Directors and Officers Liability
Need directors and officers liability? We offer competitive rates on directors and officers liability insurance and policies for directors & officers liability insurance
Directors and Officers Liability Insurance provides financial protection for the directors and officers of your company in the event they are sued in conjunction with the performance of their duties as they relate to the company. Think of Directors and Officers Insurance as a management Errors and Omissions policy.
Directors and Officers Liability Insurance is needed when you form a board of directors
Directors & Officers Liability Insurance can usually include Employment Practices Liability and sometimes Fiduciary Liability. The former involves harassment and discrimination suits, and is where the majority of your exposure will be.
You will need Directors & Officers Insurance because claims from stockholders, employees, and clients will be made against the company, AND against the directors of the company. Since a director can be held personally responsible for acts of the company, most directors and officers will demand to be protected rather than put their personal assets at stake.
You will also need Directors and Officers Insurance because: Investors and members of your board of directors will not be willing to risk their personal assets to serve as a corporate director or officer, no matter how strong their belief in your company.
Lastly, employment practices suits constitute the single largest area of claim activity under D&O policies. More than 50% of D&O claims are employment practices related.
