The global landscape for private equity and venture capital firms has changed. Management and professional liability exposures are at new levels. Private equity funds, venture capital firms, and their managers and employees – and their personal assets face increasing threats of litigation. Dissatisfied investors, bankruptcies, regulatory investigations, disgruntled employees, and a myriad of other exposures abound. To help clients respond to increasing professional and management liability exposures, AIG developed its industry-leading professional and management liability insurance solution – Private Equity Professional Edge.
Why Your Business Needs Private Equity Insurance?
Some Examples may include:
- An outside director of a private portfolio firm is alleged to have neglected their fiduciary duty.
- A private equity firm is alleged to have wrongfully terminated a senior employee.
- The director of a venture capital firm faces a suit to seize their personal assets.
What Does Private Equity Professional Edge from AIG Cover?
- Outside directors’ liability coverage for firm managers and employees and other insured professionals serving on the boards of both public and private portfolio companies.
- Full employment practices liability coverage for a firm and its managers for lawsuits alleging wrongful termination, discrimination, harassment, retaliation, and other employment practices violations.
- Extension of coverage for advisory board members, industry consultants, entrepreneurs in residence and other advisors acting on behalf of a firm.
- Fully non-rescindable coverage.
- Coverage specifically designed to address the complex organizational structure of private equity and venture capital firms, including coverage for general partners, parallel funds, co-investment funds, acquisition vehicles, investment managers and advisors, and blocker, feeder, and other similar entities.
- Automatic coverage for new funds and other related entities created during the policy period withing certain thresholds.
The AIG Advantage
- Global footprint – Securing local coverage is easier. As your private equity or venture capital firm grows, your coverage can easily expand with our coordinated service platform. AIG streamlines access to private equity management and professional liability insurance policies that are aligned with local laws, regulations, and customs worldwide.
- Claims and litigation resources – Industry-leading claims specialists, premier legal defence firms, mediators, forensic experts, crisis communications professionals, and other prominent resources help to protect your assets and reputation when faced with a claim.
- Backed by its financial strength, AIG helps to ensure the ability to pursue the best result for policyholders in litigation.