The Hartford said that it has expanded its management and professional liability insurance for asset management firms with a blended liability policy offering new and extended coverage to address key cyber and regulatory risks.

“Today's asset management firms operate in an increasingly complex regulatory environment and face an unprecedented array of liability risks,” said Steve Prymas, vice president of management and professional liability insurance at The Hartford. “With the SEC's heightened focus on cybersecurity preparedness and threats in the securities industry, it is more critical than ever for asset management firms to have appropriate insurance for these types of risks.”

Designed for firms of all sizes, The Hartford's Asset Management ChoicePolicy offers asset managers the opportunity to tailor coverage based on their specific needs, The Hartford said. It added that coverage options include protection for directors and officers, investment advisor professional services, employment practices liability, private and registered funds, fiduciary and cyber liability, and kidnap & ransom, with new and expanded coverage to help address:

- Network security liability;

- First party expenses related to network security risks, including breach-related notification costs;

- Crisis management services;

- Expenses related to cooperation with regulatory investigations;

- Expenses incurred to comply with regulations governing the recovery of erroneously awarded compensation; and

- Legal fees and expenses incurred by an employee called to testify as a witness in a hearing in which they are not a plaintiff or defendant.

“These enhanced coverage options are the latest example of our focus on developing comprehensive management and professional liability insurance products that respond to the rapidly shifting regulatory landscape in which our customers operate,” said Mr. Prymas.