Nasdaq Japan will offer the AIU package as a key component of its Issuer Services Program, which provides value-added services to companies before and after listing on The Nasdaq Japan Market. The agreement with AIU, a worldwide leader in providing corporate risk management tools, will allow Nasdaq Japan-listed companies to protect against a wide range of potential liabilities, thereby enabling them to fulfill their responsibilities and commitments to shareholders better.
The special program-to be known as Management Risk Protection (MRP)- will comprise various risk management and insurance products and services. These are aimed at promoting solid corporate governance and guarding the companies and their managers against an array of management liability exposures.
Insurance products that compose the MRP program are as follows:
- Directors, Officers, and Corporate Liability Insurance (D&O Insurance), with several special enhancements such as express coverage for initial public offerings (IPOs) and CrisisFund.
- Employment Practices Liability Insurance, which covers claims arising from discrimination, wrongful termination, and sexual harassment.
- Corporate Guard, that provides coverage for employee dishonesty (i.e., fraud, embezzlement), and the third party’s counterfeiting, forgery, and computer crime.
- Home Page Plus, which covers liability related to content on an insured’s Internet Web site.
- Invitation to special seminars on corporate governance to update senior management on sound management practices.
- No declination or non-renewal of coverages.
- No cancellation of coverages by the insurer.
- CrisisFund, which provides for crisis management in the event of a potential immediate loss in the value of the insured’s stock price.
"It is increasingly important that publicly held companies, both large and small, protect against a wide range of potential liabilities," said Ralph W. Mucerino, President of General Insurance Operations, AIG Companies, Japan and Korea. "We look forward to working with Nasdaq Japan in providing its listed companies and prospective issuers with insurance products and services designed to address these exposures and help prevent management liability claims and mitigate losses."
Nasdaq Japan, Inc., was founded on June 15, 1999 as a joint venture company with the mission of providing the latest market technology to facilitate The Nasdaq Japan Market, a state-of-the art electronic securities market for the growth of capital and globalization of the Japanese economy. The Nasdaq Japan Market operates as a section of the Osaka Securities Exchange. Nasdaq Japan, Inc., operates as a private, for-profit organization with ownership by the NASD, Softbank Corp., and thirteen leading securities firms. For more information, visit www.nasdaq-japan.com.
AIU Insurance Company is headquartered in New York and is a subsidiary of American International Group, a world leader in insurance and financial services. In 1946, AIU became the first foreign non-life insurer to enter Japan after WorldWar II, and today it is the country's largest foreign non-life insurer, providing a full range of innovative products to individuals and businesses. AIU is highly regarded for its claims services and its nationwide network of highly trained professional agents. AIU holds a Triple-A Insurer Financial Strength rating-the highest possible-from Standard & Poor's.
