Directors and Officers Insurance
Directors’ and officers’ insurance, sometimes referred to as “management liability insurance”, offers financial protection to people that hold the roles of director, partner or officer of a company. It offers to cover the cost of claims for compensation made against any insured individual.
Every director, partner or officer of a company has obligations and responsibilities to the public, employees and regulators. They also have personal liability for all actions’ mistakes or omissions they might make in the performance of their duties. This can lead to them personally being subjected to claims which could lead to them having to pay fines or compensation, or even imprisonment.
Directors and officers Insurance will allow business managers to be confident that they are protected against the cost of defending or settling:
- Any employment claims; or
- a health and safety claim
It will also cover claims arising from:
- Libel, slander, deformation or mis-statement
- Actual or alleged breach of duty or trust
- negligence, error or omissiont
- wrongful trading under section 214 of the Insolvency Act 1986
- the operation or administration of a pension or employee benefit scheme