Liberty Specialty Markets has released an updated Directors & Officers Liability (D&O) policy wording in the Australian market.

Liberty is a key lead provider of D&O insurance in Australia. The refreshed D&O wording broadens protection with numerous enhancements, including two new market leading features:

• Defence Select is a new claims condition which, if selected, provides the insured the right to appoint any law firm of choice, at their market rates, to conduct the defence and settlement of a covered claim. If Defence Select is not taken up, the policy provides access to a selection of panel law firms comprised of experienced defence lawyers that the insured may appoint.
   
• The Liberty policy also provides, as standard, common costs allocation language. This claims condition specifies the basis for allocation of partially covered matters or insureds. It clarifies that, where covered defence costs also benefit a matter which is not covered or a non-insured party, the policy will cover all such defence costs.

“It’s been five years since our last policy wording update,” said Jack Cox, Assistant Vice President, D&O Technical Manager, Professional & Financial Risks at Liberty. “The past five years have been a turbulent time for D&O insurance in Australia, and following severe market losses far exceeding the collected premium pool, many insurers withdrew and exited the market. Liberty has remained committed over that time, and we’re pleased to be able to extend our coverage and offer several unique new benefits that we know will be valued by our broking partners and clients.”

“Our policy provides broad cover and offers innovative and constructive solutions to some common areas of frustration with D&O claims. We’re also prepared to commit to multi-year policies and deals for the right clients to give them further peace of mind.

“Directors face an increasingly challenging operating environment and having the support of an insurer who wants to form a long-term partnership can help directors and officers confidently respond to these challenges,” said Cox.

Liberty has one of the largest teams of financial lines underwriters in Australia, and an Australian based claims team with local authority that is experienced in handling complex matters and multinational litigation.

Today, directors and officers of more than 2,000 Australian companies, ranging from small private businesses right through to ASX 10 corporations, rely on Liberty for their D&O insurance.

For further information on Liberty's Australian D&O wording please see our D&O Product Page.