For organizations such as the National Board of Specialized Holistic Surgeons or the Northeast Association of Miniature Funkadelic Goats, which provide some credentialing, certification or registry services, part of the day-to-day work of the organization is the maintenance of the exclusive rosters. The rigor with which the association maintains the roster enhances the value of the roster, while often drawing objections from those participants or owners of participants disqualified from the roster. One of the purposes of such society or association is to exclude some candidates from the roster.
The definition of Claim for many policies includes, among other items, “a demand for injunctive relief.” If your spouse asks you to take out the trash or do the dishes, that request could constitute a demand for injunctive relief. Every goat breeder with goats on the registry or doctor with board certification, has a vested interest in remaining on the roster. When the association removes such a participant, there is usually an established appeals process. The quandary for the insured association, which may have a monthly bordereaux of certification denial cases in appeal, is when should the D&O / Association E&O insurer be notified during the process? There is no pat answer for all insureds, but the issue of when to report a claim should be discussed with the insured and the insurer in order to come to some mutual understanding at the inception of the policy. If the claims department and the insured can arrive at some measure of a trigger, such as a letter from the participant’s counsel promising litigation, denial based upon late reporting is eliminated or at least mitigated.
ABOUT CINCINNATI INTERMEDIARIES
Cincinnati Intermediaries is an insurance wholesale broker focused exclusively on the placement of management and professional liability insurance. They have sound expertise in Management Liability, E&O, D&O, Miscellaneous Professional, Cyber, Architects & Engineers, Financial Institutions, Lawyers and Non-Profits. Headquartered in Cincinnati, OH, they operate nationwide and are able to assist retail insurance agents with placement of coverage nationally. Cincinnati Intermediaries represents the majority of the admitted and surplus lines insurance carriers that focus on professional liability insurance in the United States.