Markel International, the specialty property and casualty insurer, today announced the launch of a new and unique product, Limited Liability Partnership (LLP) Members’ Management Liability, designed to protect the members of LLPs against commercial risks.
Although members of LLPs face similar exposures to directors of limited companies, until now there has not existed an insurance product to specifically address these risks. Markel’s new product will respond to claims brought by the LLP; will give cover for civil, regulatory, insolvency and criminal claims, and will also offer broad cover to all subsidiary and service companies.
LLPs have become an increasingly attractive business structure since the Limited Liability Partnerships Act became law in 2000. The LLP is a hybrid between a limited company and a partnership. It allows the organisational flexibility and the tax status of a partnership whilst offering limited liability for its members. The new structure has proved attractive to traditional partnerships, such as lawyers and accountants, and for specialist businesses such as private equity firms and exploration ventures.
Francesca Bristo, Head of D&O underwriting at Markel International, commented “Unlimited liability for partners has become an increasing cause for concern owing to the growth in size of partnerships and the general increase in size and incidence of claims resulting in an even greater risk to a partner’s personal assets. This new form of legal entity (LLP) has gone a long way in addressing these concerns. We anticipate that in time, most professional partnerships will trade through this medium. The product we are launching today really does offer affordable and valuable cover to this type of body corporate.”
Gerry Albanese, President and COO of Markel International, said: “Markel International is committed to the delivery of new and innovative products. Identifying a gap in the market and developing a tailored, specialist cover is one of the things we do best. Expert knowledge on such an area is a key weapon in our mission, to achieve consistently profitable underwriting.”
For further information:
Derah McCall
Markel International
020 7953 6732
Notes to editors:
1. Markel International Limited is a specialty property and casualty insurer. Based in London and comprising the international operations of Markel Corporation, it wrote gross premiums in 2004 of $ 746 million. It has five operating divisions writing business either through Markel Syndicate 3000 or through Markel International Insurance Company Limited.
2. Markel Corporation markets and underwrites specialty insurance products and programs for a variety of niche markets. In each of these markets, the Company seeks to provide quality products and excellent customer service so that it can be a market leader. The financial goals of the Company are to earn consistent underwriting profits and superior investment returns to build shareholder value.