The Australian Securities and Investments Commission (ASIC) requires those licenced to provide financial services to retail clients to have PI insurance that meets its minimum requirements; or have a special agreement in place.
According to ASIC, PI insurance is designed to protect the insured party against certain risks. It is not, however, designed to protect consumers and is not a guarantee that compensation will be paid.
The insurance is a way of reinforcing a licensed party’s ability to meet any consumer losses caused by negligence or a breach of duty.
New products
In addition to PI, BHSI also launched:
- Executive First Directors & Officers Liability Insurance;
- Professional First Asset Manager Liability Insurance; and
- Professional First Civil Liability Insurance
Appointments
The US-based firm, a subsidiary of Warren Buffet-owned Berkshire Hathaway, also announced two senior appointments in Australia.
Sami Jaghbir joins BHSI after five years at Vero, where he held various positions, most recently as underwriting manager NSW/ACT, professional and financial lines. Before Vero, Jaghbir was senior account executive, financial and professional lines, at Marsh. Earlier in his career, he held positions at Promina, Citibank and Pfizer.
Richard Johnson joined BHSI in October after 18 months at Catlin Australia, where he was financial lines manager for Melbourne. Prior to Catlin, Johnson held a number of underwriting and portfolio management roles with AIG in London and Australia, including commercial D&O/crime underwriting manager for AIG Europe.
