Insurance for Asset Managers
Leveraging the insurance markets for asset managers risk management
As one of the traditional sectors within our client base, Asset Management houses can take comfort in our history, expertise, continuity of people and our multiple product offering.
Developments within your sector in regulation, investor demand and new products and territories means that you need a specialist broker on your side. We are perfectly positioned to help.
Our experienced and specialist team can provide you with global solutions from legally required protection to complex insurances covering emerging exposures within your business.
We're always here to help
Comprehensive insurance solutions designed around core products for Asset Managers
Legally reviewed and AIFMD compliant, our Fund and Investment Management Liability and Fraud wording is a bespoke blend of professional indemnity and crime insurance.
It is designed to cover your business for costs and settlements associated with liability to others, and regulatory investigations.
When faced with allegations concerning the management of the assets or of employee and third party fraud, it is important to meet them head on and defend your good name – our insurance cover and claims team is ready to support you.
Fully tailorable, with numerous options to structure the coverage, our product is designed to cover a group structure on a global basis.
Our fund D&O is specifically designed to cover individual directors for expenses, damages and settlements required in relation to the duty they have to the fund / company.
Allegations can come from clients, investors or even from within your own ranks, so it is vital to be prepared.
Coverage is broad and extensive, with very competitive premiums.
Our insurance procurement service provides access to key lines of insurance for Private Equity owned portfolio companies. Utilising specialist knowledge for optimal policy placement and procurement, we aim to help protect the company’s key people and balance sheet.
Cyber Insurance needs to complement your professional indemnity and crime insurance arrangements, as such policies tend to have exclusions or low policy limits for claims arising from cyber incidents.
A standalone cyber policy responds to a cyber event by paying for an immediate, specialist forensic investigation and remedial action against the threat.
After the incident, the insurance is designed to pick up the costs of crisis management, legal and PR representation, and third party claims, as well as first party claims for damage to IT equipment and business interruption.
Howden’s Climate Risk and Resilience practices addresses the risks associated with a changing climate and aid the transition towards net-zero carbon emissions. The team focuses on risk transfer products that help to accelerate and de-risk the move towards a low-carbon economy, and to mitigate the results of climate change.
Buying or selling a fund? Our team of specialists provide products covering unknown risks that might appear post-closing and can cover a wide range of risks including title risk, tax liability, litigation, financial risk, environmental and accounts. Visit our specialist M&A website here.
After the Event is a specific type of legal expenses cover for scenarios where you are pursuant in the case. Should the final judgment goes against you, you will be held liable for the defendant’s legal costs. For complex asset management claims, this can run into huge sums.
We will work alongside you to minimise your exposure to legal disputes, as well as advising on the insurance position at every step of the litigation process.
Fund wrap up:
For many funds, residual tax liabilities can limit the full distribution of funds to investors and prevent the liquidation of the fund.
Howden has worked closely with specialist insurers to develop bespoke policies designed to ring-fence such liabilities.
Typical cover can include areas such as residency, trading vs investment, diverted profit tax, interest and penalties and establishment status.
Specific Tax Risk:
This policy is a bespoke insurance solution designed to transfer an identified tax risk to the insurance market.
Whether held by a buyer or seller in a transaction or simply represented as a potential liability on a corporate balance sheet, the product provides financial cover in the event of an identified tax risk crystallising into an actual liability.
The potential for strong returns in emerging markets makes them attractive to investors. Such frontier markets can often have a chaotic, unpredictable political climate
Political risk insurance protects your fund against the associated risks of political turmoil: governmental confiscation, war, political violence, licence cancellation, currency inconvertibility and non-transfer, forced divestiture and breach of government contracts.
Hedge funds tend to rely on the experience and expertise of a small number of people.
Key person insurance is a policy that pays out a lump sum designed to cover lost profits if a key individual became critically ill or died.
The policy will also include the costs of replacing the key person or if necessary, the costs of winding down the business.
Similar to key person insurance, but designed for partners, owners, shareholders and directors, Partnership Protection provides the funds to buy the business equity from the deceased’s estate.
This mitigates disputes and allows for business continuity.
Using bespoke, compliant wording, hedge funds can transfer credit risk and mitigate potential concentration restrictions they face. These solutions not only help to manage risk but also act as an enabler in a very competitive marketplace.
PMI cover can be tailored and ﬂexible, based upon the needs of your workforce. Comprehensive PMI policies can oﬀer beneﬁts ranging from complementary medicines to cancer drugs and treatments. PMIoﬀers your employees peace of mind that they can access medical advice and treatment quickly, when they need it.
If an employee dies whilst still in service, group life assurance provides the employee’s dependants with a tax-free lump sum and/or a taxable pension. It’s a highly valued and cost-eﬀicient beneﬁt that provides ﬁnancial security during a diﬀicult period.
Because there is more than one solution to providing this beneﬁt, we can provide specialist advice to help you understand the diﬀerences and select the most appropriate route for your business, and your employees.
Employees who are absent from work because of long-term illness or injury can beneﬁt from group income protection, which can provide a monthly income after an initial deferred period. Many insurers work with clients to provide early intervention support to help employees return to work more quickly, potentially avoiding the need for a claim to be made at all.