Nothing is as simple as it used to be. Court decisions and new laws are rendering insurance companies increasingly vulnerable
to an unprecedented number of lawsuits. The most progressive and the most conservative companies are finding themselves exposed.
In today’s perilous legal environment, insurance companies have special liability needs that in many respects are not covered
by their existing general liability insurance policy. The proliferation of federal and state laws governing employment, combined
with evolving case law, makes claims by employees more common and more costly. ERISA continues to create significant fiduciary
accountability. Professional liability suits, sales practice issues and bad faith allegations can be triggered by not meeting
customer expectations. Even routine managements decisions can lead to claims against directors and officers as well as the
A wide range of actions can be brought by any number of parties-not just employees, but also policy-holders, shareholders,
customers, creditors, competitors and government agencies. The financial well-being of the insurance company and its directors
and officers is at risk.
In the past, an insurance company wanting to insure such diverse risks had to purchase several different policies and hope
a claim would not fall into one of the potential gaps in their insurance protection. This is one of the reasons why ForeFront by Chubb for Insurance for Insurance Companies was created. Now there is a single policy to help cover the most troubling exposures.