D&O Liability Insurance Policy (D&O) covers the cost of legal defense of directors, even in their individual capacity, when the company is unable to defend them. The D&O cover applies to former, present, and future members of the board of directors or any employee performing a managerial role. Usually, the directors’ and officers’ liability Insurance […]
Directors and Officers Liability Insurance
What are the advantages of having D&O policy over not having a policy?
Directors and officers of an organization get tasks for complex responsibilities of managing the organization and performing at its best level. However, during the job course, directors and officers might make mistakes that lead the business as well as its stakeholders toward a loss. For such losses faced by the business and other interested parties, […]
What are Side A, B, and C covers in a D&O policy?
A Directors and Officers Liability insurance policy is a very effective and essential liability cover necessary for all types of organizations. The policy is necessary for well-established MNCs, small and medium enterprises (SMEs or MSMEs), and start-ups. Equally important is an understanding of three parts coverage in a D&O Insurance Policy vide, Side A, B, […]
What do you mean by EPLI? Is it covered in D&O insurance?
The Directors and Officers (D&O) insurance policy can cover employment practices Liabilities if the extension has been purchased. Employment Practice Liability Insurance (EPLI) is the name of this extension. All D&O insurance cover claims made by employees on officers. However, unless you have an EPLI extension, employment claims made on the company will not be […]
What is Side A coverage for directors and officers liability?
Directors and Officers liability is a comprehensive policy comprised of Side A, Side B, and Side C. Side A protects the directors and officers only. Here, takes the claims against directors into consideration when the company is unable to pay because of bankruptcy or legal provisions. On the other hand, Side B and C requires […]
Exclusions in a D&O liability policy
Nearly every insurance policy specifies what it will cover and what it will not. It is essential to understand these to benefit fully from your insurance policy. Similarly, there are certain exclusions in a D&O liability policy. Directors’ & Officers’ liability insurance offers wide coverage for the directors and officers of a company for alleged […]
Who are covered under Directors & Officers (D&O) Liability Insurance Policy?
Also, Directors’ & Officers’ liability insurance safeguards the personal liability of directors and officers. These liabilities may arise if the directors and officers do any wrongful act in their managerial capacity. Who all are covered under a Directors & Officers policy The policy covers a large number of people in a company, including: Directors and […]
What is the concept of estates in Directors and Officers liability insurance?
Directors and officers are the frontrunners or leaders of a company. They are the face of the company and work for the growth, development, and especially the profitability of the company. During the course of their work, directors and officers have to make various decisions on all aspects of the business. They handle managerial as […]
D&O cover for estate and legal representatives
Directors and officers are often the face of a company and work for its growth and profitability. However, during the course of their work, they might have to make decisions that end up being wrong. Such errors and mistakes might attract lawsuits from employees, shareholders, customers, suppliers, stakeholders, or others. D&O liability insurance provides cover […]
The ‘hammer clause’ in a D&O policy
If you have been looking at directors’ and officers’ ( D&O ) liability insurance policies, you must have encountered the term ‘hammer clause’. It is important to understand what this means because it has financial implications for your claim settlement. This post examines the hammer clause to help you make the right choice when buying […]