Does Your Senior Living Facility Need CGL or Specialized Cyber Liability Coverage?
Determining the type of property and casualty insurance your senior living facility needs is no easy task. Insuring against risk can include different policies that vary for each organization. However, the protection of assets and minimization of risks in a necessity for every organization, in case the unthinkable happens.
In 2013, the unthinkable did happen for Emeritus. As the nation’s largest operated of assisted-living residences, Emeritus was hit with a $23 million lawsuit in the death of an 81-year old woman, finding the company responsible for elder abuse and neglect. But, your concern with coverage should not stop at physical liability. Thousands of patients were affected when a data breach happened at Long Beach Memorial Medical Center leaking names, account numbers, and medical records of nearly 3,000 patients.
The only way to protect the assets of your facility is to carry adequate Commercial General Liability (CGL) Insurance. A CGL policy protects your business from damages caused by bodily injury or property damage for which your business is found to be legally liable. CGL is usually triggered first in the event of a loss, so many business owners don't feel an additional endorsement or stand-alone policy is necessary.
A typical CGL policy contains three coverages:
- Bodily Injury and Property Damage Liability (BI/PD) – the duty to indemnify and defend the insured for claims made due to bodily injury or property damage.
- Personal and Advertising Liability (AI/PI) – same framework as Coverage A, except it insures claims for personal injury and advertising injury.
- Medical Payments – insurer promises to pay emergency medical expenses for bodily injury for the uninsured or its employees as a result of an accident on the insured’s premises. It pays regardless of who is at fault.
Directors’ & Officers’ Policy
A D&O policy insures upper management against claims of securities fraud, breach of fiduciary and other types of liability. For example, shareholders of a company could sue a company’s directors and officers for not putting the proper measures in place to stop a data breach.
At Assurance Agency, Ltd., we know insuring against risk can be complicated. Contact us today for more information on the coverages you need to protect your organization from the unthinkable.
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