Travelers has enhanced its Public Entity Management Liability (PEML) policy to offer limited special expenses coverage reimbursement for finding a replacement for a key public sector employee in case of death or disability leading to resignation or retirement.
Besides lawfully elected officials, employees at the head of police, fire and other public safety organizations, the enhancement also offer reimbursement for employees at the head of legal, finance or risk management departments within a public entity.
Travelers Public Sector Services president Chuck Wright said the cost of finding a replacement for a key public sector employee is estimated to range from $5,000 to $15,000, while holding a mid-term election will require as much as $15,000.
''Travelers understands the budgetary constraints of public entities and has developed the Limited Special Expenses Coverage for Key Employees to meet the unexpected needs that would arise in such a situation,'' Wright added.
The improvement will reimburse up to sublimit options of either $25,000 or $50,000 costs related with an array of situations, including hiring a permanent replacement of a key employee.
Hiring a search firm or outside advertisement agency, advertising, travel, temporary lodging, meals and car rental are also included.
Costs associated with holding a special election, including polling premises, ballot machines, temporary workers, printing of ballots, ballot counting and public communications will also be reimbursed by the enhancement.
