Directors and Officers may be held personally liable to all parties that have any interest in the affairs of the Company.
In essence, a Directors and Officers Liability Insurance is a form of Professional Indemnity cover for Company Directors and Officers.
Here's just a few areas where claims could be made against you:
We could go on if you like, but if you're still unconvinced may be we should explode some myths:
Directors have limited liability - NO THEY DO NOT!
I don't have a title director, so I can't be held liable - YES YOU CAN !
The company can indemnify us - NOT IF IT GOES BUST!
We are only a small company - THE SAME LAWS APPLY!
They cannot touch my personal assets - YES THEY CAN!
If none of this has changed your mind you are truly an exceptional director!! On the other hand, if you would like to find out more about costs and cover to protect your company's directors and officers from being sued, Insurance Quote.
Nowadays, shareholders, suppliers and even employers, are increasingly litigious, coupled with directors having to deal with new regulations brought in by the government, and that is a lot of information for a single director, or even a board of directors to digest, and be knowledgeable about.
Directors and Officers Insurance is designed to protect you against any claims and cover legal costs and any compensation awarded to third parties.
At present D & O insurance could not be more important as a rapidly increasing amount of professionals are coming under increased scrutiny from employees, shareholders and other stakeholders to act in the best interests of the company and comply with their strict statutory duties.
If you need any help with the completion of your application or advice on obtaining PI or Directors and Officers Liability Insurance, in the UK or abroad, please call telephone number +44 (0) 1323 648000 or e-mail us on firstname.lastname@example.org.
We are really proud of the service we provide to you: We combine a traditional high-quality broking service, with an online Multiquote & Buy facility for a range of commercial insurances. This means that whether you have a complicated or overseas requirement, or you are a local SME, we will always provide the right level of service.
Employment practice and HR problem; this is where an employee may have brought a claim against a director or the company for something like unfair dismissal. A directors and officers insurance policy can include cover for claims made against directors or the company, to defend them and cover the legal costs and damages that may be awarded.
You may experience issues concerning employment practice or find yourself with an HR problem, for example, an employee bringing a claim against a director, or the company, for something like unfair dismissal, which is increasingly common.
A directors and officers insurance policy can include cover for claims made against directors or the company, to defend them, and cover the legal costs for any damages that maybe awarded.