Travelers has added healthcare exchange and civil money penalties coverages in its management liability portfolio to help protect against risks related to the Patient Protection and Affordable Care Act (PPACA).
While the PPACA can create additional liability exposures for non-compliant businesses, a Nielsen Research and Travelers survey conducted earlier in the year found that two thirds of businesses (67 percent) are either not very familiar or only somewhat familiar with the law’s requirements.
The survey also showed that many employers do not understand that insurance products are available to help protect against new and evolving PPACA-related risks, including fiduciary liability coverage, directors and officers (D&O) liability coverage and employment practices liability coverage.
“Our survey results indicate that many companies are unaware of the management liability exposures created by the PPACA,” said Jeffrey Klenk, senior vice president, management liability, Travelers bond & financial products. “These are new risks that companies of all sizes now need to manage. Delivering new coverages demonstrates our commitment to helping businesses prepare for the new health insurance mandates.”
Travelers’ new fiduciary liability coverage endorsements provide additional protection against specific risks that may arise from non-compliance with the PPACA. Specifically, the healthcare exchange endorsement provides coverage to policyholders for the advice they offer their employees about insurance plans sold on a healthcare exchange.
The PPACA civil money penalties endorsement offers protection to businesses against certain PPACA penalties that may be imposed on employers who do not meet specific compliance and reporting obligations.
Travelers, PPACA, US