Table of Contents
- What Does Director and Officer Liability Insurance Cover?
- What is Directors and Officers Liability?
- What Does Directors and Officers Mean in Insurance?
- What is Not Covered by Directors and Officers Insurance?
What Does Director and Officer Liability Insurance Cover?
Director and Officer Liability Insurance (D&O) is a type of insurance that provides protection for individuals who serve on the boards of directors and officers of companies. It covers the costs associated with defending against lawsuits and other claims that may arise from the actions of directors and officers while they are performing their duties. The coverage typically includes legal fees, settlement costs, and other damages that may be awarded to the plaintiff.
What is Directors and Officers Liability?
Directors and officers liability is a type of liability insurance that protects directors and officers of a company from personal liability for the decisions they make on behalf of the company. It provides coverage for damages, settlements, and legal fees that may arise from claims against the directors and officers for their actions in the course of their duties.
What Does Directors and Officers Mean in Insurance?
In insurance, the term “directors and officers” refers to the individuals who serve on the board of directors and officers of a company. These individuals are responsible for making decisions and taking actions on behalf of the company. D&O insurance provides protection for these individuals from personal liability for the decisions they make and the actions they take while performing their duties.
What is Not Covered by Directors and Officers Insurance?
Directors and officers insurance does not cover any intentional wrongdoing or criminal acts on the part of the directors and officers. It also does not cover any claims arising from the company’s financial performance or any business decisions made by the directors and officers. Additionally, D&O insurance does not cover any damages or losses that are the result of a company’s failure to comply with any laws or regulations.