Marsh launches lottery and gaming errors and omissions cover
2009-12-01 Marsh, the world’s leading insurance broker and risk adviser, has launched a new errors and omissions (E&O) insurance product for the suppliers of lottery and gaming organisations. Created by Marsh’s Financial and Professional (FINPRO) Practice in London, the product is available to clients globally and provides in excess of $35 million in cover against specific lottery and gaming E&O risks.
Available through Marsh and underwritten by certain underwriters at Lloyd’s, the lottery and gaming E&O policy satisfies the unique risk exposures of suppliers to the lottery and gaming industry, which traditionally rely on general E&O cover. The policy provides comprehensive cover for financial exposures arising from: - Contractual obligations signed by the printers or vendors with the first party principals (e.g. state lotteries), such as the cost of additional prizes and abandonment or game cancellation
- The increased costs arising from failure to conform with these contracts
- Printers’ or vendors’ liability following machinery, equipment and computer breakdown or failure that would not be provided for under a normal E&O policy
The policy can also be adapted to match the specific insurance requirements of lottery organisations, thus avoiding any gaps in cover and providing protection against the potentially catastrophic risks arising from the standard procurement conditions of the principal gaming and lottery operators. For example, in the event that a game pays out more than 100% of its prize pool due to an error, the policy will pay the difference and therefore protect the reputation of the operator and integrity of the game.
Commenting on the launch of the new product, Neil Daly, a Vice President in Marsh's Specie Practice, said: “The growth of the lottery and gaming industry globally has shown no sign of slowing as a result of the recession. In the UK, National Lottery sales now total over £5.1 billion. As sales increase, so do the risks facing the sector. The financial exposures are potentially disastrous to a company and any error or omission can have a lasting impact on a company’s reputation. Marsh’s new E&O policy provides lottery and gaming organisations, as well as suppliers to the industry, including specialty printers, with the insurance protection they need to help mitigate these risks and keep their reputations intact.”
About Marsh
Marsh, the world's leading insurance broker and risk adviser, has over 23,000 employees and provides advice and transactional capabilities to clients in over 100 countries. Marsh is a unit of Marsh & McLennan Companies (MMC), a global professional services firm with approximately 52,000 employees and annual revenue of $11 billion. MMC also is the parent company of Guy Carpenter, the risk and reinsurance specialist; Kroll, the risk consulting firm; Mercer, the provider of HR and related financial advice and services; and Oliver Wyman, the management consultancy. MMC’s stock (ticker symbol: MMC) is listed on the New York, Chicago and London stock exchanges. MMC’s Web Site is www.mmc.com. Marsh’s Web site is www.marsh.com.
Source: Marsh |
