Directors and Officers Liability Insurance
Also known as D&O insurance, director’s and officer’s liability insurance provides liability for individuals who oversee an organization. This policy is intended to protect these individuals from allegations of negligence or negligent acts during the course of running the business or not-for-profit enterprise. As the individuals insured are often considered accountable for the actions or inactions of the organizations that they are overseeing, D & O insurance is often considered an integral part of an effective risk management program.
D&O Insurance vs. Personal Liability Insurance
A D&O insurance policy differs from a personal liability insurance policy because it does not provide coverage for defense costs, which can often be a substantial portion of the claim. Other variables to note include:
- Written on a claims-made basis
- Have no duty to defend the insured in the case of a for-profit business
- Cover monetary damages
- Does not cover bodily injury or property damages
D&O Insurance Liabilities Can Occur in the Following Instances:
- Allegations of breach of common law duties
- Breach of duties to shareholders
- Statutory liabilities at the state or federal level
Whether you are the director of a public, private or not-for-profit organization, the insurance specialists at King Street Agency can design a policy that is right for you at the best rate. We have been helping directors of businesses in Charleston and across South Carolina for more than a decade. We have the experience, knowledge and carrier networks to give you the peace of mind you need.