Global insurer Aon Risk Services has launched a new product offering protection against insurer insolvency.
"Our clients have indicated that current market turbulence, particularly in the financial services sector, has created concern regarding their insurance portfolio's stability and performance," Aon Corporate Risk Services national general manager Paul Venning said.
"This product was developed in response to our clients' changing needs."
Called Double A Protect, it has been designed to ensure an insurance portfolio is protected against the possibility of an insurer, either existing or historic, becoming insolvent.
The product is the result of a joint effort between Aon and Allianz Global Corporate and Specialty. It has been underwritten by Allianz Australia in the local market.
The product itself includes general and products liability as well as directors and officers insurance and gives the insured up to $40 million of additional cover should any of the insurers in the portfolio become insolvent.
Furthermore, Double A Protect provides up to five years of retroactive general liability insurance.
The new cover is available to all companies that are not headquartered in the US and are not financial institutions.
"Today, businesses face greater challenges in ensuring the stability of their insurance portfolios. We think Double A Protect is ideal for companies that have concerns about the risks associated with one of their insurers becoming insolvent," Venning said.
