Underwriting manager Victor O. Schinnerer & Co. has launched a private company management liability program. The private company program is offered to a range of eligible industries with up to $1 billion in total assets.
The program, offered on admitted paper through Catlin US, provides directors and officers (D&O) liability and employment practices liability (EPL), as well as several related management liability insurance coverages. These coverages help to protect privately held organizations from a myriad of allegations such as fraud, unfair competition, discrimination, harassment, wrongful termination, and benefit plan mismanagement, as well as expenses relating to employee theft and extortion.
The policy incorporates many components that are typically added by endorsement in the current private company marketplace. These components include severability among insureds for exclusions and representations, 25 percent asset threshold for automatic coverage of new acquisitions or benefit plans, a softened 80/20 EPL hammer clause, prevailing plaintiff’s attorney’s fees for EPL loss, non-rescindable D&O and fiduciary liability coverages, and D&O pre-claim inquiry response for non-indemnified loss.
The private company program is currently available on admitted paper in 32 states. The program will be expanded to include admitted paper in additional states as state filings are approved. Premiums start at $15,000, with limits up to $10 million.
The addition of the private company program adds to Schinnerer’s growing management liability practice which includes product offerings for non-profits, health care organizations, as well as standalone kidnap, ransom, and extortion. Schinnerer distributes its insurance programs through independent agents and brokers. Broker appointments are not required unless mandatory by state law.