Directors and Officers

Directors & Officers Liability Insurance (D&O) is designed to indemnify directors and officers from claims against them personally for failing in their duties. Even if your company has limited liability individual directors do not, making them personally vulnerable. Cover can be extended on some policies to include all individuals in management positions, pension trustees, employment practices, fidelity and entity cover.

If a company has Limited status the company has a degree of protection but directors / partners can have unlimited liability, therefore directors of Limited companies, Limited partnerships or Community Interest Companies would be sensible to purchase this insurance as it can protect these individuals. Under the 2006 Companies Act, directors and officers are exposed to over 200 areas of statutory liability.

Claims could come from many angles, including: employees, shareholders, customers or government bodies such as the Inland Revenue or Health & Safety Executive.

Voluntary organisations, clubs and societies should consider protecting their committee members with trustees and committee members liability insurance, which offers similar protection.

Until recently D&O insurance was quite expensive so only the largest organisations could afford it, fortunately costs have reduced in recent years and quality annual cover can now be obtained from under £100.

If you would like advice or a quote please phone 01905 21681 or contact us

Act now! Call us on  01905 21681  to get your insurance needs met