Arrowhead General Insurance Agency Inc. is offering a new not-for-profit directors and officers program designed to insure small to medium IRS tax-exempt 501(c)3 and 501(c)4 organizations. The program is through RLI Insurance Co., an admitted “A+” rated carrier by A.M. Best Co.
Policy features include:
• Insured includes the organization, its subsidiaries, and any past, present or future director, trustee, officer, employee, volunteer, member of staff, faculty or committee.
• Broad definition of claim includes written demands for monetary relief; civil proceeding; administrative, regulatory or EEOC proceeding; arbitration proceeding; criminal proceeding; or formal civil, criminal, administrative or regulatory investigation.
• Wrongful act includes actual or alleged error, omission, act, misstatement, misleading statement, wrongful employment act, or breach of duty.
• Coverge for employment practices liability including wrongful termination, harassment and discrimination.
• Automatic coverage for acquired or created subsidiaries with assets less than 20 percent of the total assets of the entity.
• No retroactive date. Unknown prior acts are covered.
• Duty to defend and will pay on behalf of the Insured.
• Punitive damages coverage where permitted by law.
• Marital estate extension for claims made against the lawful spouse.
Target risks include IRS tax exempt 501(c)3 and 501(c)4 organizations. Eligible classes include private foundations, public charities, employee associations and social welfare organizations. Ineligible classes include assisted living providers, childcare organizations, homeowners or community associations, labor organizations, lobbying activities organizations and political action/campaign committee/organizations.
Limits of liability are $500,000 or $1 million (Higher limit options may be considered.) Minimum retention is $10,000, and $25,000 in California. Minimum premium is $3,000.
The program is available in 42 states, excluding La., Mass., Miss., N.Y., Okla., Vt., Va., Wash., and Wyo.
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