Directors & Officers Liability Insurance
Focus on growing and conducting your business with confidence and financial protection with our Directors and Officers Liability (D&O) insurance cover.
D&O insurance is not just a prudent choice; it’s a necessity
Directors and Officers Liability Insurance, commonly referred to as D&O insurance, is a form of liability coverage that offers financial security to individuals who hold roles as directors, officers, and occasionally key employees within a company or organization.
D&O insurance is not just a prudent choice; it’s a necessity. It is specifically crafted to provide protection for personal financial losses and legal costs should these individuals face lawsuits over alleged wrongful actions carried out during their management of the company.
Empower Directors and Officers with D&O Insurance
D&O insurance is a critical investment for any corporation, this coverage ensures that they can fulfill their roles with confidence. Here is how:
Legal Protection
Essential protection for company executives, safeguarding their personal finances from the potential fallout of legal actions by covering expenses like legal fees, court costs, and settlements, allowing them to fulfill their roles with confidence.
Attract and Retain Top Talent
Talented individuals are more inclined to assume leadership roles or board appointments when offered D&O insurance, as it safeguards their personal assets from legal claims, bolstering the company’s leadership and stability.
Mitigate Personal Financial Risk
D&O insurance shields corporate leaders from personal liability, safeguarding their assets from risk and instilling the confidence needed to make decisive decisions.
Enhanced Decision-Making
With protection in place, officers and directors can make informed decisions free from the constant fear of litigation, allowing them to act in the company’s best interest.
What’s included in Directors & Officers Liability Insurance
In brief:
This policy offers protection for individuals as a result of claims relating to ‘wrongful acts’. This includes breach of trust, breach of duty, neglect, error, misleading statements and wrongful trading.
Liability for directors and officers can arise under a specific law, or due to an individual’s duties to a company, through regulatory/disciplinary proceedings and when an individual acts on behalf of the company.
It is usually written on a Claims Made basis, which means the cover is triggered when a claim is made against the policyholder during the policy period, regardless of when the initiating act that gave rise to the claim (even retrospectively) took place.
Key aspects of D&O cover:
- Cover the personal assets of directors and officers, as well as their spouses and family members (in some cases), when they are personally sued for alleged wrongful acts related to their management decisions.
- Coverage for legal expenses, including attorney fees, court costs, settlements, and judgments, that may result from lawsuits related to the management of the organization.
- Cover a wide range of alleged wrongful acts, including but not limited to, breaches of fiduciary duty, mismanagement of company assets, financial misstatements, employment-related issues (such as discrimination or harassment claims), and violations of various laws and regulations.
- Multiple insured parties, such as current and former directors, officers, and employees, depending on the policy’s terms and conditions.
- Provide reimbursement to the organization for indemnification payments made to its directors and officers, as many corporations have bylaws that require the company to indemnify its leadership in certain situations.
Directors & Officers Liability Insurance FAQs
What is Directors & Officers (D&O) Liability Insurance, and why is it important for businesses?
Is D&O insurance compulsory in Cyprus?
Do I need a D&O insurance cover?
Our Partner for Directors & Officers Liability Insurance
Ensure your directors and officers are covered for unexpected claims. Our experienced team of consultants will help put together the right D&O cover for your business.