Berkshire Hathaway Specialty Insurance today announced the introduction of business crisis event cost coverage, which extends its casualty and health care lead umbrella policies to cover costs incurred to manage a business crisis, including the fees of a crisis management consulting firm.
The new coverage is designed to provide up to $100,000 to hire a crisis management consulting firm to advise the policyholder in managing adverse media coverage and public perceptions in the aftermath of a crisis event, such as a serious accident or explosion, an act of violence or a contamination incident. Berkshire says the coverage also is designed to pay expenses required to offer immediate support to victims and their family members, including funeral expenses, psychological counseling, travel and temporary living costs.
“This coverage gives policyholders in all industries vital support in responding to crisis events in order to mitigate both financial and reputational damage,” said David Bresnahan, EVP, casualty, health care professional liability, executive and professional lines, at Berkshire Hathaway Specialty Insurance. “The speed with which we brought our business crisis event cost coverage to market is indicative of our ability to respond swiftly to the needs of our customers.”
According to the insurer, no claim under the underlying policy is required to trigger coverage, and limits are separate from the aggregate umbrella policy limit, with no deductible. The coverage also enables policyholders to use a crisis management consulting firm pre-approved by Berkshire Hathaway Specialty Insurance or one that they already have a relationship with prior to the event.
