Directors and Officers Liability Insurance

What is Directors and Officers Liability Insurance?

It protects any officer or director of a company from damages as a result of any wrongful act committed while serving in the director or officer position.

Such situations include:

  • error
  • misstatement
  • omission
  • misleading statement
  • breach of duty

Considerations:

  • Some policies may offer the same coverage for employees.
  • Many investors require this policy to be put in place before funding a company .
  • A D&O policy is different from a Error & Omissions policy in that it specifically zeroes in on the performance of the executive team rather than an error with products or services.