ACE Westchester, the U.S.-based wholesale-focused property and casualty operation of the ACE Group of Companies, has launched Retired Directors Assurance, a stand-alone policy designed to protect the personal assets of retired directors who have served on the board of directors for publicly-traded, private and not-for-profit organizations and companies.
Additionally, ACE Westchester has established a strategic alliance with Retired Directors Assurance Underwriting Services (RDAUS), which will serve as the program agent for the Retired Directors Assurance product offering, with coverage offered through Westchester Surplus Lines Insurance Co. (WSLIC) and other ACE affiliates, part of the ACE Group of Companies.
The new product offers coverage to retired directors for a period of six years, which covers the statute of limitations imposed under the Sarbanes-Oxley Act of 2002. The RDA policy will provide a dedicated limit of liability for the individual director and cannot be cancelled or rescinded for any reason, except for non-payment of premium. Coverage will be written on a broad form that will offer difference-in-condition terms as well as the covered directors’ right to select counsel.
“In this era of ever-changing litigation and severity of claims, the need for retired directors to have comprehensive individual protection in the event that they leave or retire from the board has never been more critical,” said David Lupica, president, ACE Westchester Professional Risk Division.
Source: ACE Westchester