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Broker Insight Report: How insurance oversights can lead to devastating claims denials

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Broker Insight Report: How insurance oversights can lead to devastating claims denials

It’s time to face the facts about your business risks. Your company shoulders a disproportionate risk when it comes to management liability.

Why?  Because there’s no such thing as “business as usual.”  New hires, vendors, suppliers, customers and product launches all bring new exposures and liabilities. Your professional success has made you vulnerable to fresh business risks and new exposures. 

Today, business leaders face two key risks that can lead to devastating balance sheet losses:

 Third-party exposures

 Coverage gaps

Still think you’re in the clear?

Here’s just a sample of the real management liability claim examples our brokers share in the Broker Insight Report and how the right insurance was instrumental in keeping the businesses afloat. 

  • The board of directors of a family-owned business nominated Uncle Eddy to take over. Two years later, he drove the business into the ground. The entire board of directors was sued for negligence in business succession planning.
  • A physician’s office with no Cyber Risk insurance experienced a network breach (ultimately traced to a teenager who used the network to increase his bandwidth while playing a video game). The practice’s network was left open for two weeks, during which time 200,000 patient records were exposed. 
  • Political instability overseas caused one busy bakery to bring its production to a halt because it couldn’t get a key ingredient.
  • A disgruntled worker brought a wrongful termination claim against a nonprofit with a diverse employee base. When validating the claim, the EEOC determined there was enough evidence to turn the case into a full-blown class action lawsuit.

When risks like these become real claims, your business liability policies – D&O, Professional Liability, Cyber, Business Interruption and Employment Practices Liability Coverage - can be the lifeline you depend on. And just like the unique products and services you provide, you’ll want your insurance portfolio to represent specifications for your business size, industry and location.

Download our Broker Insight Report: How insurance oversights can lead to devastating claims denials to find out how you can minimize your risk and avoid claims denials by plugging in potential coverage gaps specific to your business across all professional liability policies.

 

 

HUB International
HUB International
Contributor
HUB International was born in 1998 with the merger of 11 privately held insurance brokerages. That number has grown to include more than 400 integrated brokerages across North America. Today, HUB is one of the largest insurance brokers in the world. Our network is broad, deep, and represents a one-of-a-kind aggregation of insurance entrepreneurs with a deep knowledge of the big issues you’re facing right now—and those that will affect you in the future. Get the latest business insurance insights.