USI experts negotiate coverage terms that protect our clients and their leaders against regulatory actions that can result in exorbitant fines and penalties.
Expanded Definition of a Directors & Officers Claim

Standard market policies typically do not include coverage for defense costs or fines and penalties associated with criminal, civil, administrative or regulatory proceedings.

USI’s policy endorsement broadens coverage to include coverage for defense costs, fines and penalties associated with criminal, civil, administrative or regulatory proceedings.

As a result, the Directors, Officers, and Entity are provided coverage for defense against these allegations, including forensic audits, fines, and penalties after the investigation is concluded, up to a $1 million sublimit.

  • Potential coverage for costs of entity securities investigations
  • Clarifies the nature and amount of coverage available for regulatory investigations to expedite the claims process
  • Expedited claims participation/mitigation from carrier

Even if some coverage is provided (and, in many cases, it is not), that coverage can be significantly limited in terms of scope and the definition of a claim.

Under USI’s broadened wording, “Claim” means any of the following:

  1. Written demand presented for monetary “Damages” or non-monetary relief for a “Wrongful Act”;
  2. Complaint initiated by a judicial, civil, criminal, administrative, regulatory, alternative dispute, mediation or arbitration proceeding, including any appeal resulting from it, to which an “Insured” is provided notice and which subjects an “Insured” to a binding adjudication of liability for monetary or non-monetary relief for a “Wrongful Act”;
  3. Civil, criminal, administrative or regulatory proceedings of an “Insured Individual” once such “Insured Individual” is identified by name in a Wells Notice, subpoena or target letter by such authority as a person against whom a proceeding may be commenced.

USI’s scale, expertise, and relationships with carriers allow us to offer coverage enhancements at competitive rates that local/regional brokers simply cannot match.