Allied World Bermuda has launched Constellation, a suite of five excess casualty coverage enhancements combined into one package that complements its current portfolio of excess casualty products. These enhancements will be added to follow-form occurrence policies issued by the Bermuda branch of Allied World Assurance Co. Holdings, AG.
Constellation provides the following enhancements:
- Uni-Wrap – provides protection against punitive damages in the follow-form occurrence market by addressing the coverage gaps in traditional excess towers.
- Affirmative Punitive Damages – provides punitive damages coverage on an affirmative basis above a retention, regardless of underlying insurance tower’s coverage of punitive damages.
- Defense, Assistance & Cooperation Provision – provides drop-down, duty-to-defend after an underlying duty-to-defend insurance tower is exhausted.
- Payment of Loss Provision – recognizes the reduction of underlying limits in the event the insured has self-funded an underlying layer, e.g. underlying carrier insolvency. Allied World will not drop down, but it will recognize amounts paid by the insured for covered loss.
- Business Continuity Protection – provides a policy extension in the event a natural disaster prevents communications between the insured and their broker or Allied World.
This package of enhancements is written for follow-form occurrence business with an attachment point directly above the lead umbrella layer, i.e. typically excess of a $25 million umbrella policy.
Topics Excess Surplus New Markets Casualty
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