The 4th Pillar of Insurance


Many business owners understand the need to insure against fire, public liability and business interruption, but they often ignore the “fourth pillar” of insurance  ̶  management liability.

A management liability policy comprises 6 components:

1. Insured persons liability

Covers loss arising from claims brought against directors, officers or employees acting in a managerial or supervisory capacity within a company

2. Company liability

Loss arising from claims made against a company

3. Employment practices liability

Loss arising from claims brought by past, present or prospective employees alleging discrimination, sexual harassment or failure to promote, for example

4. Statutory liability

Claims for loss arising from any breach of a Commonwealth Act made by company, or its directors or officers

5. Commercial crime

Claims for loss arising from any fraudulent or dishonest act committed by an employee or a third party

6. Internet liability

Loss arising from an actual or alleged electronic publishing claim. This includes claims made with respect to libel, slander, plagiarism, violation to right of privacy, or infringement of copyright

Talk to your Phoenix Insurance Broker today about management liability insurance for your business. Contact your local Phoenix Insurance Broker on 9367 7399 or visit You might be very glad you did.

Category: Tips