PRODUCT: Media Liability and Film & Entertainment Liability

COMPANY: AXIS Insurance/AXISPRO (admitted and non-admitted)

BEST RATING: A+

AVAILABILITY: AXIS PRO accepts submissions from appointed independent agents and brokers.

FOCUS: AXIS PRO, one of the nation’s leading media liability markets, finds growing producer interest in two endorsements to the company’s main products, Multimedia Liability and Film Entertainment Liability: Security and Privacy Liability Coverage and First Party Crisis Management and Computer System Extortion. Demand is growing after more and more incidents of computer hacking and online and offline theft or loss of private personal information, says Lou Scimecca, AXIS PRO senior vice president. Scimecca adds that the endorsements have been attracting interest from producers with clients in AXIS PRO’s underwriting target: publishers of newspapers, magazines and books, as well as authors and freelance writers.

Scimecca cites other examples of AXIS PRO’s preferred risks: broadcasting, including, radio, television and cable television systems; advertising, including advertising agencies and advertisers; producers and distributors of programs, including motion pictures, documentaries, television programs and more; film distributors, film libraries and acquisition and development coverage; multimedia companies, including any combination from the aforementioned four categories; and public appearance coverage. AXIS PRO’s trade group clients include the American Association of Advertising Agencies (4A), the National Association of Broadcasters (NAB) and the Authors Guild, as well as two film production operations: the National Association of Television Production Executives (NATPE) and International Documentary Association.

UNDERWRITING: The Security and Privacy Liability Coverage Endorsement presents third-party liability coverage for claims stemming from wrongful acts involving disclosure of protected corporate and personal information, such as financial, medical or other personally identifiable information protected by privacy regulations. Insureds pay extra for a Security and Privacy Liability add-on that can cover regulatory action defense expenses for proceedings brought by the Federal Trade Commission, Federal Communications Commission or other governmental agency arising from violations of privacy regulations. Sub-limits for regulatory action defense vary by risk. First Party Crisis Management and Public Relations Expense uses sub-limits (amounts vary by risk) to cover public relations and advertising costs, credit monitoring services and notification expenses related to the disclosure of protected personal information. Computer System Extortion covers expenses incurred to prevent a system failure or to avoid the release of protected data related to extortion threats.

AXIS PRO is also fielding more interest for its Cyber Technology Services E&O Liability endorsement for media companies that develop software for a client’s website or that provide other technology services. As society dives deeper into electronic and digital communications, many media company business models are evolving into a blend of publishing, broadcasting and advertising along with providing related services to others. Cyber Technology E&O can be bundled as an endorsement to the Multimedia Liability and/or Film Entertainment Liability policies or written on a stand-alone basis. AXIS PRO writes mostly primary media liability policies, but the carrier “does plenty of excess as well,” notes Scimecca. Underwriters issue occurrence form Multimedia and Film policies on an all-risk basis covering various media exposures. Third-party liability coverage backs claims stemming from actual or alleged defamation (libel and slander), emotional distress, invasion of privacy, copyright and trademark infringement/intellectual property, infringement of title or slogan, plagiarism and E&O. The Media Liability program limits range to $20 million for primary or excess. Excess attachment points typically begin at $5 million. Claims-made forms are occasionally used. AXIS PRO writes on an admitted basis in 48 states and on a surplus lines basis in Alaska and Louisiana.

MINIMUM PREMIUM: $1,500.

COVERAGE TERRITORY: All states.

CONTACT: Lou Scimecca, senior vice president and product manager of media and entertainment; AXIS PRO, 1201 Walnut, Suite 1800, Kansas City, MO 64106; 816-292-7932.

Ron Lent is an IA contributor.