Management Liability Insurance can contain several sections addressing different risks associated with managing and operating a business.

Common sections can include:

• Directors and Officers Liability — certain claims against insured directors, officers or managers
• Company or Entity Liability — certain claims made directly against the insured organisation
• Employment Practices Liability — claims involving matters such as unfair dismissal, discrimination, bullying or harassment
• Statutory Liability — certain regulatory investigations, defence costs and penalties where legally insurable
• Crime or Fidelity — certain direct financial losses involving employee dishonesty or other insured criminal acts
• Tax Audit — certain approved professional costs associated with specified tax audits or investigations
• Superannuation Trustees Liability — where specifically included
• Investigation Costs — certain costs arising from insured regulatory investigations or inquiries

Does every Management Liability policy include these sections? #

No.

Depending on the insurer, sections may be:

• Automatically included
• Optional
• Subject to separate limits
• Subject to sub-limits
• Subject to different excesses
• Restricted by exclusions

Fines and penalties should not be assumed to be insured simply because Statutory Liability is included.

Management Liability also does not automatically replace:

• Professional Indemnity Insurance
• Cyber Insurance
• Public Liability Insurance

The policy schedule and wording should be reviewed together to confirm the sections actually arranged.

Contact our team if you need help reviewing a Management Liability policy.