Most people in the museum community are surprised to learn that their institution is vulnerable to mismanagement lawsuits brought about by disgruntled employees, patrons and concerned citizens. Allegations range from discrimination, and wrongful termination to poor judgement and self-dealing. Lawsuits of this nature can be very expensive to defend against and if the plaintiff is successful it could result in a very serious financial loss for your museum and possibly even damage its stature in the community
Please note that the American Association of Museum's endorsed D&O program offers protection not only for your directors, board members and their spouses, but employees, volunteers, trustees, and community members as well. The coverage is offered on a national basis, helping to support the critical mass necessary to keep rates competitive. This is especially important given the recent increases that museums have faced for this coverage outside of the program. The program also offers built-in entity coverage, meaning the museum itself is protected as an insured. The form is written on a Duty-to Defend basis which obligees The Hartford to provide an experienced legal defense and pay claims' expenses up-front. Moreover, the D&O policy contains Employment Practices Liability coverage which responds to allegations of wrongful termination, sexual harassment, wrongful failure to employ, and discrimination based suits. Lastly, the program has wording, which offers protection from claims alleging libel, slander, plagiarism, and copyright/ trademark infringements.
Have questions? Ready to apply?
Apply online or call 800.432.7465 and ask for Eric Johnson.
