There are numerous reasons to have directors and officers insurance but before that, you need to know coverage policy and how you will get the cover. To know all these things, go through this presentation.

1. Directors And Officers
Insurance

2. The cost of claims that are made against the Sr.
Managers and Directors for alleged wrongful
acts is fully covered by Directors and Officers
Liability Insurance.
The risk of being sued by a frivolous lawsuit can
be defended if any Director or Officer is at risk. It
is the personal liability of those who are at risk.

3. Why Directors And Officers Insurance ?
The mistakes made by people can lead to
consequences leading to lawsuit that’s why
having a cover is really necessary. In cases of
financial losses to employees, and clients both
the Board Members along with the company
officers can be held responsible.

4. What Is Covered In A D&O Policy?
In order to provide cover for the “wrongful acts” the Directors
and Officers insurance policy was developed. In the scope
of the managerial duties, when a Board member or a
manager is acting the various risks that the policy provides
cover for are as under-
• Actions brought by Shareholders
• Misrepresentation of the company in a prospectus
• Employment practices
• Violating trust
• Misleading disclosure in company accounts
• Breach of duty
• Misstatement
• Disregarding
• Defamation

5. What Is Not Covered In A D&O Policy?
Criminal, fraudulent, or intentional acts are not
covered by Directors and Officers Insurance policy
but only covers wrongful acts. A few of the most
excluded acts are given as under-
• Fraud
• Bodily injury or property damage which is covered
under Public liability
• Claims alleged under a prior policy
• Receiving illegal compensation for personal profit

6. How Cover Is Provided?
Instead of setting up to pay for a ‘claims made’ the
majority of Directors and Officers Insurance policies
act on ‘occurrence basis’. The insurance cover is
always available in case of ‘Claim is reported’ and
not ‘When the offense occurred’. In most of the
cases, the basis is to report after the offense
actually took place.

7. By implementing a Directors and officers insurance
policy, both the members and officers will be
financially protected if your business is profit or non
profit.
Conversating with your most trusted Union
insurance adviser in order to mitigate your Directors
and Officers risk, to acquire information you must
need to make informed and wise decisions.

8. Contact us
501 Sun’s Group Centre, 200 Gloucester Road,
Wanchai, Hong Kong
61336007
trustedunion.com
liam@trustedunion.com