Chubb expands coverages for private companies

Rough Notes, Jul 2001

INSURANCE MARKET UPDATE

Chubb has introduced ForeFront PortfoliosM, an expansion of its offering for privately held companies. ForeFront was introduced in 1996. The expansion adds new coverages, such as Internet liability and workplace violence expense. ForeFront Portfolio is comprised of eight distinct coverage sections: directors and officers, liability, employment practices liability, fiduciary liability, miscellaneous professional liability, Internet liability, crime, kidnap/ransom and extortion, and workplace violence expense. The eight sections are designed to be flexible so they can be tailored to each company's needs. Companies can choose individual limits for each coverage section, or a combined aggregate limit for their liability coverage sections.

Jane Hodgson, vice president and underwriting manager, says the expansion reflects the need for private companies to keep pace with "today's rapidly changing business environment. Private companies are as likely to encounter threats to their financial well-being as are publicly held companies," she notes. "These threats, including lawsuits, extortion, fraud, embezzlement, workplace violence and other crimes, may come from employees, investors, customers, suppliers, competitors, government agencies, or creditors. Any of these threats could have a fatal impact on a private company's bottom line."