Liability for Small to Mid-Size Businesses

Nuts & Bolts: E.L.M. Insurance Brokers Inc. targets small to mid-size businesses with its professional liability suite of products, which includes liability coverage for employment practices, directors and officers, entity (optional) and fiduciary. The preferred classes are business-to-business services, clothing manufacturing, construction, food preparation, machinery and equipment manufacturing, miscellaneous manufacturing, natural resources and utilities, oil and gas industries, other services, paper products and components, personal services, technology (excluding start-ups and dotcoms), transportation manufacturing and wholesale. Excluded classes are alcohol, tobacco, firearms and asbestos-related industries. The employment practices liability coverage has broad definitions of employment claim, discrimination and loss; optional third-party coverage for sexual harassment and discrimination; coverage for punitive or exemplary damages; and coverage for acts that occur after acquisitions that do not increase the total number of employees of the insured entity by more than 25 percent. The D&O coverage has broad definitions of a claim and insured organization, as well as coverages for not-for-profit outside directors, private placements and investigative costs. The fiduciary coverage has broad definitions of insured persons, covered plans and wrongful acts; and coverages for civil penalties under sections 502(i) and 502(l) of ERISA, defense costs outside the limits, and plans terminated before or during the policy period.

Dollars: Not for firms with more than $250 million in assets and/or 1,000 employees. Limits are available to $5 million. Minimum deductibles are $10,000 for employment practices liability, $5,000 for D&O and none for fiduciary.

Carrier: Rated “A+” (XV).

States Available: All.

Contact: E.L.M. Insurance Brokers Inc., (310) 665-1106

Topics Commercial Lines Business Insurance Manufacturing