Directors and Officers Liability Insurance protects company directors, officers and senior managers against claims arising from their decisions and actions taken while managing their business. As a director your responsibilities come from a series of statutory, financial and common law duties to ensure that you act in the company’s best interest. You may be held personally liable and your personal assets could be at risk if it is alleged that you have been negligent in your capacity as director. You can also be disqualified from your position, and face criminal prosecution that may include fines as well as imprisonment.
Unfortunately, you cannot always rely on your company to indemnify you, should this occur.
Directors and Officers Insurance is often confused with Professional Indemnity Insurance. The two are not synonymous. Professional Indemnity Insurance covers your business’s legal liabilities in the event of a third party taking legal action against you, as a result of advice you have given in a professional capacity, not the performance and duties of management. Directors’ & Officers’ Liability Insurance covers against claims made against an individual, as opposed to claims made against the organisation as a whole. Examples of this are:
- Claims for unfair dismissal
- Discrimination claims
- Harassment claims
- Failure to promote claims
Directors’ and Officers’ Liability insurance covers defence costs, settlements, damages and claimant costs. Whether your company is big or small the same laws apply to it. Taking a proactive stance is the best way to protect capital.
You May Also Be Interested In:
- Professional Indemnity – covers legal liabilities from clients taking action against you in response to a professional error or mistake
- Cyber Protection – protects in the event of a breach of data protection laws or malicious data attacks
- Employers’ Liability – covers injury to employees and is legally required for companies with one or more employees
- Public Liability – protects in case of accidental injury or damage to members of the public
- Product Liability –provides coverage against property damage claims resulting from flawed business plans, equipment or manufacturing
- Legal – covers your business’s legal defence against claims not covered by Liability Insurance
- Motor Legal Expenses and Courtesy Car – Oncover Insurance offers Motor Legal Expenses and Courtesy Car cover to all our clients
At Oncover Insurance we work with you to provide the best possible coverage. Contact us today to receive a free, no obligation quote.