Managing general agent CHES Special Risk has rolled out an infectious disease liability (IDL) product, offering businesses comprehensive protection against liabilities stemming from infectious disease outbreaks.
The new policy fills the gaps left by communicable diseases and pandemic exclusions in many insurance policies. Features include protection for third-party bodily injury claims when negligence is alleged; a single deductible per outbreak, regardless of the number of claims; COVID-19 coverage in most scenarios, with provisions for future variants; protection against risks from unknown future pandemics; and defence costs included within the policy limit.
In launching its new offering, which the MGA first talked about last December, CHES Special Risk pointed to recent cases highlighting the severe consequences of infectious disease outbreaks for businesses.
In one instance, a spa faced a $5 million lawsuit from 72 guests after a staph infection spread at its facility. Similarly, multiple daycares were sued following an E. coli outbreak, leading to personal injury claims and class action suits.
CHES Special Risk chief executive and president Gary Hirst said: “In the wake of recent global health events, businesses face unprecedented challenges in managing the risks associated with infectious diseases. Our new infectious disease liability insurance provides essential coverage, helping organizations protect their employees, clients, and reputations while navigating these complex times.
“Humans constantly live and work in the presence of infectious pathogens. While we often fend off minor infections without long-term effects, pathogens can also cause severe outbreaks. The rise in zoonotic diseases and global travel has significantly increased the likelihood of pandemics, as we’ve seen with COVID-19, Ebola, and SARS-CoV-1.
“Our new IDL policy is essential in providing businesses with the certainty of coverage they need in these challenging times.”
Brokers interested in CHES Special Risk’s IDL product can contact [email protected].
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