ACE Commercial Risk Services, has launched new community associations directors & officers and employment practices liability insurance products. This coverage provides liability protections for homeowner, condominium and retail community associations.

“In today’s increasingly litigious environment, community associations and their board members face increasing claims and a growing array of legal and financial liability exposures. Yet, many of these small business members are unaware that their personal assets may be at risk for decisions they made while administering association bylaws. Often, the specialized insurance coverage currently available in the market is cost prohibitive,” said David Charlton, division president, Property & Casualty and Micro-business Division, ACE Commercial Risk Services.

Charlton says ACE combined a business owners package option* with directors and officers and employment practices liability coverages in one policy offering.

The new product is designed to cover the specific specialty risks of associations with fewer than 500 units, which include defending non-monetary claims, breach of contract violations, and enforcing bylaws.

ACE Commercial Risk Services’ clients can also access defense outside the limit coverages and defense costs coverage for breach of contract claims. These coverage features represent a responsibility to provide greater certainty, with regard to the legal costs associated with defending the targeted organization, its board, and its individual members.

Other policy features include:

  • Up to $5 million aggregate limit available for directors and officers and employment practices coverage
  • Defense outside the limit
  • Defense costs coverage for breach of contract claims capabilities
  • Coverage for non-monetary claims
  • Unlimited extension endorsement
  • Automatic coverage for the property management company
  • Business owners package for homeowners associations with fewer than 100 units with general liability limits of up to $2 million per occurrence, and up to $4 million in the aggregate, and blanket property coverage up to $300,000, excluding buildings.