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Director and Officers Liability ( D&O ) Insurance

Directors and Officers Liability Insurance provides financial protection for the directors and officers of your company in the event they are sued in conjunction with the performance of their duties as they relate to the company.

 

Directors and Officers Insurance lawsuits can come from shareholders, employees, and clients. Since a director can be held personally responsible for acts of the company, most directors and officers will demand to be protected rather than put their personal assets at stake.

 

Directors and Officers Insurance is often confused with Professional Indemnity Insurance. The difference is Professional Indemnity Insurance covers errors and omissions with respect to your products and services, while Directors and Officers Liability covers errors and omissions in the performance and duties of managing the Company. Generally it is a good idea to consider buying both Directors and Officers Liability Insurance and Professional Liability Insurance.

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