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Over the last few years, our clients have demonstrated a greater interest in purchasing Side A insurance policies in response to major business issues such as high-profile bankruptcies, D&O settlements that exceeded policy limits, increased shareholder derivative litigation and regulatory investigations. Whereas purchases of Side A policies used to be almost exclusively the domain of our large Fortune 1000 clients, the litigation, economic and indemnification climate of today has changed such that a D&O program is no longer complete without a dedicated Side A tower.
In response to the surging demand for Side-A D&O protection, in 2006 The Hartford introduced Priority Protection Plus. The policy features a best in class insuring agreement with an extremely clear trigger of coverage. Once coverage is triggered, defense costs are advanced on a current basis, ensuring that directors and officers do not need to reach into their own pockets to effectively defend a claim. The approach to exclusions is similarly clear, with generous severability provisions where appropriate. The policy is capable of responding on a primary or excess basis, and provides difference-in-conditions coverage if the insured so elects. Under no circumstances can the policy be rescinded.
Introducing Priority Protection "A Plus" Endorsement
In the 18 months since Priority Protection Plus was introduced, Side A policies have continued to evolve. Accordingly, The Hartford has released Priority Protection "A Plus", which incorporates several enhancements to Priority Protection Plus in a single endorsement. Among the new coverage features are an expanded definition of Claim, which builds on our early trigger of coverage by including broader regulatory investigation coverage; a defense cost carve back for the "Entity v. Insured" and "Conduct exclusions"; express coverage for Section 11 & 12 claims; coverage for Employed Lawyers (including a full exemption from the "Entity v. Insured" exclusion); the inclusion of Extradition Costs as a component of Defense Costs; and world class Representations & Severability language.
The Priority Protection "A Plus" endorsement meets the expectations of our mutual clients by providing the comprehensive coverage you require. And because we're The Hartford, you know that our product is backed by the financial strength and security of one of America's most admired companies.
For more information about Priority Protection Plus or The Hartford's other financial products, you can visit www.hfpinsurance.com or call Patricia Fitzgerald at
Coverage is provided by the member companies of The Hartford and may not be available in all states. See policy for actual coverage wording.
Founded in 1810, The Hartford is recognized for its financial strength and stability, operational excellence and superior customer service. The Hartford is one of the nation's largest financial services and insurance companies, with 2007 revenues of $25.9 billion. The company is a leading provider of investment products, life insurance and group benefits; automobile and homeowners products; and business property-casualty insurance. The Hartford's Internet address is www.thehartford.com.