Businesses and individuals need to manage the risk of being found liable for the services they provide, particularly in regulated industries. Additionally, every company faces the prospect of fraud and criminal activity prejudicing its finances, while the threat of cyber attacks seems to do nothing other than grow. Insurance is a key component in dealing with these threats.
Coverage for claims and losses
Regulated professionals are usually obliged to purchase minimum levels of professional indemnity cover, while others purchase it for peace of mind. Professional/Civil Liability cover often comes packaged with D&O insurance and a policy protecting against criminal acts. There are both significant and subtle distinctions between these types of cover.
Managing the obligations these policies impose when a claim arises is vitally important. Whether and when to notify insurers of an issue is less straightforward than it may appear. The scope of cover, and the operation of exclusions, can require the navigation of fine lines. Assessing if a situation involves a single or multiple claims can be a contentious matter of policy interpretation with significant financial consequences. Wynterhill has been involved in these and related questions from the moment when clients first become aware they may have an issue right through to the resolution of any coverage points.
