Travelers Offers New Management Liability Protection to Help Businesses Respond to Risks Associated With the Affordable Care Act

Travelers (NYSE: TRV) today announced the addition of Healthcare Exchange and Civil Money Penalties coverages to its management liability portfolio as a way to help protect against risks related to the Patient Protection and Affordable Care Act (PPACA).

While the PPACA can create additional liability exposures for non-compliant businesses, a Nielsen Research and Travelers survey conducted earlier in the year found that two thirds of businesses (67 percent) are either not very familiar or only somewhat familiar with the law’s requirements. The survey

also showed that many employers do not understand that insurance products are available to help protect against new and evolving PPACA-related risks, including fiduciary liability coverage, directors and officers (D&O) liability coverage and employment practices liability coverage.

“Our survey results indicate that many companies are unaware of the management liability exposures created by the PPACA,” said Jeffrey Klenk, Senior Vice President, Management Liability, Travelers Bond & Financial Products. “These are new risks that companies of all sizes now need to manage. Delivering new coverages demonstrates our commitment to helping businesses prepare for the new health insurance mandates.”

Travelers’ new Fiduciary Liability Coverage endorsements provides additional protection against specific risks that may arise from non-compliance with the PPACA. Specifically, the Healthcare Exchange endorsement provides coverage to policyholders for the advice they offer their employees about insurance plans sold on a healthcare exchange. The PPACA Civil Money Penalties endorsement offers protection to businesses against certain PPACA penalties that may be imposed on employers who do not meet specific compliance and reporting obligations.

To accompany these and other management and professional liability coverages, Travelers is offering a set of tools and resources to help businesses better navigate the healthcare landscape. This includes access to a risk management portal for Travelers agents and customers. The portal offers details about the new PPACA requirements and the management liability exposures employers face. Resources available include model notices and educational materials addressing the PPACA’s requirements and related management liability exposures. The risk management portal can be found at www.travelersbond.com.

In addition, Travelers directors and officers, employment practices and fiduciary policyholders will have direct access to attorneys specializing in the PPACA through an exclusive ACA HOTLINE.

Travelers offers a comprehensive suite of management liability products, including D&O liability, employment practices liability, fiduciary liability, miscellaneous professional liability, crime, cyber liability and kidnap and ransom coverage. The company’s dedicated underwriters, risk control specialists and claims professionals provide extensive industry and product knowledge and expertise.

About Travelers
The Travelers Companies, Inc. (NYSE: TRV) is a leading provider of property casualty insurance for auto, home and business. A component of the Dow Jones Industrial Average, Travelers has approximately 30,000 employees and generated revenues of approximately $26 billion in 2013. For more information, visit www.travelers.com.