Zen Vichaar

  We are aware that D&O insurance policies are intended to protect directors and officers of a company against personal liability claims arising out of their financial decisions. But claims related to workplace practices such as discrimination, unfair termination, sexual harassment, breach of employment contract or unfair termination are not covered under a standard D&O policy. For such claims it is important to take the Entity Employee practices liability insurance (EPLI) extension under the D&0 policy.   Wrong employment practices can expose the business or organization to litigation claims from employees. The EPLI coverage can help companies manage any such litigation they may face from employees. This coverage in the D&O policy is important for risk management.   Let us look into the details of the EPLI exclusion in D&O policies in this blog.   What does the EPLI exclusion cover? The EPLI cover provides businesses protection...

  Liability policies are designed to help the insured in defending itself against third-party insurance claims. Liability policies usually cover defense costs as part of the overall limit of indemnity. Defense costs are the costs incurred by the insured party while defending a lawsuit. The defense costs are the costs incurred for things such as hiring a legal professional, fees due to the court, collecting facts, expenses related to paperwork and other expenses for court cases. When a claim is made under a liability policy, it is the duty and sometimes the right of the insurer to defend the insured. In such a scenario, the legal expenses incurred also impacts the policy limits, unless expressly specified otherwise.   The rule of defense costs not affecting the policy limits is helpful because the defense costs tend to be high when there are legal proceedings in multiple judicial forums and especially in overseas jurisdictions. Sometimes the defense costs can be more t...