{"id":15980,"date":"2021-01-28T06:49:23","date_gmt":"2021-01-28T06:49:23","guid":{"rendered":"https:\/\/insuropedia.in?p=15980"},"modified":"2025-07-11T12:34:02","modified_gmt":"2025-07-11T12:34:02","slug":"what-are-the-important-features-of-do-insurance","status":"publish","type":"post","link":"https:\/\/securenow.in\/insuropedia\/what-are-the-important-features-of-do-insurance\/","title":{"rendered":"What are the important features of D&O insurance?"},"content":{"rendered":"
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The directors and officers of a company put in their best efforts to ensure the organization\u2019s growth and profitability. However, if they make any errors when discharging their duties or if they are negligent, third parties might suffer a financial loss. If attributed the such financial loss to the actions of the directors and officers, a third-party liability occurs. The directors and officers become personally responsible to shoulder this responsibility and the organization might also take on the responsibility on their behalf. Let’s look into some important features of D&O insurance.<\/span><\/p>\n

Third-party liabilities might result in considerable financial outflows. This is where a <\/span>D&O policy<\/span> becomes effective. The D&O insurance policy benefits include coverage against third-party liability arising out of the actions of the company\u2019s directors and officers.\u00a0<\/span><\/p>\n

Some of the important features of the D&O liability insurance plan are as follows –<\/strong><\/h2>\n

Side A, B, and C coverage<\/b><\/h3>\n

The coverage under a D&O policy is offered under three sections \u2013 Side A, Side B, and Side C. Here\u2019s what each section covers \u2013<\/span><\/p>\n