managed care coverage endorsement
An endorsement to a fiduciary liability policy providing coverage for bodily
injury (BI), property damage (PD), and personal injury (PI) when they result from administering
managed care health plans. This endorsement is necessary because fiduciary liability
policies usually exclude coverage for these perils. However, because managed
care plans are subject to Employee Retirement Income Security Act (ERISA), such coverage is necessary. The two most common
claims involving managed care plans allege (1) that the employer-sponsor of
a managed healthcare plan negligently selected the managed healthcare plan
provider, and (2) that the employer-sponsor of a managed healthcare plan wrongly
denied or delayed medical benefits provided by the plan.
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PLI XII.E