All too often we see claims made against a company which ends up piling court costs or settlements directly onto the shoulders of the directors or officers. What if we told you that d&o insurance for private companies can cover the costs of even hefty lawsuits?
Which Company Officers Are Covered Under This Type of Insurance?
Generally, the only personnel protected by this type of insurance are the head operators of a company including the CEOs, CFOs, General Counsel, and others who hold control over company operations. If a director or officer also hold shares for the company, some distance may be required first to make this type of insurance negotiable.
Don’t Let These Types of Risks Go Unnoticed by Your Insurance Policy
Today we don’t see many smaller companies purchasing this type of insurance simply because they don’t see the risks associated to their company. However, an insurance agent that specializes in d&o insurance for private companies will calculate the risks of your company and reduce your overall insurance costs. Here are all the risks that can be covered by this type of insurance.
- Unfair business practices or non-complete agreements-Shareholder lawsuits-Creditor lawsuits-Competitor lawsuits-Customer lawsuits-Discrimination claims