|AIG'S AMERICAN INTERNATIONAL COMPANIES OFFER BROADENED MANAGEMENT LIABILITY POLICY TO PRIVATE PARTNERSHIPS|
NEW YORK, June 17, 1999 - American International Group, Inc. (AIG) has announced that the American International Companies now offer Partnership PrivateEdgeSM, a private partnership liability policy that addresses the liability exposures of any type of private partnership structure.* Partnership PrivateEdge features broadened coverage definitions, including entity coverage for securities and non-securities claims previously unavailable in standard private partnership liability policies. "As the leading provider of management liability coverage, the American International Companies have consistently developed innovations that address the growing exposures of partnerships," said John Cavoores, President of National Union Fire Insurance Company of Pittsburgh, Pa., an AIG member company. "In developing Partnership PrivateEdge, the American International Companies recognize that general partners of limited partnerships and other private company executives face many of the same growing liabilities as their corporate counterparts."
Unlike standard private partnership policies which limit entity coverage to securities claims, Partnership PrivateEdge provides full entity coverage for non-securities claims including, but not limited to, employment practices liability.
Partnership PrivateEdge offers a broadened definition of "insured" to include coverage for the full entity, limited liability companies, additional limited partnerships, company-sponsored 501©(3) foundations and trusts, and 50/50 controlled joint ventures. Directors and officers (D&O) coverage for corporate subsidiaries of partnerships or for general partnership entities is also available. The policy also covers management committee members, members of the board of managers, trustees, and employees, and can be tailored to cover independent contractors, leased employees, and an insured's spouse or marital estate. Additionally, the policy includes automatic outside directorship liability coverage for directors, officers, trustees, and governors of any not-for-profit organization.
Partnership PrivateEdge also features coverage for arbitration proceedings, certain investigations of natural person insureds (directors, officers, or employees of the insured organization); administrative or regulatory investigations conducted by the Equal Employment Opportunity Commission or similar agency; and any request to waive any statute of limitations.
Additionally, securities coverage has been broadened to include blanket private placement coverage and coverage for select initial public offerings, and punitive and exemplary damages imposed upon any insured with "law most favorable" language. Retention is reimbursed in the event of a "no liability" court ruling or case dismissal. Partnership PrivateEdge also covers thirteen employment practices violations, including wrongful acts; harassment (including sexual harassment whether "quid pro quo," hostile environment, or otherwise); and discrimination (including but not limited to discrimination based upon age, gender, race, color, national origin, religion, sexual orientation or preference, pregnancy, or disability).
Partnership PrivateEdge insureds also receive access to the American International Companies' Panel Counsel, a pre-approved roster of law firms which features the country's most well-known and qualified securities and employment practices firms. Insureds are entitled to select a firm from the roster for the corresponding area in which the lawsuit is filed.
For more information about Partnership PrivateEdge, call any regional office of the American International Companies or e-mail email@example.com. More information about Partnership PrivateEdge is also available at http://access.aig.com.
AIG is the leading U.S.-based international insurance organization and the largest underwriter of commercial and industrial insurance in the United States. Its member companies write property, casualty, marine, life and financial lines insurance in approximately 130 countries and jurisdictions, and are engaged in a range of financial services and investment management businesses. American International Group, Inc.'s common stock is listed on the New York Stock Exchange, as well as the stock exchanges in London, Paris, Switzerland, and Tokyo.
* The above described coverage may not be available in all states, and the above description thereof is neither a complete description nor a complete list of all terms, conditions and exclusions. Note that certain terms used in the above are defined in the policy. Please see the policy for a complete description of its scope and limitations of coverage. Issuance of coverage is subject to underwriting.