BeazleyManagement Liability

Specialist management liability protection for non-US domiciled organisations.

Holding a senior position in an organisation is a great honour. But with it comes responsibility. The consequences of getting things wrong can be catastrophic for the organisation concerned and any individual accused or found liable.

From new flexible forms of employment to the growing risk of data breaches, the risks are constantly changing, leaving individuals increasingly vulnerable.

We have designed our management liability cover to give organisations and their officers confidence that they are protected from the range of related risks faced in the modern world. This market leading range of covers includes:

• Directors & officers liability• Public offering of securities• Employment practices liability• Pension trustee liability • Crime.

Our specialist team has extensive management liability experience and, as you would expect from Beazley, they have created beautifully designed policy wordings with clear and concise language which is consistent across all the policies.

Limits

All the policies in this range have limits up to US$25m.

BeazleyManagementLiability

Directors & officersEvery organisation is different and the risks that they face are constantly changing, leaving individuals increasingly vulnerable. Organisations want to attract the best senior talent. To do so they need to provide reassurance there is insurance in place that the individual can rely upon to protect their personal assets in the event of a liability claim.

Beazley has designed a flexible suite of Directors & Officers (D&O) liability policies to give organisations, and their leaders, confidence that they are protected from the range of risks they may face. These market-leading policies range from a single policy to cover the organisation and its directors, through to policies addressing the specific needs of individuals. The suite includes the following policies:

• Side ABC • Side AB • Side A • Side A DIC.

D&O Side ABCThis Side ABC policy is the most comprehensive policy in our D&O range and covers the personal liability of the insured individual, the company’s liabilities when it indemnifies the individual and the company if faced with securities claims.

CoverProtection for directors and officers, as well as other individuals, including coverage for:

• Regulatory and internal investigations • Data breach • Environmental claims • Health and safety claims • Insolvency hearings • Extradition, permanent residency and repatriation • Damage to reputation • Freezing of assets and disqualification • Full limit mitigation costs cover • Automatic reinstatement of limit for non-indemnifiable loss.

Protection for the company, including costs relating to:

• Payments made to indemnify individuals • Securities claims • Regulatory and internal investigations • Books and records demands • Derivative demands • Global Dutch securities settlement advice.

BeazleyManagementLiability

D&O Side A This policy provides “ground up” cover for individual directors and officers when the company does not indemnify.

One of the key benefits to the individual is that they do not share policy limits with the organisation so avoid the risk of limits being depleted by the organisation’s insured losses.

Cover• Regulatory and internal investigations • Data breach • Environmental claims • Health and safety claims • Insolvency hearings • Extradition, permanent residency and repatriation • Damage to reputation • Freezing of assets and disqualification • Full limit mitigation costs cover • Reinstatement of full limit for those individuals who have not been party to a previous claim that has depleted the limit.

D&O Side ABThis cover is for individuals and organisations, whether private or public, that require the protection of a Side AB policy but not the securities-related cover for the company provided by Side C.

CoverProtection for directors and officers, as well as other individuals, including coverage for:

• Regulatory and internal investigations • Data breach • Environmental claims • Health and safety claims • Insolvency hearings • Extradition, permanent residency and repatriation • Damage to reputation • Freezing of assets and disqualification • Full limit mitigation costs cover • 75% allocation for securities claims for public companies • Automatic reinstatement of limit for non-indemnifiable loss.

Protection for the company, for costs relating to payments made to indemnify individuals.

D&O Side A Difference In Conditions (DIC)This policy provides cover for individual directors and officers when the company does not indemnify. The policy responds:

• As excess cover when limits on the primary/underlying D&O cover have been exhausted. In this case the Side A DIC policy can pay shortfalls subject to any terms, conditions and limitations in the primary / underlying D&O policies; or

• On a DIC/drop-down basis when an insurer of the primary/underlying D&O cover refuses to pay a claim or fails to pay within 45 days of a request to do so.

Examples of reasons for non-payment include:

– Insolvency of the insurer

– Application of an exclusion

– Allegation that defence costs were incurred unnecessarily

– Late notification of a claim (provided that notification on the Side A DIC policy is made as soon as practicable).

The benefit of a Side A DIC policy is that, unlike other D&O policies, there are no coverage exclusions other than in relation to matters of conduct.

The policy provides three full reinstatements of the limit.

Public offering of securitiesThe raising of capital typically heralds the dawn of a new period of opportunity for a business. However the process associated with a public offering of securities can be complex and prone to unexpected issues. To give reassurance to organisations embarking on this road we have designed bespoke cover, including costs associated with:

• Claims made against: – insured individuals – the company – controlling shareholders – selling shareholders.

• Underwriter indemnity

• Follow-on offering claims

• Regulatory and internal investigations

• In relation to insured persons: – data breach – damage to reputation – full limit mitigation costs cover.

• In relation to the company, global Dutch securities settlement advice.

Pension trustees We have developed insurance to protect the plan, its trustees and the associated company for any related indemnity that they provide. Cover includes:

• Regulatory costs• Data breach• Contribution notices• Extradition and repatriation• Foreign jurisdiction liberalisation• Full limit mitigation costs cover• Damage to reputation• Freezing of assets and disqualification.

BeazleyManagementLiability

Employment practicesAt Beazley we understand that employers constantly face new challenges and exposures as a result of a changing legal landscape and increasingly employee-friendly courts. From discrimination and harassment to health and safety responsibilities, the potential for getting things wrong is great. With the burden of proof typically on the employers, the impact can run beyond financial penalties and create deep reputational damage. The risks are only set to increase as the implications are established of non-standard forms of working becoming more prevalent, such as zero hours contracts and freelancing.

To help employers cope, Beazley has developed an employment practices insurance that addresses emerging exposures as well as traditional ones, including:

• Regulatory costs• Cyber bullying • Immigration assistance• Data breach • Sensitivity training • Joint venture loss • Third party claims.

Target marketA wide range of non-financial organisations can benefit from the cover.

TerritoriesWorldwide (excluding United States domiciled organisations).

CrimeIn 1925 Victor Lustig audaciously posed as a French government official and persuaded metal dealer, Andre Poisson, to “purchase” the Eiffel Tower as scrap. Monsieur Poisson was so mortified when he discovered the deception that he kept quiet allowing Lustig to escape by train to Vienna with the cash.

Nearly a century later con artists continue to ply their trade but they have embraced new means such as the increasing wave of social engineering attacks. These scams are just one example of the crimes that businesses must be on the guard against that originate from both within and outside the organisation. Even the most prepared can be vulnerable. In response we have created comprehensive crime insurance providing cover for both employee and third party crime along with growing threats such as social engineering. Cover also includes:

• Limit of liability on an any one claim basis (up to US$10m) • Forgery and counterfeiting • Fund transfer fraud • Physical loss of, or damage to, property • Extortion • Computer malware • Corporate identity fraud • Contractual penalties • Flexible retention levels.

www.beazley.com

BeazleyManagementLiability Beazley GroupPlantation Place South60 Great Tower StreetLondon EC3R 5ADUnited Kingdom

T +44 (0)20 7667 0623 F +44 (0)20 7674 7100

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The descriptions contained in this communication are for broker preliminary informational purposes only. Coverages are underwritten by Beazley syndicates at Lloyd’s and will vary depending on individual country law requirements and may be unavailable in some countries. The exact coverage afforded by the products described in this brochure are subject to and governed by the terms and conditions of each policy issued.

Contact usYou can learn more about how Beazley can help with the management liability insurance needs of non-US domiciled organisations by contacting a member of our specialist team:

Catherina MacCabe International management liability focus group leader T +44 (0)20 7674 7775 catherina.maccabe@beazley.com

Tom Ielapi Underwriter T +44 (0)20 7674 7131 tom.ielapi@beazley.com

Emma Pereira Underwriter T +44 (0)20 7674 7159 emma.pereira@beazley.com

Tracy Holm Specialty lines international claims team leader T +44 (0)20 7674 7294 tracy.holm@beazley.com

Carl Puttock Underwriter T +44 (0)20 7674 7791 carl.puttock@beazley.com

Steve Jennings Underwriter T +44 (0)20 7667 0698 steven.jennings@beazley.com

Joanne Hayward Underwriter T +44 (0)20 7674 7022 joanne.hayward@beazley.com

Kieran Patel International financial lines claims focus group leader T +44 (0)20 7674 7045 kieran.patel@beazley.com