Chartis has launched Private Equity Professional Edge, a management and professional liability insurance program for private equity and venture capital firms and their managers.
Private Equity Professional Edge combines directors and officers, professional liability, and employment practices liability coverages into a single form. The policy provides broad protection for funds, management companies and managers from claims arising from activities on behalf of the funds as well as from participation on the boards of portfolio companies.
Private Equity Professional Edge offers features such as:
- Entity protection that encompasses a firm’s liability as a controlling/selling shareholder of a portfolio company;
- Advancement of loss for fund professionals when a firm fails or refuses to advance or indemnify a covered loss; and
- Coverage for advisory board members, industry consultants, entrepreneurs in residence and other advisors acting on behalf of the firm.
“With dynamic exposures such as the new registration requirement under the Dodd-Frank Act, today’s private equity and venture capital firms are seeing increased risks of litigation from a variety of sources – limited partners, portfolio companies, investors, regulators, and even their own employees. Defending these lawsuits is a significant distraction and these claims can also be financially devastating for firms and their investors,” said Michael Smith, president of Executive Liability.
Was this article valuable?
Here are more articles you may enjoy.