Management Liability insurance

2 LEGAL DEVELOPMENTS HIGHLIGHT INTENSIFYING EXPOSURES FACING COMPANIES AND DIRECTORS FOR SERIOUS ACCIDENTS.

In the UK’s first corporate killing case a company is charged with Corporate Manslaughter after a geologist employed by the company was crushed. The company has been convicted and fined £385 000, the first to be convicted under the Corporate Manslaughter and Corporate Homicide Act 2008. MANAGEMENT LIABILITY INSURANCE, covers defence costs for companies facing Corporate Manslaughter charges and can cover PR costs to help contain reputational damage.

Cover also extends to cover the Company Entity itself in addition to individual Directors, and can be extended to also give Pension Trustees liability.

Recently the courts were given greater sentencing powers for serious Health and Safety breaches. Directors’ and managers’ health and safety responsibilities haven’t changed, but their personal exposures are now more intense: with higher levels of maximum fines and more offences where they can be imprisoned. Such insurance can help with its extensive cover and management liability claims assistance.