Directors & Officers (D&O) insurance is a specific type of liability insurance that safeguards the directors or officers of a company from personal financial losses in the event that they are sued for wrongful decisions or actions while in their corporate roles.
Benefits of Directors & Officers Liability insurance
D&O insurance is important for protecting both the individual and the company, as it can help to cover the cost of any legal fees or settlements that may arise as a result of a wrongful decision or action.
D&O insurance is especially important for public companies, as their directors and officers are typically more likely to be sued than those of private companies.
While all companies of any size should consider D&O insurance, it is especially important for those that are:
When creating a D&O policy, it is important to consider the company’s specific needs and risks. Policies can vary widely in terms of the protection they offer, so it is important to find one that matches the company’s needs.
Overall, D&O insurance is an important safeguard for directors and officers of companies, and can help to protect them from personal financial losses in the event that they are sued. By understanding what D&O insurance is and why it is important, companies can make sure that they are adequately protected in the event of a lawsuit.
Answering Your Questions
Our dedicated staff has broad experience in building effective D&O protection for businesses both large and small, and no question is unimportant. To understand more about how a D&O policy can shield your company from lawsuits, contact us at the number above or the link below.
