IFFCO-Tokio GIC Launches first of its kind Policy to Protect Individual Directors and KMPs from Liability and Claims

By siliconindia  |  Thursday, 27 June 2024, 16:24 IST

IFFCO-Tokio GIC Launches first of its kind Policy to Protect Individual Directors and KMPs from Liability and Claims
IFFCO-Tokio General Insurance Company, a joint venture between Indian Farmers Fertilizer Co-operative (IFFCO) and Japan’s Tokio Marine Group, has launched a new policy for Directors and Key Management Personnel (KMPs) which can be bought on individual basis. It covers defense costs, litigation expenses and compensation that Directors & KMPs may have to face because of allegations levied against them while performing their directorial, managerial & supervisory role.
This product fills the gap felt by business owners & KMPs of companies who are not covered by Corporate Policies & provides a relevant solution.
The Director & Key Personnel Insurance offers a vital risk management tool that protects the personal wealth and assets of a company’s directors and KMPs, ensuring they can operate their businesses securely and with peace of mind.
Launching the policy, Mr. H. O. Suri, Managing Director & CEO said, “The coverage for directors and key management personnel (KMPs) are essential for not only ensuring smooth operations but also for making strategic decisions that drive long-term growth amid constantly changing dynamics. This policy addresses their most pressing needs and challenges, allowing them to focus on realizing the company’s vision without unnecessary worries.”
The policy offers two predefined coverage limits of 5 crore and 10 crore, covering up to five directorships (including Outside Directorships & subsidiaries).
This includes three parent directorships and two in outside entities or subsidiaries. The policy covers for Defense Costs, Legal Representation Expenses & Coverage For Damages
The policy also covers emergency costs and expenses and witness costs, up to a maximum of 5 lakh. It includes features of additional reporting period, cover for retired directors & spouse, heirs & legal representatives of covered Director or KMP.
 
Source: Press Release

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