Credit unions

Credit unions may be susceptible to the same risks encountered by banks. Threats can come from anywhere. Current business risks can include data breaches, employee fraud and even the impact of natural disasters. Zurich’s experienced risk engineering specialists use predictive analytics to help you foresee how your institution may be vulnerable. By learning what your credit union is up against, Zurich can help mitigate risk.

Why Zurich?

Zurich has a proud history and bright future with financial institutions. By combining a focus on technology with more than a century of experience working with financial institutions, Zurich is uniquely equipped to help financial institutions protect from traditional and emerging risks. Zurich continues to develop cutting-edge tools to help deliver  the products and services our customers need.

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Solutions for credit unions

Security and privacy insurance protection

Financial institutions collect and process an increasing amount of data, putting sensitive company material at risk every year. Zurich financial industry specialists use risk foresight to help you assess, mitigate and manage risk to potentially reduce security breaches.

Zurich’s security and privacy insurance protection is available as part of Zurich’s Financial Institutions Select®, which includes security and privacy insurance protection as part of its management and professional liability coverage.

Third-party coverages:

  • Security and privacy liability coverage
  • Internet media liability coverage

First-party coverages (available as options):

  • Privacy breach costs coverage
  • Business income loss and dependent business income loss coverage
  • Digital replacement expense coverage
  • Cyber extortion threat and reward payments coverage
  • Covers certain legal and public relations expenses

To help prevent and respond to online security breaches, Zurich offers award-winning risk management tools such as:

  • Our E-Risk Assessment tool to help you assess and manage potential security-breach exposure. You’ll have direct access to a risk management professional to answer questions and support preventative measures.
  • Complimentary access to eRisk Hub®, a web-based information resource from NetDiligence®* that can help you reduce the risk of a breach, and recover if one occurs.

*NetDiligence, Inc. is not a subsidiary or affiliate of Zurich and use of their products and services are independent of, and not included within, Zurich’s products or services. Zurich expressly disclaims any and all damages and other costs that may arise related to the use of or reliance upon the products, services, representations or warranties made by or on behalf of NetDiligence, Inc..

Coverage for repossessed properties

As more real estate assets become a part of your total loan portfolio, it is essential you have fitting physical damage and liability coverage in place to help protect your investments. Foreclosed homes and commercial properties might sit vacant on the market for months, vulnerable to the elements and other types of damage. Zurich offers the following coverages and services to help protect your repossessed properties:

  • Lenders property reporting policy
  • Fire loss prevention assessment
  • Natural hazard assessments
  • Water and liquid damage prevention assessments
  • Fire protection impairment guidelines
  • Windstorm, weather and natural disaster safety website

Losses from mortgage operations

When an error or gap in coverage occurs, a mortgagee’s interest in the property may be at risk. The Zurich Mortgagee Protection Policy (MPP) helps protect your institution from oversights made by either you or your customer. It is designed to provide the necessary insurance protection when there is uninsured physical damage to the mortgaged property, or when legal liability losses result from failure to maintain insurance or to make payments from escrow on behalf of the mortgagor. Mortgagee Protection Policy (MPP) offers the following features:

  • Automatic coverage for a variety of losses due to error, such as legal liability for failure to pay real estate taxes or maintain FHA or VA insurance, or when primary insurance on mortgaged property is uncollectible or the insurer is insolvent
  • Mortgaged property coverage during or after foreclosure, for a period of 90 days
  • Coverage for participation mortgages and mortgages serviced by others
  • 90-day automatic coverage for new mortgages acquired during the policy period
  • Flood insurance coverage when failure to determine if a property is in a special flood hazard area occurs; additional options include choice of coverage of properties inside of a special flood hazard zone, outside of a flood zone or both
  • Mobile home trailers are included under the definition of residential mortgages
  • Zurich’s MPP is a separate policy, so claims should not impact the loss experience for our customer’s own properties.

Allegations of mismanagement

Given their high-profile positions, your executives and board members draw a lot of attention. Some of it may be negative. Zurich’s management liability products offer insurance protection to banks and their management in the event a lawsuit alleging mismanagement, harassment or breach of fiduciary duty is filed.

Zurich offers more than 75 coverage enhancements so you can create a policy uniquely designed for your financial institution’s needs. Zurich’s Financial Institutions Select® insurance combines management and professional liability into one policy, and addresses the current legal landscape with coverage options such as:

  • Management liability
  • Excess Side-A liability
  • Private company securities
  • Public company securities
  • Employment practices liability
  • Fiduciary liability
  • Professional liability
  • Lender liability
  • Trust department liability
  • Security and privacy insurance protection

Property perils

From natural disasters to changing economic conditions, there are numerous reasons for vacant locations. With Zurich’s Property Portfolio Protection (PPP) policy, you have flexible endorsement options to cover your exposures, including vacant locations.

You can customize the Property Portfolio Protection (PPP) plan to address vacancy. The plan also features:

  • Broad definition of real property
  • Coverage with no sub-limits for earthquake sprinkler leakage (EQSL), ordinance and law, equipment breakdown and more
  • Original information property
  • No coinsurance clause

Environmental liabilities

As environmental-contamination issues continue to grow, they are more sensitive and prone to litigation. If you are a lender invested in commercial real estate, this can affect your bottom line. Zurich’s Lender Environmental Collateral Protection policy can help protect financial institutions that hold or invest in individual or portfolio loans backed by commercial real estate. In the event of a loan default and discovery of environmental contamination, the policy provides coverage to help protect collateral value and related financial losses. Lender Environmental Collateral Protection offers features such as:

  • Claim reopening for discovery of new and/or additional cleanup costs
  • Coverage for the term of the loan to maturity
  • Waiver of subrogation against borrower in possession
  • Assignment of interest, may be assigned to successor lien holder
  • Primary insurance wording
  • Deductible starting at $0
  • Automatic 60-day extended reporting period (ERP)
  • Optional extended reporting period up to three years
  • Faster and easier loan processing
  • Better insurance protection from existing and new environmental exposures
  • Lower costs compared to traditional due diligence or mitigation methods

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