Marsh has introduced a new directors and officers (D&O) liability solution to specifically address requirements of charities, including religious organizations in Singapore.
Launched amidst continuous rise in the threat of litigation involving Singaporean charities, the Charities Management Liability policy provides up to SG$3m ($2.4m) for legal defense costs.
Any actual or alleged wrongful act, including an error and omission, misstatement and/or misleading statement or a breach of duty, such as any violation of the Singapore Charities Act (Cap. 37), committed in the capacity as a governing board member of the charity, are covered by the policy.
Southeast Asia Marsh FINPRO practice leader Gary Chua said directors of charitable organizations affected through litigation, are finding themselves as exposed as their listed company counterparts, demonstrating the risks are real irrespective of the organization type.
''We urge all directors to check their current insurance arrangements to ensure there is sufficient protection," Chua added.
Offered exclusively through Marsh, the policy provides advancement in defense costs in respect of any claim alleging fraud and dishonesty, which is typically excluded until conduct is established through final adjudication by a court of law.
The policy will not respond and the costs will be recovered if the court finds instance of a fraud or dishonesty.
Underwritten by Catlin (Singapore), the policy covers directors, officers, trustees, and committee members of charitable organizations in Singapore, which holds 2500 registered and exempt charities.
A wholly owned subsidiary of Marsh & McLennan Companies, Marsh is a global insurance broking and risk management, and teams with its customers to define, design, and deliver innovative industry-specific solutions that protects their future.
