Corporate Insurance
At Wealth Refinery, we offer comprehensive insurance solutions tailored to meet the diverse needs of corporate clients. Our insurance products provide essential protection for businesses against risks, ensuring continuity and financial stability in times of uncertainty.
Commercial Crime
Commercial crime is estimated to cost the South African economy billions of rands annually. Year-on-year statistics show an upward trend…
THE NEED
Commercial crime is estimated to cost the South African economy billions of rands annually. Year-on-year statistics show an upward trend in the number of commercial crimes reported. As a growing risk, never has it been more important for companies to protect themselves against direct financial loss as a result of theft and fraud.
THE SOLUTION
Wealth Refinery stands firm in the belief that traditional fidelity guarantee policies do not provide sufficient protection from the diverse array of risks faced by the commercial environment, which include employee fraud, embezzlement, corruption, money laundering, computer fraud and extortion. Wealth Refinery’s Commercial Crime product offers a comprehensive cover solution.
THE COVER
- Employee Dishonesty
- Computer Fraud
- Extortion
- Fraudulent Transfer Instructions
Cyber Risks
The effect of a cyber attack could be devastating to almost any business: network downtime, loss of important data…
THE NEED
Many organisations believe that their firewalls and anti-virus programs provide them with sufficient protection against cyber risks such as viruses and hacking. The shocking reality is very different every day more than one million people and organisations fall victim to cyber attacks.
Almost every company has some kind of network, database or online presence that puts it at risk. The complexity of the online environment makes it impossible for most businesses to address these risks, or even appreciate how serious the threat is.
The effect of a cyber attack could be devastating to almost any business: network downtime, loss of important data and loss of credibility when customer information is compromised (not to mention the litigation that would follow if the hacker were to use that information to plunder the customer’s bank account).
THE SOLUTION
Wealth Refinery’s Cyber Risks policy covers organisations against the risks arising out of operating a computer network. In addition to this,
- It covers liability arising from on-line publishing (such as a website) as well as from traditional media (such as brochures);
- There is an option which provides professional indemnity cover appropriate to companies which participate in developing software and other technology;
- It not only covers the Insured’s liabilities to others, but also provides a form of specialised business interruption cover which covers the Insured’s loss of income arising out of computer down-time
THE COVER
- Technology Professional Services
- Multimedia liability
- Security & privacy liability
- Data recovery & loss of business income
- Privacy regulatory defence & penalties
- Crisis management costs, including customer notification, support & credit monitoring expenses
- Data extortion
Directors' & Officers' Liability
Directors and officers face personal liability if the company experiences loss or damage due to their conduct not meeting the required…
THE NEED
King III and The Companies Act No. 71 of 2008 renders Directors’ and Officers’ Liability Insurance crucial for all companies regardless of size or incorporation. Directors and officers now find themselves in a far more onerous position than ever before, with legislation holding them more accountable for any wrongful act or negligent actions, as well as breaches of their fiduciary duties.
Moving South Africa in line with international trends of Alternate Dispute Resolution (ADR), the King III Report recommends that ADR clauses be included in all business contracts. It suggests that mediation should be used as a management tool and as a dispute resolution instrument that allows for efficient, cost-effective and private settlements. The Wealth Refinery Directors’ and Officers’ Liability cover product comes with the use of dispute resolution services. A director would have already covered that aspect of his/her duty toward the company by purchasing the insurance policy.
The Companies Act No. 71 of 2008 also changes the business landscape substantially, as far as the incorporation, administration and management of companies is concerned. Ushering in a new era of uncharted territory for directors and officers in South Africa, no person should consider taking up a position as a director before ensuring that there is a Directors’ and Officers’ Liability insurance policy in place. When a board of directors is assembled, it is best to have a Directors’ and Officers’ Liability policy in place to manage the risk exposure faced by these directors.
THE SOLUTION
Directors and officers face personal liability if the company experiences loss or damage due to their conduct not meeting the required standard. Section 78 of the Act allows for indemnification and purchase of directors’ insurance. Directors’ and Officers’ Liability Insurance provides protection for the directors and officers of a company in the event of legal proceedings pertaining to the failure to perform duties as they relate to the company.
THE COVER
Insurance protection for:
- Past, present and future directors, officers, prescribed officers, and employees acting in a managerial or supervisory capacity covering:
Covering:
Awards Legal
Legal Defence Costs
Investigation Costs
Following an allegation of a wrongful act, including (but not limited to):
Error
Misstatement
Act/omission
Negligence
Breach of duty
Brought about by:
Stakeholders such as (but not limited to) employees, trade unions, government, creditors, competitors, and suppliers
Any other affected party
The policy also covers the company:
When it indemnifies a director or officer
For securities litigation (if applicable)
Employment Practices Liablity
Wealth Refinery’s approach to EPL is not only to provide an insurance safety net against labour disputes, but also to provide clients with…
THE NEED
In today’s increasingly litigious business environment, employing staff is inherent with legal exposures and employers need cover against allegations of unfair labour practices. According to the Labour Relations Act, employers can be taken to the CCMA, Bargaining Council or Labour Court for various labour practices. Frighteningly, courts may award as much as 24 months’ salary to the aggrieved employee.
Profit companies (public and private) and non-profit companies are therefore all at risk of being sued by current, past and potential employees, and even the most efficient HR departments may fall victim to inconsistent decision making at the dispute resolution forums. Defending a wrongful termination or discrimination claim – whether innocent or guilty, or even if the claim is groundless or frivolous – can be expensive. The potential exposure for any award threatens a company’s financial resources and a company’s reputation can also be called into question. The reality is: any company that has employees needs Employment Practices Liability (EPL) cover.
THE SOLUTION
In response to the escalation in employment-related litigation and the inherent financial risk to businesses, Wealth Refinery’s Employment Practices Liability (EPL) provides comprehensive coverage for employment-related claims. Camargue’s approach to EPL is not only to provide an insurance safety net against labour disputes, but also to provide clients with tools that can both simplify the labour arena, as well as minimise the risks that South African employers face.
Statistically the risk of CCMA action is twice as high as the possibility of a road accident and the EPL premium is substantially less than that of a motor fleet policy. A business owner needs to be protected from meritless claims brought by disgruntled employees and EPL coverage can serve as a last line of defence.
THE COVER
Insurance Protection For Employers Covering:
- Legal fees
- Damages
- Awards
- Settlements
Following an allegation of:
Unfair dismissal
Sexual harassment
Discrimination
Failure to employ
Brought about by:
The CCMA
Bargaining Council
Labour Court
Arbitration Proceeding
Employers who have EPL cover under Directors and Officers (D&O) policies should be warned that D&O policies generally cover directors and not the company. Virtually all labour cases are brought against the company. EPL cover under a D&O policy may also be more restrictive.
Financial Institutions
Although most financial institutions purchase this type of coverage, there are many which, due to their size…
THE NEED
The introduction of stringent corporate governance requirements stipulated in the new Companies Act and King III report, and increased consumer awareness due to the Consumer Protection Act, has highlighted the need for financial institution insurance that is backed by strong and stable security, to manage and mitigate a multitude of risk exposures daily.
THE SOLUTION
Risk management is essential to the survival of financial institutions and entails the mitigation thereof through the implementation of risk controls and the purchase of Wealth Refinery’s Financial Institution Liability insurance. Although most financial institutions purchase this type of coverage, there are many which, due to their size and activities, do not feel they have the exposure to such potentially severe losses and purchase only the minimum cover prescribed by the Financial Services Conduct Authority.
THE COVER
Financial Institutions Bond
This policy wording, historically known as Bankers Blanket Bond coverage, is tailor-made to suit the requirements of financial institutions:
- Bankers Blanket Bond provides indemnity against financial loss which may occur during the course of normal trading operations
- Electronic and Computer Crime covers financial losses sustained by the Insured which result from electronic and computer crime risks perpetrated by third-parties
- Professional Indemnity indemnifies the insured against legal liability to third-parties for financial loss caused by a negligent act, error or omission, committed in the course of providing financial services
Directors & OfficersCover is provided for:
- Any Wrongful Act including actual or alleged breach of contract, breach of duty, trust, act, error, neglect, omission, misstatement, misleading statement, breach of warranty or authority
- Cover for the company where the company reimburses the directors and officers
- Securities claims which can have a significant effect on the bottom-line of the company, particularly publicly traded companies, are also covered
General Liability
covers a wide range of liability exposures that can be insured and then also provides each client…
THE NEED
In the ordinary course of business a company could cause damage to the property of others, or even injure people. As a result, the company may become legally liable for the directors, subcontractors, customers, suppliers and shareholders – to name just a few.
Even though the company should do everything it reasonably can to prevent liability, it is simply not practical for a business to anticipate and prevent every possibility.
If the company is at fault, it may be sued for damages. The Wealth Refinery General Liability Policy has been designed to pay for these damages – even if the matter is settled out in court and the policies would also cover legal costs incurred in defending the matter.
THE SOLUTION
The Wealth Refinery General Liability product (CGL) covers a wide range of liability exposures that can be insured and then also provides each client with access to broad legal risk management tools to manage the balance.
THE COVER
- Public liability on a broad-form, non-accidental basis
- Product liability, including defective workmanship and damage arising out of faulty design
- Negligent advice which may, for example, arise out of poor sales advice or training
- A range of specialist covers, including product inefficacy, errors and omissions, pure economic loss and advertising and copyright infringement
- Statutory defence cover, capable of defending the imposition of a fine arising out of the Consumer Protection Act
- Industry specific covers, such as custody & control, warehousing, carriers and contractors liability
Medical Malpractice Indemnity
As South Africa becomes an increasingly more litigious society, so medical practitioners, and establishments performing medical procedures…
THE NEED
Given the nature of the procedures performed by medical professionals, and the multitude of scenarios where negligence or an accident may occur, it is essential that individuals working in the medical industry have insurance should anything go wrong as a result of their actual or perceived negligence or malpractice.
As South Africa becomes an increasingly more litigious society, so medical practitioners, and establishments performing medical procedures, will provide a more active source of litigation to the legal profession. This trend is compounded by the high earnings potential of such claims for lawyers. The result is that the number of medical malpractice claims, in excess of R5m, has rocketed by 900% over the past decade. The new Consumer Protection Act (CPA), which came into force on 01 April 2011, only further increases medical professionals’ exposure due to the stringent requirements of the Act, as well as heightened consumer awareness.
THE SOLUTION
All medical practitioners and establishments, without exception, including physiotherapists, homeopaths, nursing homes, elderly care facilities and other health care professionals, should have the protection of medical malpractice insurance. Patients, and their attorneys, have no compunction about holding medical care givers answerable; with this insurance, these professionals can limit their exposure thereto. Camargue provides Medical Malpractice insurance for establishments and practitioners:
- Indemnifies the Insured for bodily injury or mental injury, illness, disease, or death of any patient or person caused or alleged by malpractice of the Insured.
- Indemnifies the Insured for bodily injury and/or damages to third-parties as a result of, or allegedly caused by, the Insured.
- Indemnifies the Insured for injury and/or damages to any patients or third-party arising from the nature or condition of any product.
- Indemnifies the Insured for any breach of professional duty, any breach of implied warranty of authority or of trust committed in good faith, defamation and/or injuria, infringement of copyright, and the destruction of, damage to, or loss of any documents entrusted to the Insured.
THE COVER
- Medical Malpractice
- Public Liability
- Products Liability
- Professional Indemnity
Pension Fund Trustees Liabilty
Protecting the long-term security of accrued benefits for the pension fund is the responsibility of the trustees. The trustees are duty…
THE NEED
multi-billion Rand industry, in South Africa, there are up to 3500 registered funds with over 11 000 000 members and investments exceeding R2000-billion. Responsible for billions of Rands and effectively people’s lives, it’s for good reason that the Pension Fund Act places onerous responsibilities on trustees, and they may be held personally liable if their fund suffers a loss as a result of their own actions or failure to act. Effectively this puts a trustee’s entire personal estate at risk and if a judgement goes against them, they could forfeit all their attachable assets.
All too often however, the appointed board of trustees does not have the knowledge and expertise to handle the various complexities of the pension fund and third-party service providers are instated to carry out the business of the fund. Not a fail-safe approach to pension fund management, losses may be caused by the appointed third-party making it especially important for trustees to ensure that providers possess adequate Professional Indemnity and Fidelity Guarantee cover, and do not limit their liability in service level agreements.
THE SOLUTION
Pension funds, as well as their trustees, need coverage and Wealth Refinery’s Pension Fund Trustees Liability insurance protects the fund against loss resulting from fraud and dishonesty by an officer or trustee; negligence by an officer or trustee and computer crime committed by a third-party.
Protecting the long-term security of accrued benefits for the pension fund is the responsibility of the trustees. The trustees are duty bound to ensure that members’ pension obligations continue to be suitably funded and secured. Pension Fund Trustees Liability insurance safeguards this obligation.
THE COVER
The Fund is covered against:
- Errors and omissions
- Theft and fraud
- Third party computer crime
Trustees and Principal Officers receive:
- Professional Indemnity cover
Additional Coverage:
- Claims preparation costs
- Costs for recovering losses that exceed the limit of indemnity
- Costs for reinstating office records
- One free reinstatement
Professional Indemnity
A professional cannot ignore an accusation of negligence; the allegation must be defended or admitted. In either case…
THE NEED
In today’s service-driven economy, it is crucial for professionals, and those providing specialist advice, to employ specialised knowledge, skill and care in their business dealings with their clients. These professionals must exercise a degree of care and skill which is reasonably expected of any competent practitioner in that profession.
If a person provides advice or a service to another and carries that work out negligently, they could be held legally liable for the consequences thereof. Liability can arise because there has been a breach of duty of care or a breach of contract. Accountants, architects, engineers, and lawyers, amongst others, include professionals who are often exposed to litigation. Many of the suits brought against these professionals are as a result of damages sustained due to the professional’s failure to perform according to the generally accepted standards in their respective fields.
Heightened consumer awareness, which is largely as a result of new legislation protecting consumers’ rights, coupled with tough economic conditions, is resulting in our society gradually becoming more litigious. Even where there has been no proven error resulting in liability, a third party may initiate a suit against the professional purely as a result of the project not being successful. Defending actions in court could prove to be time-consuming and expensive. If the professional is found guilty, the costs related thereto, which may include reimbursement of the litigant’s expenses, may be an unaffordable financial burden.
THE SOLUTION
To err is human – everyone makes mistakes. A professional cannot ignore an accusation of negligence; the allegation must be defended or admitted. In either case, there will be cost implications. In today’s litigious age, where ‘claim’ often follows ‘blame’, having adequate insurance cover which can protect the individual and the business from the financial fallout of such claims is imperative. There is no doubt that the quantum of court awards has risen sharply in recent years and professional indemnity insurance will ease the financial burden of defending claims and damages payable in respect thereof. It provides the ultimate safety net when all else fails.
THE COVER
- Negligent acts
- Negligent errors
- Negligent omissions or
- Negligent breach of contract
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