Directors And Officers Liability Insurance
According to a recent survey conducted by a
respected insurance industry analyst, the number
of suits filed against directors and officers of
for-profit and non-profit organizations is
rising at a rate of 15% to 20% annually. These
claims threaten the financial security of the
individual director or officer as well as the
organizations they serve. Many corporations feel
the need to purchase directors and officers
liability protection in order to attract and
retain competent directors and officers.
Lawsuits may arise from your organization's
routine activities.
Although shareholder suits are the largest
single source of claims, litigation involving
customers, employees and competitors also
contributes significantly to the increase in
claims activity.
The following are just a few of the claims
allegations that may trigger a liability suit:
Negligence; Discrimination; Error;
Mismanagement; Misstatement; Wrongful
Termination
Features of most D&O Policies
- Coverage applies on a claims-made basis
to all past, present and future directors
and officers.
- Coverage applies to appointed and
elected directors and officers.
- Extended discovery coverage is available
at a nominal charge.
- Coverage amounts begin at $1,000,000
(other options are available).
- Defense costs are a part of the
insurance limit.
- Trustee and fiduciary liability coverage
is available by endorsement.
- Employee benefit administration
liability coverage is available by
endorsement.
This is not a policy. For a
complete statement of coverages and exclusions,
see the policy contract. Subject to specific
policy terms and conditions.
Contact us to
learn more.
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