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Directors & Officers Liability Insurance

Directors and officers liability insurance (D&O) covers directors and officers of a company for negligent acts or omissions and for misleading statements that result in suits against the company. D&O policies usually contain two coverage types: personal coverage for individual directors and officers who are not indemnified by the corporation for their legal expenses or judgments against them (as some corporations are not required by their corporate or state charters to provide indemnification) and corporate reimbursement coverage for indemnifying directors and officers.

Entity coverage for claims made specifically against the company may also be available. D&O policies may be broadened to include coverage for employment practices liability (EPL). EPL coverage may also be purchased as a stand-alone policy.

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