) arising out of employment practice disputes. Common claims allege discrimination, sexual harassment, wrongful termination, and wrongful discipline.
In this increasingly litigious society, businesses face risks that were unheard of just a few short years ago. Often, general liability policies do not cover specific exposures that could lead to devastating judgments and even financial ruin. It may not be possible for employers to completely eliminate the possibility of an employment practices liability lawsuit, but they can reduce the likelihood and can prepare for one by positioning themselves to put forth a strong defense if one does hit.
It is important to recognize that resources and solutions are available to address these challenges and to protect you in the event your company is faced with an employment practices claim.
PastEvents
05/14/2007 Sussex County Annual Business Appreciation Banquet.
Location: Airfield 4-H Center--15189 Airfield Road Wakefield, VA 23888
Social: 5:15 - 5:55 p.m.
Dinner/Program: 6:00 p.m.
Coordinated by Sussex County Government and Sussex Chamber of Commerce.
For more information, co...
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03/14/2007 Economics Club of Hampton Roads Monthly Meeting.
Monthly Meeting
Marriott Waterside Hotel
Norfolk, VA
Co-sponsored by ODU’s College of Business and Public Administration, the Economics Club’s monthly luncheon begins at noon at the Norfolk Marriott Waterside Hotel. Th...
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