Financial Lines

Our Crime offering gives comprehensive crime cover incorporating employee fraud and specified fraudulent acts committed by third parties.

Our Cyber Liability coverage offers comprehensive cyber insurance to protect clients from one of the most volatile risks facing businesses today.

Our Directors & Officers Liability Insurance offering provides enhanced protection for directors, officers and employees acting in management or supervisory capacity.

Specific purpose built employment practices cover

The possibilities for employment actions against businesses are multiplying. Most staff are aware of their rights and are quite prepared to take action against their employers if they think these rights are breached. Meanwhile compensation continues to increase, setting precedents and giving employees everywhere a context for their own grievances. Of course, outside of South Africa, companies with any kind of International exposure face the full force of class actions and a history of huge settlements.

Features and Benefits

• CorporateGuard EPLI covers legal costs, expenses and compensation awards for a wide range of employment practice violations.
• EPLI covers actual or alleged violations (even unfounded ones can take time and money to defend).
• Cover is worldwide so it doesn’t matter where you are represented. It protects everyone in the company (past or present) from the Chairman to individual contractors and temporary staff. It even covers your directors while they are working for outside companies.

Who is it for?

All public and private owned companies.

What is covered?

The company, and all employees:

• Broad definition of employment practice violation.
• Automatic cover for new subsidiaries within the asset threshold (excluding those domiciled in North America).
• Legal fees and expenses for any official investigation.
• Advancement of defence costs.
• North America exposure (subject to conditions).

Employers Practices Liability Insurance policies are short-term products and are underwritten by AIG South Africa Limited, FSP No:15805

Primary and excess cover for liability exposures such as errors and omissions

Financial protection against liability for financial loss to a third party, caused by a negative act, error or omission by the insured.  

Features and Benefits

• Ability to cover North American risks and exposures.
• Employee definition includes full time and part time employees.
• Able to write policies in US$ as well as other foreign currencies.
• Insured definition includes subsidiaries and companies in which the insureds holds a controlling interest

Who is it for?

All financial institutions including Banks, Hedge Funds, Insurance Companies, Building Societies, Fund managers, Investment managers, Stockbrokers, Venture Capital firms and Finance Companies.

What is covered?

• Claims made policy.
• Covers the Insured and all Subsidiaries.
• Limits are combined and in the annual aggregate.
• Insuring clause includes the following: for financial loss to a third party, caused by a negligent act, negligent error or negligent omission on the part of an Officer or Employee of the Insured; and arise out of the ordinary course of the provision by the Insured of the financial services as disclosed.  

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Financial Institutions Professionals Indemnity policies are short-term products and are underwritten by AIG South Africa Limited, FSP No: 15805

AIG provides tailored general, excess and specialty liabilities solutions for domestic and multinational organisations of all sizes.

Cover for all your professional and managerial liabilities as an investment manager, fund or adviser.

Investment Managers have to be all things to all people. Whether it is managing institutional funds to satisfy corporate expectations or looking after someone’s hard earned savings that will realise dreams and provide for a good life, managing investments is a challenging task for highly qualified individuals.  

Investment Managers juggle multiple roles being directors, advisors and employers within increasingly regulated Management and Fund entity structures. Add to that the inherent unpredictability of the financial markets and investors increasing desire for economic recourse, makes for a potentially litigious combination.  

In response to this challenging reality, AIG offers one policy covering all your professional and managerial liabilities as an investment manager, advisor and fund manager, without gaps. Our Investment Management Insurance (IMI) wording offers substantially expanded coverage formulated in a clear and transparent language.

Features and Benefits

• IMI provides coverage for financial losses resulting from errors or omissions in management and when providing investment advice, including negligent errors, omissions in any written material such as investment memorandums. 
• IMI covers defence costs and costs to prepare for, attend and adhere to any official investigation, examination, or inquiry.
• IMI offers worldwide protection.
• IMI offers emergency defence costs as well as public relations expertise.
• IMI extends cover to include Stock brokers liability.

Who is it for?

Investment managers, investment advisors, and investment funds. 

What is covered?

• As a Manager: liability of the directors, officers as well as employees in managerial/supervisory positions;
• As a Professional adviser: liability for negligent errors, omissions by the directors, officers, employees and the entity;
• At a Personal level: family members are covered in case they are drawn into actions; and directors or employees personal assets are protected;
• As a Company: protection from infidelity of employees and third party computer crime;
• As a Business partner: avoiding material intervention in your business.

Investment Management Insurance policies are short-term products and are underwritten by AIG South Africa Limited, FSP No: 15805

Protection for the trustees, the employees, the employer company and the fund itself.

Recommendations by the Financial Services Conduct Authority have added significantly to the bewildering number of statutory duties and obligations faced by Pension Fund Trustees. Failure to adequately perform their fiduciary obligations, comply with legal requirements or exercise reasonable skill and care in their actions as trustees may put their personal assets at risk. 

AIG South Africa Limited’s CorporateArmour Pension Trustee Liability insurance provides protection for the trustees, the employees, the employer company and the fund itself against claims brought against them for actual or alleged wrongful acts which have placed the plan’s assets at risk. In addition to providing cover for settlement of an action, CorporateArmour Pension Trustee Liability insurance also provides cover for the costs of defending the action – payable as they occur.

Features and Benefits

• Cover for both civil and criminal proceedings.
• Broad definition of wrongful act.
• Automatic run off cover for retired trustees if Employer Company does not renew policy.
• Cover for Employee dishonesty and third party computer & funds transfer fraud.

Who is it for?

Protection for the trustees, the employees, the employer company and the fund itself.

What is covered?

• Errors and Omissions
• Emotional Distress
• Advancement of defence costs
• Blanket cover for all pension and employee benefit plans
• Legal fees and expenses for investigations into the Insured's pension arrangements
• Automatic cover for new plans

Pension Trustees Liability policies are short-term products and are underwritten by AIG South Africa Limited, FSP No: 15805

An innovative product to protect the personal assets of individuals and cover the costs of their defence.

Directors of all companies are now held, at an unprecedented level, to be personally responsible for any actions and decisions they make on behalf of the company – putting their personal assets at risk if those decisions are tested in the courts. 

Legally, the directors of a company and the company itself are separate entities – so they can both be defendants, separately or jointly, in any legal action or prosecution. To protect the personal assets of individuals and cover the costs of their defence, Directors & Officers Insurance is widely used – however, the company is excluded from this cover, leaving it to fund is own defence and liable for any awards or costs made against it, eating into its reserves or even bringing into question its future viability. 

This effectively means that directors of private companies, whilst seeking protection against loss of their personal assets by a D&O policy, can still lose a great proportion of those assets, the value of their holding in the company, if the company should be sued or prosecuted. 

PrivateEdge recognises this problem and provides unique mechanisms to allow the company itself to be brought under the protection of the policy.

Features and Benefits

• Outside directorship cover.
• Automatic cover for new subsidiaries.
• Joint property liability.
• Advancement of defence costs.
• Defamation.
• North American exposure.
• Optional discovery periods actionable by policyholder.
• Full severability of proposal form and innocent non-disclosure clause.

Who is it for?

Private companies, partnerships and not for profit entities.

What is covered?

The management liability exposures of the company and individual directors, officers and employees, including:

• Insuring Clause 1 Labour Practice Liability.
• Insuring Clause 2 Trustee Liability.
• Insuring Clause 3 Company Management Liability (Company).
• Insuring Clause 4 Personal Management Liability (Director).
• Insuring Clause Crisis Containment.
• Investigation costs (but limited to discrimination and Health & Safety investigation costs for the company).

PrivateEdge policies are short-term products and are underwritten by AIG South Africa Limited, FSP No: 15805