Management Liability


Management liability insurance is a relatively new type of insurance protection.  It protects against allegations of financial injury.  It combines Directors and Officers Liability (D&O), Employment Practices Liability Insurance (EPLI), and Fiduciary Liability insurance.

Management Liability Insurance helps provide protection against:

  • Allegations of wrongful termination, discrimination, and sexual harassment – the most common types of complaints against most companies.
    • There is a lot in the press about wrongful termination suits and the large court awards or “out of court” settlements.  Management liability insurance provides protection in this key area.  In addition, insurance companies who issue this type of insurance protection often provide training to help prevent claims.  They provide sample communications and policies which can help in preventing suits and problems.
    • Charges of mishandling investment funds or failing to carry our investment instructions.
      • It only takes one mistake and the consequences can be significant.  Even if it was an honest error, it can take years to put things straight, and there can be tremendous financial repercussions.  This type of protection can offer an important safety net.
      • Shareholder suits alleging a lack of proper “corporate governance”.
        • Allegations of poor corporate governance can have a significant impact on a business, especially in these days where the term “transparency” is more and more part of the lexicon.  Properly set up Management Liability Insurance can make a huge difference if one of these allegations were to arise.

This coverage while often overlooked can be a critical part of the comprehensive protection plan that we are able to provide.  Our team is ready to review your insurance needs and help you develop a plan suited for your needs.