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.

Directors of Limited companies would be sensible to consider this insurance as it can protect claims against them as individuals. Under the 2006 Companies Act, directors and officers are exposed to over 200 areas of statutory liability. This means that they can face unlimited personal liability for their actions and decisions on behalf of the company.

Claims could be made by 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 contact us

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