Producers working with Aon now have access to a new directors and officers liability product said to protect against exposures not covered by traditional D&O policies.
Maximum Protection D&O provides coverage to insureds when non-indemnifiable limits are exhausted or do not respond, Aon said. Product features include cost coverage for legal representation—reimbursed in a “short period of time”—and no requirement for insurers’ consent to incur those expenses.
The risk management company said the new policy works best when purchased alongside a Side A D&O program. The Maximum Protection product would kick in when insurers who write the Side A coverage deny part or all of a reported claim.
It can also be triggered when the parent company is insolvent.
“One of the greatest risks for individuals serving as directors and officers of companies is their personal liability,” said Christine Williams, chief operating officer of Aon Risk Solutions’ Financial Services Group. “While it would be extremely unlikely non-indemnifiable D&O insurance would not respond; if such a situation was to occur, the Max-Pro D&O features would provide an additional level of benefit.”