In this day and age there are more customers that are willing and ready to sue business partners for performance failure issues. Directors and Officers liability insurance offers directors and officers financial protection in the case they are sued because of their performances related to your company. It is essentially an Errors and Omissions policy for the management of your company. D&O insurance is essential when a board of directors has been assembled.
It is important to know that Directors and Officers insurance is not just for large companies. A company of any shape or size with officers and directors can be a target by litigants regarding the management of company activity.
A publicly traded company with a board should consider this type of insurance. Non-profit and private companies could stand to benefit from directors and officers liability insurance as well. In some cases a director or officer could potentially be held responsible for company’s activities. Peace of mind and security is brought to the directors and officers knowing they are covered rather than putting their personal assets at risk.
A D&O liability insurance policy covers financial damages as well as defense expenses. Directors and officers liability insurance does not cover fines, wages, taxes or penalties.
V.W. Gould Agency can help the business owner decide on which type of Directors and Officers coverage is right for their business.
For more information on D&O insurance or for a free quote give us a call today 386-734-3970
Call us Today 386-734-3970
Insurance Since 1907