LONDON--(BUSINESS WIRE)--The individual assets of pension fund trustees’ need greater protection according to ACE European Group (ACE) (NYSE:ACE). ACE believes many trustees face unnecessary risks through the focus on liability insurance cover for the company rather than the trustee themselves.
The Pension Act 2004 has already created a heightened risk that trustees may breach the increasingly complex responsibilities they face and consequently find their personal assets at risk. Some markets have removed forward cover for trustees where the sponsoring employer merges or is acquired or where the fund goes into run-off. The additional exposures this creates place an unacceptable burden on trustees.
Speaking at the launch of ACE Elite, a portfolio of liability products designed to provide more relevant and appropriate protection in addressing the increased exposure of individuals and their personal assets, Emma Watkins, Pension Trustee Liability (PTL) specialist and Product Manager at ACE said: “PTL insurance offers wide cover for the individual, sponsoring employer and the pension scheme itself. However, there is a risk that when insurers focus on providing cover for the company this can divert protection away from the individual, therefore exposing trustees to unnecessary risk.
“ACE Elite PTL adopts a more direct approach and backed up by our robust underwriting and pricing strategy, we aim to redress the balance for trustees.”
Notes to editors:
ACE European Group has established branch offices in 19 countries across Europe, Freedom of Services permission to provide insurance services to clients in 30 European countries and affiliates in Egypt, Bahrain, Pakistan, Russia and South Africa.
Part of the ACE Group of Companies, ACE European Group comprises the operations of ACE Europe, ACE Global Markets and ACE Tempest Re Group. ACE Europe provides a range of tailored Property and Casualty, Accident and Health and Personal Lines solutions for a diverse range of clients. ACE Global Markets (AGM) is ACE’s specialty international business, underwriting through ACE’s Lloyd’s Syndicate 2488 and ACE European Group Limited. Specialty lines include excess and surplus lines business, Marine, Aviation, Energy and Political Risk as well as Property, Financial Lines and Accident and Health. Additional information on ACE European Group can be found at www.aceeuropeangroup.com.
The ACE Group of Companies is a global leader in insurance and reinsurance serving a diverse group of clients. Headed by ACE Limited (NYSE: ACE), a component of the Standard & Poor’s 500 stock index, the ACE Group conducts its business on a worldwide basis with operating subsidiaries in more than 50 countries. Additional information can be found at: www.acelimited.com