Directors & Officers Liability Insurance

COVER – this policy covers the Legal liability of Directors and Officers of Companies holding positions of trust and responsibility to pay damages to shareholders, employees, creditors, etc., of the company for wrongful acts committed by them in the supervision and management of the affairs of the company.

In general it covers the personal liability of Directors and Officers arising due to wrongful acts in their managerial capacity. Defence costs are also covered and are payable in advance of final judgment.

General Exclusions to the policy are dishonest fraudulent criminal or malicious act, Personal guarantee, Libel and slander and damage to property, Pollution damage and Violation of any Law.

CUSTOMERS
More and more Indian Companies are beginning to look to protect their Directors and Officers (former, present and future members of the Board of Directors) from exposures arising out of compliance with various statutes. Directors have highly demanding legal obligations to uphold. Further, even independent and nominee directors are held to be equally accountable to stakeholders.

Also, as Indian companies foray into the global marketplace to sell their products and services or to mobilize capital, they need to purchase D&O insurance to secure protection from overseas exposures.