1. Packaging Doesn’t Equal Protection - Just because Management Liability is “included” in a BOP or package doesn’t mean it’s adequate. These bundled endorsements often have sublimit, restrictive wording, and minimal defense coverage.
2. It’s Not Their Main Focus - Carriers that don’t specialize in D&O, EPL, or Fiduciary often treat it like an add-on, not a true coverage solution often without 3rd party coverage. That leaves your clients exposed in ways they won’t see until it’s too late.
3. Claims Are Personal and Expensive - Management Liability claims don’t just impact the business—they target owners, officers, and decision-makers personally. Even a small claim can trigger six figures in legal defense.
4. You Have an Advocate Who Specializes - Let me quote this coverage with a tailored policy—this gives your clients true risk management protection.
5. Don’t Let Loyalty Create Liability - Holding a package just for convenience or relationship reasons could backfire if the Management Liability piece doesn’t hold up in court. Let’s protect the loyalty by protecting the insureds.
EXAMPLE of Why BOP EPL Limits Aren’t Enough – A locally owned lawn and garden center is currently facing an Employment Practices Liability (EPL) lawsuit after an employee alleged harassment by a third-party vendor representative. In an effort to protect the employee, the business owner reassigned her to a warehouse role—intending to remove her from contact with the vendor. Despite what he believed was a reasonable and well-intentioned response, the employee has now filed a retaliation lawsuit against the business. The company carried $50,000 of EPL coverage on their BOP policy. The legal defense costs have already exceeded $75,000— and the case remains unresolved. This case highlights a common but costly oversight: relying on minimal EPL limits embedded in a package policy. Even when employers act in good faith, employment-related claims can escalate quickly—legally, emotionally, and financially.
Key Takeaway for Agency Partners: “If your client has EPL coverage only as an endorsement on their BOP or package, they may be dangerously underinsured. One claim—even without a finding of fault—can exceed the limits and leave them personally and financially exposed.”
Let us give you a side-by-side comparison quote. One quote could help protect your leadership team, reputation, and livelihood. Don’t fall into a dangerous gap in coverage. Contact Renee Johnson by emailing her at renee@mma-web.org.