10 Questions for your Insurance Broker

10 Questions for your Insurance Broker

  1. What is the limit of liability on the policy and how is the limit of liability shared between insureds? (If the Company is also insured under the policy in respect of claims brought directly against the Company, am I comfortable that the limit of liability is adequate?
  2. What are the policy exclusions and does the Insurer have any flexibility to remove or amend the scope of any exclusion that I am not comfortable with?
  3. In the event that I notify a claim under my policy, who will retain the conduct of the defence of the matter? If the Insurer retains a duty to defend, how will matters which are partially covered be managed? To what extent am I able to participate in decisions relating to the defence of the matter where the Insurer retains conduct of the defence? What happens if the Insurer and I disagree on whether a claim should be settled? If I retain a duty to defend the claim am I able to select my own choice of legal counsel?
  4. In the event of a claim am I required to pay an excess?
  5. Does the Insurer agree to advance defence costs and what are the terms of the advancement?
  6. Do I have coverage for legally insurable fines and penalties?
  7. Do I have coverage for alleged breaches of Occupational Health & Safety laws?
  8. Do I have coverage or alleged employment practices breaches?
  9. Will my policy provide coverage for legal expenses that I incur as a result of me being required to attend an Investigation or Enquiry, where no allegation of a wrongful act has been alleged?
  10. If an Insurer is entitled to cancel the policy due to the act or omission of another insured, will I also lose my cover?
Source:  2015 Julie Hamilton | Aon Risk Services Australia Ltd | Financial Services Group | Client Manager