We’ve broadened coverage in several areas of Liability Protect based on our analysis of market liability wordings and feedback from our valued brokers and clients. Here are some of them:
Traditional Public and Products Liability policies often exclude certain territories such as the USA unless they were specifically requested. Now Liability Protect provides the reassurance and convenience of worldwide territorial coverage, unless a country or region is excluded. This is especially appropriate for multinational clients who require a global offering.
Canadian Legal Costs
The usual market standard for Products Liability is for all North American legal costs to be included within the policy limits. Liability Protect goes much further than this and any legal defence costs for Canada claims are covered in addition to the policy limits and so the insured’s cover (for instance an exporter to Canada) is not eroded.
Unlike many liability policies, Liability Protect doesn’t approach Legionella as gradually occurring pollution that’s either excluded or written on a claims-made basis. Liability Protect extends cover as standard on an occurrence trigger, not just for buildings owned by the insured but buildings leased, rented and temporarily occupied as well.
Care, Custody and Control
Damage to property of the customer that the insured is working on, or is in their trust to work upon, is typically excluded by liability policies. Liability Protect provides, as standard, a £100,000 limit of cover for property in the insureds’ care, custody and control – which will be particularly attractive to manufacturing or engineering clients.
Tailored to need
Optional extensions integrated into the wording allow Liability Protect to provide even wider coverage tailored around the needs of clients. These include: Asbestos Accidental Discovery, Products Financial Loss and USA & Canada Time Element Pollution Extension.
We’ve made the coverage in Liability Protect as clear and as self-evident as we can throughout the policy. Here are some examples:
Mixing and Blending
This remains an area of potential concern for many in the aftermath of the Bacardi -Thomas Hardy case. Whilst AIG has not sought to rely on this case, Liability Protect now provides clarification of damage following the mixing or blending of the Insured’s defective product with a customer’s product offering peace of mind to food, drinks and cosmetic manufacturers and their brokers.
Liability cover for the insureds’ Joint Ventures is often requested by brokers and clients and is typically added by many insurance carriers by endorsement or via a manuscript wording. Liability Protect however includes the cover automatically “as standard” and is another instance of Liability Protect’s outstanding suitability for multinational customers.
Contractual Products Liabilities
We’ve found that many liability wordings are not explicit about whether they cover contractual liabilities implied by law under the Sales and Supply of Goods Act. Liability Protect is clear that we cover our insureds contractual liabilities for products they’ve supplied in line with consumer regulations.
Liability Protect structure
In response to broker feedback Liability Protect has a much clearer and more accessible structure. It has a modular cover framework, these modules are clearly indexed for ease of navigation and the coverage sections have been moved to the beginning of the policy for ease of reference for clients and brokers.
Liability Protect provides clients with valuable coverage options for their Public and Products Liability multinational exposures and it can also function as a master policy for multinational liability programmes.
Difference in conditions and limits
Liability Protect can also function as a master public and products liability policy, stepping in to ensure consistent multinational coverage across the client’s multinational programme whenever the agreed programme limits are higher or its coverages broader than those provided under the client’s local policies.
Liability Protect includes a specific Financial Interest clause. This ensures that when it is functioning as a master policy, we have a mechanism in place to make payments to the insured after a local loss, in cases where direct payments to specific jurisdictions are not prohibited for legal/regulatory reasons.
Sometimes when claims payments to a policyholder have to be paid to a different territory for regulatory reasons, additional tax may apply in that territory. Liability Protect as a master policy provides sub-limited cover for the additional amount necessary to offset these additional taxes.
Liability Protect can provide multinational policyholders’ operations with additional cover for the Insured’s Residual Employers’ Liability exposures that may exist as well as Excess Liability cover to protect the policyholder’s overseas Employers’ Liability and Motor exposures.
Liability Protect comes with access to AIG’s Client Risk Solutions. Our policyholders can benefit from risk management solutions to make their workers and businesses safer, and prevent adverse events from happening in the first place. Using data driven insights, Client Risk Solutions combines expert knowledge with the latest technology to deliver innovative safety solutions.
eLearning Health and Safety training system
Liability Protect policyholders have complimentary access to a comprehensive Health and Safety eLearning system for their staff. An extensive range of courses (including industry specific and foreign language modules) backed by candidate testing and management information provides an end-to-end process for clients to ensure and to demonstrate health and safety compliance.
Liability Risk Consulting
Liability Protect policyholders have access to tailored advisory services from our expert consultants throughout the UK. From developing and reviewing safety programmes, employee and management training to best practice assessments, our consultants develop programmes specific to our clients’ needs including customised videos, web based training and in-house intranet services to improve client safety.
Accident and Disease workshops
Occurring on a regular basis, Liability Protect clients have the option to attend Accident and Disease workshops run by our in-house teams. Covering a range of topics, these workshops provide clients with greater insight into how workplace accident and diseases occur and how to manage cases and claims from notification through to settlement. Workshop content is usually suitable for line managers, human resource representatives and health and safety managers.
Product Liability Service
Liability Protect product liability policyholders receive complimentary access to the AIG Product Liability Service. This powerful web-based risk management tool for companies involved in manufacturing, servicing or distributing products has a series of online tutorials including training courses to build employee competence and a tool-kit to assist with audits and risk assessments.
Our Liability Protect customers can rely on the skill and expertise of our dedicated award winning liability claims team, recognised throughout the insurance industry.
Award winning claims expertise
Our casualty Claims teams have secured several industry awards and nominations for our service, professionalism and innovation. The strong and continuous investments we make in our claims handlers is evidenced by own in-house Chartered Insurance Institute accredited professional training programme. This is supported our award winning deployment of tablet technology to improve the speed of our handlers’ on-site accident investigation, communications and decision making.
Dedicated claims service
With over 100 liability claims staff throughout the UK our dedicated claims teams are organised to make sure we assign the right claims handlers, with the right expertise in exactly the kind of liability claim our customers are facing. Our claims handlers work in close partnership with our clients, to proactively case manage individuals injured or made sick at work – often deploying the proven rehabilitation techniques pioneered by AIG in the UK.
Client education and loss prevention
Our liability claims team continues to invest in identifying future trends and educating our clients about the risks they are likely to face. For instance we routinely run workshops on occupational disease for our clients and brokers across the UK, looking at areas such as noise induced hearing loss, mesothelioma, hand arm vibration syndrome, common causes, costs and strategies to help prevent incidents from occurring in the first place.
Listening to customers and continuous improvement
Our liability claims managers have regular conversations with our clients about our claims performance (including our communication, decision making, technical ability and service). This feedback goes straight back to our claims and underwriting teams to identify trends and necessary changes. As a result of this, the number of customers entirely satisfied with their liability claims service is improving all the time, from 71% in 2013 to over 90% today.
Liability Protect goes beyond conventional liability insurance with a host of innovative and differentiated covers and services - protecting your clients and helping business acquisition and retention.
Liability Protect includes increased automatic cover up to £150,000 for professional PR consultancy services to help businesses communicate clearly, consistently and professionally in a crisis. Crisis Containment is triggered by any event covered by Liability Protect that can create bad publicity for the business or that has the potential for have a negative financial impact.
Environmental Clean-Up (included in Public Liability module*)
Liability Protect automatically includes an increased £2m limit of cover for clean-up costs of sudden and accidental pollution incidents for operational and new conditions. Cover has been extended beyond the UK to all EU member states and includes statutory debts for instance where emergency clean-up has been conducted by the local regulators.
*Not available for fuel stations, chemical, waste disposal, mining and construction activities.
Product Recall (included in Product Liability module*)
Liability Protect also includes £50,000 of cover for product recall costs such as recall notices, transport, storage, product replacement and recall consultancy fees. Cover is triggered by the discovery of a dangerous product defect, a government recall or a malicious product tampering incident.
*Not available for chemical manufacturers, pharmaceuticals, transportation manufacturers, and manufacturers of veterinary products.
No Fault Employment Related Accident Benefits (included in EL module)
Liability Protect includes immediate “no fault” payments if employees are injured at work. The payments are made to the employers to use at their discretion – such as passing on to the injured employee as a benefit, or hiring additional staff.
|Employment Related Accident payments:||Benefits: Sum Insured|
|Permanent Total Disablement from any occupation||£25,000|
|Permanent Loss of Limb, Loss of Sight or Loss of Hearing||£25,000|
|Loss of one eye, one hand or foot, or loss of speech||£12,500|
|Full thickness Burns over more than 27% of the body||£5,000|
|Complete loss of all fingers on one hand or loss of toes on one foot||£2,500|
Cyber Liability (optional module*)
The impact of unauthorised access or use of a company’s computer system can be far reaching and impact customers in many different ways. Liability Protect’s optional Cyber Liability module is intended for businesses with annual revenues of up to £100 million and provides cover for: Defence Costs & Data Protection Fines in connection with a Regulatory Investigation; Cyber Legal Liability in respect of a Breach of Confidential Information or a Security Failure.
*Not available for Financial Institutions, Medical, Call Centres, Telemarketing, Data Processing (outsourcers), Internet Service Providers, Telecommunications, Gambling, Bookmaking and Casinos.