Skip Nav
 

Gold Complete - Comprehensive Management Insurance

Gold Complete is the broadest and strongest management insurance cover AIG has ever produced, giving businesses access to simplified, flexible coverage that addresses the real concerns and opportunities they face, both today and in the future. Gold Complete now includes a Kidnap and Ransom module and an integrated Costs and Expenses module. AIG has also launched a version of Gold Compete specifically for financial institutions.

Product Highlights

Flexible, modular design

The flexibility to select from 13 modules of cover, providing a tailored solution that addresses all management insurance exposures.

No-gap cover

All modules share common policy language with the same definitions and terms and conditions, ensuring no hidden or unintended gaps in cover.

Evergreen or annually renewable

Available as a traditional ‘annually renewable’ policy or ‘evergreen’, where cover continues year-on-year, eliminating the time-consuming and often complicated annual renewal process.

Confidence in your decision

We offer peace of mind when you change to Gold Complete with Backdated Continuity and a Difference in Conditions extension for the first 12 months of the policy.

International coverage

Overseas markets no longer need to feel foreign. AIG's worldwide network enables us to create a seamless and flexible solution combining global coverage with the most favourable local terms.

Risk management services

We offer a suite of support services to assist in loss prevention and mitigation, many of which are new to the management insurance market, including board member education and pre-loss consultancy services.

Rapid response

Supports early intervention to mitigate or minimise litigation by meeting costs that arise from the intervention.

Reinstatements

Reinstatements are available for a number of modules so the policy is refreshed and responds with a new, unimpaired limit in the event of a subsequent, unrelated claim.

Product Modules

Our customers have 13 modules to select from when creating the solution to best suit their needs.

Broad cover for costs associated with defending all managers and employees against third party claims arising from their actions and decisions.

Key Features 

  • Nil retention for commercial institutions - as standard for any loss.
  • Circumstance/claim mitigation – enables proactive steps to be taken to head-off potential claims against managers.
  • Pre-claim inquiry - cover for pre-claim requests for information by regulators as well as cover for internal investigations.
  • PR expenses - regardless of outcome, cover is provided to protect a manager’s reputation against negative PR activity including on social media.
  • Severability of exclusions - individual managers are not prejudiced by the actions of others.
  • Side A match - if Side A Protection is purchased in conjunction with the D&O section, cover is extended to the breadth of cover provided under the Side A Protection section.
  • Reinstatements - extra cover available to respond with a fresh limit should another claim arise.

Cover in the event of a shareholder class action, one of the most costly and time consuming pieces of litigation that a listed organisation can face.

Key Features  

  • Broad cover for any written demand or proceedings seeking compensation for any error or omission by the company regarding any laws or regulating securities.
  • Ring-fenced exposure - option to purchase a separate limit for company securities and for D&O.
  • Derivative demands - covers the company for costs associated with derivative demand hearings and defence costs in seeking the dismissal of any derivatives suit against any manager.
  • Interpretive counsel – defence costs includes cost of an Australian counsel to interpret and apply advice regarding global securities settlement procedures.
  • Share our experience - option to have AIG present to the insured’s board of directors on AIG’s experiences in handling securities investigations and class action litigation.

Direct coverage for directors and officers for third party claims where the company is unable to provide indemnity, or where traditional insurance programs are unable to respond, or where the limit of an underlying insurance program has been exhausted.

Key Features  

  • Difference in conditions - cover in the event that the loss is excluded under an insurance program, or an underlying insurer refuses or is unable to indemnify.
  • Underlying match assurance - loss is extended to include unindemnified loss provided by the primary policy.
  • Many D&O section coverage highlights are also included.

Protection for both individuals and the business against the costs associated with the unintentional breach of an Australasian statute, including defence costs, fines and penalties (where insurable by law).

Key Features  

  • Cost awards – cover for an official body’s legal costs awarded against the Insured Entity by a court.
  • Broad cover – includes cover for many relevant Australasian statutes, and includes coverable strict liability offences which are excluded under many other policies.

Broad cover with no expiry date for companies and key stakeholders involved in prospectus claims.

Key Features

  • Includes investigations and critical regulatory events, and includes claims arising from the prospectus document and statements made in road shows.
  • Lifetime cover - no expiry date, available for key stakeholders on a ‘Lifetime’ basis
  • Ring-fenced exposure - document-related exposures addressed on a separate standalone policy. We are also able to note multiple documents on the one prospectus policy.
  • Many D&O section coverage highlights are also included.

Covers the liabilities of directors of a company that has been through a change in control.

Key Features  

  • Broad cover – management liability and management investigation costs for matters occurring prior to the sale date, irrespective of any other indemnification available to the insured.
  • ‘Lifetime’ cover – no end date in recognition that not all claims can be statute barred.
  • Protection from successor entity claims - cover is also available for claims made against managers by successor entities, and includes claims relating to representations and warranties made by the manager in the document connected with the transaction.
  • Many D&O section coverage highlights are also included.

Cover for costs arising from claims relating to employment practices litigation and Fair Work Australia claims.

Key Features  

  • Broad definition of employment practices liability - cover for the company for any liability with respect to employment or prospective employment.
  • Entity protection against third party liability for commercial institutions - cover for harassment of or discrimination against any third party.
  • Broad definition of employee – from directors through to seasonal or temporary workers, work experience individuals and independent contractors, including volunteers. 
  • Workplace assault - covers PR consultant and counselling costs where an employee assaults another employee at the insured’s premises or at an event sponsored by the customer.

Broad cover for the trustees of superannuation plans against third party claims.

Key Features  

  • Broad definition of corporate superannuation trustee liability - entity cover for liability with respect to a superannuation plan.
  • Broad definition of plan - cover extends to merged, transferred or terminated plans prior to or after inception, and plans created or acquired after inception.
  • Exoneration cover - reimbursement is provided to the plan if it is required to indemnify a trustee for a wrongful act pursuant to an exoneration clause in the trust deed.
  • Entity protection against increasing regulatory scrutiny - provides protection for ombudsman and superannuation regulator awards where there is a finding of culpability as determined by an official body against the trustee.
  • Entity protection against loss of documents - cover for costs associated with replacing or restoring documents.

Tailor-made solutions to address the increasing risks of kidnap, ransom, extortion and wrongful detention, including risk prevention, incident response and financial cover.

Key Features

  • Access to NYA International, a leading specialist crisis prevention and response consultancy. NYA provide an immediate response in the event of a crisis and remain engaged until a successful conclusion is reached, informing and advising the client’s team or family throughout the duration of the incident.
  • Global coverage – the Kidnap and Ransom section covers all parts of the world.

Protects the company against financial losses resulting from a wide range of crises, including PR assistance to rebuild brand reputation.

Key Features

  • Social media – includes protection to mitigate damage to company reputation following negative social media commentary on alleged business practices.
  • Company protection against investor scepticism - a delisting crisis, an unsolicited takeover bid, or cover for commercial institutions for a share price crisis.

Comprehensive protection against financial losses resulting from criminal activity, plus pre-loss consultancy services to identify and remedy any areas of vulnerability.

Key Features  

  • Protection for goods for which the company is legally liable, including money, negotiable instruments or other property that the company has in its care, custody and control.
  • Broad cover with no improper personal gain trigger.
  • Added protection through a wide range of extensions, including cover for:
    • further losses by using an investigative specialist
    • reconstitution costs
    • legal fees
    • identity fraud
    • interest due or receivable
  • Pre-loss services with Ernst & Young – full review of internal controls to identify areas of weakness, plus recommendations to reduce the potential for fraud.

Provides increased limits of liability over your primary insurance cover, ensuring experience and capability throughout the program.

Key Features

  • Other insurers can adopt our Gold Complete policy wording – providing consistency across the terms and conditions and reducing gaps in cover.
  • Broad cover - the section also specifically notes that the excess policy shall recognise erosion of an insurance program though:
    • payments by any excess insurer; or
    • any excess insurer being found legally liable by any court; or
    • by any other party making payment in lieu of the excess insurer.

Ensures cover for defence costs and other expenses should the policy be subject to a covered statutory charge on the insurance fund.

Key Features

  • Triggered by any covered statutory charge that would affect the insurance fund – no need for the covered statutory charge to be threatened by plaintiff or for a judicial declaration.
  • Sits seamlessly with existing Gold Complete sections, providing defence costs and all expenses including PR expenses.
  • Single retention - is payable under both this section and the other applicable section(s) for a claim.
  • Reimbursements - the Costs and Expenses section is reimbursed if the main sections are not exhausted, allowing this module to be reinstated to deal with any subsequent matter.

Claims Service

Outstanding claims handling

We recognise that the situation from which a claim arises can be extremely stressful and traumatic for the people involved, and every claim is treated with empathy as well as efficiency.

Our expert claims team is committed to delivering prompt, skilful and knowledgeable claims service that meets the unique needs of our clients. Every customer is given individual, dedicated claims service, dealing directly with the decision-maker to find the best solution, regardless of the severity of the claim.

With over 10,000 specialist claims handlers in more than 400 claims offices around the world, AIG has the local capabilities to deal with all types of claims and the ability to draw on global expertise if required.

Awards

2013 Sue Ronai Memorial Excellence in Claims Service
2013 Australian Business Awards for Service Excellence
2013 Australian Law Awards In-House Insurance Team of the Year
2012 Sue Ronai Memorial Excellence in Claims Service

Gold Complete claims protocol

We know that effective claims support is more than simply writing a cheque, so to help reduce the anxiety experienced when faced with a loss, all Gold Complete modules are covered by a comprehensive ‘claims protocol’ within the policy – a first to the Australian management insurance market.

The protocol further supports companies and individuals when faced with a claim by outlining how and when a claims manager will assist the customer, and the procedure for appointing legal and investigative service specialists.

Claims Examples

1. ASIC investigation, receiver/liquidator examinations, and a class action

As a result of short selling, a number of the insured’s debt covenants were triggered. The insured was unable to refinance their debt, and as a result an administrator and a receiver were appointed. Subsequently the company was placed into liquidation. 

An aggressive and wide ranging ASIC investigation was undertaken, and public examinations of the former directors and officers of the insured were conducted by both the receiver and the liquidators.   This led to two criminal prosecutions (both successfully defended), a class action brought on behalf of the shareholders (subsequently withdrawn), a claim brought by an investment bank in respect of their off market purchase of company shares, and most recently, a further criminal prosecution by the former CFO. AIG assisted the directors and paid almost $15 million in defence costs. 

2. Insolvent trading

The insured created a special purpose vehicle (SPV) to house a controlling  interest in a listed mining company (target). The multi-million dollar purchase price for the shareholding was agreed. At the time of the purchase, the directors verbally agreed in principle with a third party for the financing of the acquisition. 

The third party failed to follow through with its agreement to provide financing and the purchase did not proceed. The SPV was wound up and a liquidator was appointed. 

The liquidator initially conducted public examinations of the directors and company secretary of the SPV and then consequently commenced proceedings against the directors and company secretary of the SPV alleging they had traded whilst insolvent and failed to act with the requisite degree of care and diligence. 

The quantum of the claim was almost AU$30 million plus interest and costs, however the claim was settled by AIG for a significantly smaller sum. Approximately $500 thousand in defence costs were incurred in dealing with the public examinations, and in defending the claim against the directors and company secretary of the insured and SPV. 

3. Disclosure 

The insured made an Australian Stock Exchange announcement downgrading earnings expectations on a major construction project. Subsequently, the insured announced estimated losses on the project in excess of $100 million.  

ASIC commenced an investigation into market disclosure. A class action was commenced on behalf of shareholders who traded in shares for the period at question. 

AIG’s policy limit was eroded by defence costs and compensation payments. 

4. OH&S

Directors and Officers were prosecuted by the Department of Natural Resources and Mines for alleged breaches of Occupational Health and Safety laws. 

Through early involvement of AIG’s panel solicitors, the claim was managed such that the matter was promptly withdrawn by the Crown - with minimal costs incurred. 

 

Insurance products and services are provided by AIG Australia Limited ABN 93 004 727 753 AFSL 381686.  Copyright 2014.  These claims examples are provided by way of information only and should not be used to predict the outcome of actual claims.  Individual claims would be subject to the terms and conditions of any policy of insurance.  Should you require any advice on your insurance or coverage requirements you should consult your professional insurance advisor.  The accuracy or currency of the information is not guaranteed.

1. Dairy company improper by-product disposal

A New Zealand company was prosecuted by the local council for improper disposal of a dairy processing by-product into a waterway.  The client defended the charges, incurring legal fees, but was ultimately unsuccessful and a fine was awarded under the Resource Management Act.  The resulting claim paid by AIG under the insured’s Statutory Liability policy was $30,000. 

2. Health and safety investigation of an exploration company

A mining exploration company was investigated in relation to its health and safety practices after a number of minor incidents on its sites.  The investigation took place over five months.  Due to the length of the investigation, costs paid under the insurance policy amounted to over $150,000. 

3. Fair trading allegation by a retailer

A small retail store faced fines and penalties for alleged misleading advertisements in a mailer.  The regulator investigated claims that prices in the mailer were not “specials”, as products were available at the sale price for the majority of the year.  The client was fined $15,000 for breaches of fair trading legislation. 

 

Insurance products and services are provided by AIG Australia Limited ABN 93 004 727 753 AFSL 381686.  Copyright 2014.  These claims examples are provided by way of information only and should not be used to predict the outcome of actual claims.  Individual claims would be subject to the terms and conditions of any policy of insurance.  Should you require any advice on your insurance or coverage requirements you should consult your professional insurance advisor.  The accuracy or currency of the information is not guaranteed.

1. Class action against the Company after IPO

Less than five months after an insured’s IPO which netted considerable amounts for both the company and the IPO underwriters, the insured revised its fourth quarter results. 

The revised financials resulted in a significant reduction in revenues for the period and included disclosures that the company‘s auditors had found significant weaknesses in its internal controls and would not endorse the accuracy of its financial statements. The news caused the company‘s stock to plunge well below its offering price. As a result, shareholders filed a class action suit against the company alleging that it had withheld information about negative trends in its business and had made false claims about its financials. 

2. Directors sued after IPO 

The insured was an exploration and production company.  It owned a drilling rig which was intended to be utilised to undertake exploratory drilling. Following an initial public offering of shares pursuant to a prospectus, the insured was listed on the Australian Stock Exchange (ASX). The insured then encountered significant financial difficulties with respect to the provision of funds for the drilling program. It was unable to secure funds and the insured was placed in voluntary administration. 

Several years later a class action was filed against three former directors. The action was brought on behalf of shareholders who acquired shares between the IPO date and the date of entering into administration. The class action's claim alleges that various representations contained in the prospectus and in the ASX announcements relating to the rig, the drilling program and the insured's cash flow position were misleading and deceptive. 

3.  Forecasts is a Prospectus 

AIG’s insured was set up for the construction and operation of an infrastructure project pursuant to trust arrangements. 

The project failed and Receivers and Managers were appointed. A class action was commenced in the Federal Court of Australia by investors who alleged loss and damage as a result of exaggerated representations. The prospectus document issued by the insured included a forecast report prepared by a third party, in which the numbers were allegedly overstated. Both the insured and the third party are  defendants to the class action. 

The claimed quantum is in excess of $700 million, and defence costs are expected to exceed the policy limit. 

4. Alleged failure to disclose material information in a prospectus 

A shareholder issued proceedings in the Federal Court of Australia against the company and three of its former directors.  The company is in receivership. The subject matter of the allegations relate to a development site.  

The shareholder alleges that he relied upon a statement made by the insured to the ASX that it was the owner of site and that it had received approval for a substantial development on the land.  However, the insured had failed to disclose to the market an associated agreement which is alleged to have a material effect on the profits of development of the site. It is understood that the insured issued a prospectus prior to the shareholders purchase of shares which confirmed the site's status. 

The shareholder is  seeking the total cost of the share purchase. 



Insurance products and services are provided by AIG Australia Limited ABN 93 004 727 753 AFSL 381686.  Copyright 2014.  These claims examples are provided by way of information only and should not be used to predict the outcome of actual claims.  Individual claims would be subject to the terms and conditions of any policy of insurance.  Should you require any advice on your insurance or coverage requirements you should consult your professional insurance advisor.  The accuracy or currency of the information is not guaranteed. 

The insured is a food and beverage company. The company was sold and a D&O Run-Off policy put in place. Sometime after the transaction, the buyer of the company filed proceedings against various entities and the Directors, alleging misrepresentation. 

AIG is pursuing settlement of the matter up to $1.5 million, with $1 million in Defence Costs also expected to be incurred.  If settlement efforts are not successful, AIG will arrange separate representation for each of the directors, and then reassess the quantum of the expected Defence Costs. 



Insurance products and services are provided by AIG Australia Limited ABN 93 004 727 753 AFSL 381686.  Copyright 2014.  These claims examples are provided by way of information only and should not be used to predict the outcome of actual claims.  Individual claims would be subject to the terms and conditions of any policy of insurance.  Should you require any advice on your insurance or coverage requirements you should consult your professional insurance advisor.  The accuracy or currency of the information is not guaranteed.

1. Translation issues

The HR department of an Australian company received a draft copy of a termination letter for an employee in the company’s French subsidiary.  The HR department approved this letter despite the letter being written entirely in French and nobody in the home office having any knowledge of the language.  The letter, when translated, stated that the employee was being terminated due to poor personal appearance and hygiene, including body odour.  The employee filed suit for wrongful termination and the claim was handled by an AIG office in Europe in conjunction with our claims team in Australia. 

2. Bullying and harassment 

The Victorian Supreme Court awarded $600,000 to a part-time employee of a small not-for-profit entity after the Board failed to take action to stop repeated complaints of bullying and harassment in the workplace.  The complaints spanned four years and ranged from allegations of sarcasm and threats, to physical assault.  While the Board took action after some of the incidents, the court ruled that they were liable because no substantive action was taken to stop the pattern of workplace bullying. 

3. A claim avoided 

A disgruntled, recently dismissed employee made a verbal complaint against their former employer and asked for an apology.  The company’s HR department phoned one of the approved panel firms listed in their AIG policy.  Advice was given regarding the best course of action the company should take given the situation.  The business also notified AIG of the circumstance but the early intervention has meant that litigation has not been brought by the former employee. 

4. Customers sue for discrimination 

A mortgage provider settled a race discrimination case after a claim was brought by several customers who were denied mortgages despite qualifying for them.  The provider rejected their applications based on a system which denied loans to applicants in suburbs with poor housing prices, whose residents were predominantly of ethnic minorities. 



Insurance products and services are provided by AIG Australia Limited ABN 93 004 727 753 AFSL 381686.  Copyright 2014.  These claims examples are provided by way of information only and should not be used to predict the outcome of actual claims.  Individual claims would be subject to the terms and conditions of any policy of insurance.  Should you require any advice on your insurance or coverage requirements you should consult your professional insurance advisor.  The accuracy or currency of the information is not guaranteed.   

1. Extortion

AIG’s insured is a large multinational corporation. They received a letter at their corporate headquarters stating that if an extortion payment of $2 million  was not paid within five days, the extortionist would detonate bombs at the Insured’s corporate headquarters as well as at their various retail outlets. 

The company activated their AIG policy by contacting the AIG crisis centre hotline. Cover was confirmed and AIG’s consultant, NYA International, deployed the same day to the insured’s headquarters.  They provided a full risk assessment and coordinated its efforts with police.  After several follow-up calls and communication with the extortionist, the police were able to arrest a disgruntled former employee without further incident.  AIG’s policy reimbursed the insured over $550,000 for PR, media and additional security costs including third party security providers. 

2. Extortion

AIG’s insured was living overseas and received several calls at his office demanding he disclose documents and information about his business and make a payment of US$1 million or the extortionists would release sensitive information on the Insured’s company and/or kidnap his 8 year old daughter.  The insured contacted the AIG crisis centre hotline. 
  
AIG’s crisis consultant, NYA International, immediately deployed to the Insured’s residence. NYA provided a complete risk assessment of the insured’s residence and business, together with a protocol for handling future calls. NYA continued to monitor the matter, but no further calls were received.  

3. Kidnap in Venezuala 

AIG’s insured is a wealthy family living in Venezuela.  One of the sons was driving home with his girlfriend when he noticed several cars following his vehicle. He tried to lose the cars but was intercepted by a third car and made to stop. Five men brandishing firearms forced the son and his girlfriend out of the car and into one of the kidnappers’ cars. They were then stripped of their belongings and taken to an unknown location, where the kidnappers interrogated them regarding family wealth, contacts and other valuable information. 

The kidnappers then called AIG’s insured on his son’s cell phone and demanded a ransom payment of $750 thousand Bolivares (approximately $90,000) to release both victims. AIG’s client contacted the AIG crisis centre hotline and our crisis consultant, NYA International, deployed that night to the insured’s home. 

NYA assisted with the negotiation, and after two days both the son and his girlfriend were released unharmed for a ransom payment significantly less than was demanded.  Furthermore, NYA provided a full risk assessment of the family security systems and protocols and advised as to future risk mitigation procedures.  AIG reimbursed the insured for the ransom payment as well as $12,000 in rehabilitation and medical costs. 

4. Kidnap in Nigeria 

AIG’s insured operates an international construction company with several, significant contracts in Nigeria. Two employees were returning to their work camp with a police escort, when two vehicles attacked the victims’ vehicle and the police escort vehicle. 

The attackers fired at both cars and managed to disable the victims’ vehicle.  The police returned fire, killing one kidnapper and wounding two others. However, during the firefight the victims were abducted.  The kidnappers contacted our client and demanded NGN100 million (US$623,000) to release them. The insured contacted the AIG crisis centre hotline and AIG’s crisis consultant, NYA International, deployed immediately to both Nigeria and the insured’s headquarters.  

NYA assisted the insured in the negotiation process and after 20 days of negotiation, the victims were released in good condition after a payment of $125,000. AIG ultimately reimbursed the insured for $195,000 which included the ransom payment, the victims’ medical and rehabilitation costs, payments to local officials to assist in delivery of the ransom and additional costs incurred by the insured to secure the victims’ release. 



Insurance products and services are provided by AIG Australia Limited ABN 93 004 727 753 AFSL 381686.  Copyright 2014.  These claims examples are provided by way of information only and should not be used to predict the outcome of actual claims.  Individual claims would be subject to the terms and conditions of any policy of insurance.  Should you require any advice on your insurance or coverage requirements you should consult your professional insurance advisor.  The accuracy or currency of the information is not guaranteed. 

1. Stock fraud at manufacturer

A manufacturer had $750,000 worth of inventory stolen by an employee over a sixteen month period.  An investigative specialist was engaged under the AIG policy which established the extent of the loss and identified the perpetrator.  Due to the perpetrator on-selling the merchandise and using the money to fund a drug problem, no recoveries were made.

The policy responded to reimburse the client for their loss and pay for the investigative specialist. 

2. Receipt fraud at a retailer

A retailer was concerned regarding their returns process after engaging Ernst & Young for Pre-Loss Consulting services under its Crime policy.  With E&Y’s assistance, a new procedures was developed and led to a returns fraud being discovered worth $450,000. The discovery prevented it from being a far larger loss and reduced the likelihood of further fraud.  

3. Skimming fraud at a construction company

An accounts clerk altered invoices on file by small amounts and pocketed the difference when clients paid.  Over a period of twelve years the amount taken was $3 million dollars.  As a listed company the client was concerned that the large scale of the loss would affect its stock price and investors would lose confidence in management’s ability to run the company.  The client engaged a PR consultant under its Crime policy to prevent any adverse publicity arising from the fraud. 

4. Forged wire transfer at a dairy company

A dairy company discovered that a forged fax transfer had been accepted in good faith by their bankers and $545,000 transferred to an offshore bank account.  The insured made a claim under the Identity Fraud extension of their Crime policy to establish that fraudulent misrepresentation had taken place.  The policy also responded by paying the interest that would have been earned on the money had the fraudulent transfer not taken place. 



Insurance products and services are provided by AIG Australia Limited ABN 93 004 727 753 AFSL 381686.  Copyright 2014.  These claims examples are provided by way of information only and should not be used to predict the outcome of actual claims.  Individual claims would be subject to the terms and conditions of any policy of insurance.  Should you require any advice on your insurance or coverage requirements you should consult your professional insurance advisor.  The accuracy or currency of the information is not guaranteed.

Downloads

Contact us

Dan Collinson
Dan.Collinson@aig.com
+61 3 95224772