Loss resulting from a wrongful act and will pay for:
Damages, judgments, settlements bail bond costs, crisis costs, deprivation of asset costs, prosecution costs, public relations expenses and defence costs
Legal representation expenses
Losses incurred within 30 days of buy-outs by management of a subsidiary company
Costs arising from extradition proceedings
Tax contributions where the parent company has become insolvent and there is personal liability of an insured
Losses incurred for civil fines and penalties
North American exposures
Actions between directors of the company
Where there has been fraudulent conduct, non-disclosure misrepresentation or intent to deceive, the policy will nevertheless be maintained for each innocent director
What Is New In Elite V?
The Chubb Elite V policy wording has been developed in response to feedback received from our broker panel, and now includes as standard:
Preservation of Side A Limit provides a reinstated limit of liability for any Side A losses should the insurer pay a loss on the Side B or Side C element of the policy
Cyber Privacy and Confidentiality Extension provides cover for losses as a direct result of data legislation breaches or unauthorised data disclosure.
Mitigation of Loss Extension provides an indemnity to an insured following action taken to prevent a potential loss under the policy.
Pre-Investigation Costs Extension pays the costs incurred by an insured person following an onsite visit by an official body or notification to an official body of a possible legal or regulatory breach of duty.
Environmental Violation Extension provides an additional limit of liability for claims deriving from actual, alleged or threatened pollution escape, including greenhouse gases, or any regulator instruction for remediation.
Securities Entity Cover is included as standard within the policy wording.
Reinstatement of limit if a recovery ensures the insurer reduces the impairment of the limit of liability for any recoveries.
What Constituties a Claim?
There is a broad definition of types of acts and a wide definition of wrongful act which constitute the basis of a claim, including:
Breach of trust
Breach of duty
Any violation of the Companies Act or any equivalent law, rule or regulation in any other jurisdiction including:
Written demands, civil and criminal actions and administrative and regulatory proceedings
Employment related wrongful acts including cover for any breach of employment law (common law or statute)
Action raised against insured persons in respect of pollution
Civil or arbitral proceedings against the company
Criminal prosecution against the company
Formal administrative or regulatory proceeding against the company
Additional catch all of any matter claimed as a result of status as a director or officer of the company
What Is Included In The Definition Of Loss?
Damages, judgments, settlements and defence costs, including aggravated, punitive and exemplary damages where insurable
Bail bond costs
Deprivation of assets expenses
Public relations expenses
Reputation protection expenses
Advancement of defence costs
All reasonable third party fees, costs and expenses that are incurred to defend or appeal a claim, e.g. lawyers’ fees, arbitrators’ fees, experts’ fees and other alternative dispute resolution procedure costs