LAW ENFORCEMENT LIABILITY OPTIONAL COVERAGES AND ENDORSEMENTS

(July 2019)

INTRODUCTION

Most insurance companies offer a number of optional coverages, some of which buy back coverage excluded in the coverage form.

COVERAGES AND ENDORSEMENTS

Optional Law Enforcement Liability endorsements similar to the following are generally available:

Accidental Death Benefit

This endorsement provides a limited death benefit to officers or employees killed in the line of duty. Also referred to as Line of Duty Death Expense benefit.

Authorized Moonlighting Extension

This endorsement provides coverage when the law enforcement agency allows its employees to accept paid positions at other agencies or commercial operations while off-duty. These employees can be in uniform or out of uniform but continue to exercise their authority as law enforcement employees. These endorsements normally require that the law enforcement agency authorize such activities in order for coverage to apply.

Note: This situation is not always easily defined because law enforcement officers are considered on duty 24x7.

Blanket Additional Insured

This endorsement extends additional insured status to any client of the law enforcement agency that requires being named as an additional insured under the named insured’s coverage.

Canine/equine exposures

Optional coverage for claims and suits arising out of use of either/or canines or horses in performance of authorized law enforcement duties, such as use of canines in searches and mounted patrols.

Consent to settle

Optional coverage where policyholder controls settlements since insurer must, first, get the insured’s permission. Generally, this option is accompanied by a significant deductible/coinsurance requirement.

Defense Costs

Option to have defense costs provided separately from an LEL policy’s applicable limits. Allows for defense of lawsuits without eroding purchased limits.

Emotional Distress Coverage

This endorsement responds to claims involving damages caused by emotional distress or mental anguish when such damages arise from an eligible, wrongful act. Sometimes referred to as mental anguish claims.

Employee Benefits Liability Coverage

This optional coverage applies to injury that arises out of any act, error or omission in administering the insured’s employee benefits programs. These include group life insurance, group accident or health insurance, pension plans, employee stock purchase plans, or disability benefits.

Note: This endorsement does not cover fidelity or fiduciary losses. Coverage for these losses is available under separate crime and fiduciary coverage forms.

Excess or Umbrella Liability

Some Law Enforcement Liability coverage forms offer optional excess liability limits. This endorsement provides a layer of coverage above the Law Enforcement Liability coverage form's liability limit. This would be a particularly valuable option for primary LEL policy’s which include defense expenses as part of insurance limits.

Note: Other insurance companies offer umbrella liability policies that provide a layer of coverage over all of the insured’s underlying liability exposures, such as general liability, automobile liability and employers’ liability in addition to Law Enforcement Liability.

Extended Reporting Period

Law Enforcement Liability coverage written on a claims-made basis has an extended claim reporting period option available. It protects the insured from losses for an extended period of time after expiration but only if the insurance company terminates coverage or moves the retroactive date. It is typically limited to between one and three years.

Jail Operations

Supplemental protection for lawsuits arising directly out of facilities used for incarceration that are operated or supervised by an applicable insured law enforcement agency.

Medical Malpractice Liability

This coverage must be evaluated carefully. Certified health care professionals may require individual coverage purchased from insurance companies that specialize in and provide medical malpractice coverage.

Personal Injury Coverage

Some Law Enforcement Liability coverage forms may redefine or even exclude personal injury coverage. Each coverage form should be reviewed to determine if coverage is provided for false arrest, false or improper service of process, wrongful detention, wrongful imprisonment, malicious prosecution, assault and battery, discrimination, and humiliation, violation of the right of private occupancy, including wrongful entry or wrongful eviction.

Property of Others Extension

Option to increase a basic LEL policy’s limited protection against third-party claims involving loss to property in the named insured’s care, custody and control which occurs at the time of arrests.

Prior Acts Coverage

Optional coverage to fill any coverage gap causes by switching from a claims-made to an occurrence form. Protection is limited to the retroactive date that appears on the endorsement or amended policy declarations.