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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 […]

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D&O insurance and breach of confidentiality

A company invests in directors’ & officers’ liability insurance to protect itself or its senior management. Such protection is needed if anyone sues the company or its top officials for actual or alleged professional misconduct. A D&O insurance policy covers the defense costs and settlements that could result from such a lawsuit and also covers […]

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Contractual staff cover in D&O liability insurance

A directors’ & officers’ liability insurance policy covers an organization’s directors and officers. But would a D&O Liability insurance cover staff who are hired on a contractual basis? Who is a contractual employee? A contractual employee is one who works for the employer under a contract. The employer hires such an employee for a particular […]

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Wrongful employment practice claims under D&O insurance

The directors’ & officers’ liability insurance  (D&O) policy covers wrongful employment practice claims. This post attempts to provide a better understanding of what kind of claims can be made under the category of wrongful employment practices. What are wrongful employment practice claims? Past or present employees of a company can make wrongful employment claims. The […]

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D&O liability insurance — a claims-made policy

D&O liability insurance — a claims-made policy A directors’ & officers’ liability insurance is usually a claims-made policy. It indicates that the D&O liability insurance includes only the claims that occur and are reported while the policy is active. A claims-made policy is different from a claims-occurred policy. Because, in the latter, the policy that […]

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Quick Guide to D&O Policy – Infographic

Directors and Management Officers in a corporate environment hold very responsible positions, not just from the corporate’s point of view but for external stakeholders, like investors, customers, the public at large, and the government. Any decision made by them has repercussions for everyone and carries a significant risk of generating an adverse result. Directors’ & […]

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What is the importance of having a Directors and Officers Liability policy in the wake of the Covid-19 pandemic?

Covid-19 is causing havoc both to human life and economic activity. In these times, a directors’ and officers’ liability insurance policy protects directors against many possible new and emergent risks. Covid-19 induced responsibilities for Directors & Officers 2020 has started on a threatening note with Coronavirus. As more and more countries have been hit by […]

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