What is directors and officers insurance?
Do I need directors and officers insurance?
These decisions can have huge ramifications, but must be made sometimes on the back of very limited information. At Hatton & Berkeley we are seeing many of our clients operating in a multinational environment, with trading partners, operations and investors located in various jurisdictions.
This means that the governing bodies, regulators, auditors, corporate governance and compliance landscape in each of those territories will vary, meaning directors and officers have to try to stay ahead of all this in addition to the markets of their core business. The Directors and Officers become targets as they try to handle an increasingly complex operating environment.
How does directors and officers insurance protect me?
The directors and officers can be held personally liable for those losses, so the company needs to be able to transfer the risk so that its leaders have confidence to make decisions. The risk of those decisions becomes transparent and manageable through the purchase of D&O insurance.
In the event of a claim, D&O cover provides the Directors and Officers with an element of financial security.
• Legal costs and expenses included within the limit of liability