Management Liability Insurance
Lead with more confidence.
What is Management Liability Insurance?
Management Liability, also known as Professional Liability, is designed to protect directors, officers, board members, employees, and volunteers for private and non-profit companies from alleged mismanagement. Your company or non-profit will be protected against exposures based on decisions made by leaders or workers on behalf of the organization.
Often in the form of lawsuits, a third-party (such as customers, investors, employees, and other stakeholders) may make a claim against your organization’s decisions, management, finance, benefits, or other changes made, all of which your management liability insurance can cover in the correct package.
What’s Covered?
There are many categories of coverage that can fit into your professional liability package, some of which include:
- Directors and Officers (D&O) liability protects company assets and personal assets of directors and officers if they are sued in an event of performing their role. Covers cost of legal fees and settlements from claims alleging Wrongful acts, Improper Management, Negligence, Errors in Judgement, and Government & Regulatory violations.
- Employment practices liability insurance (EPLI)provides defense coverage for an employer if an employee or third-party makes a claim alleging an employment practices violation such as: sexual harassment, discrimination, wrongful determination, deprivation of career opportunity, breach of employment contract, violation of civil rights, inflicting emotional distress and more.
- Fiduciary Liability is directly related to your organization’s benefit plans – 401ks, medical, dental, life insurance and retirement plans – and claims of negligence, breach of fiduciary duties, or improper administering in offering plans for employees. For example, incorrect administration or enrollment of plans, errors of counseling when offering welfare plans, offering negligent or poor advice for retirement plans, or tax violations are some examples