Directors and Officers Liability Insurance

Directors and officers’ duties are set out in reams of case law, legislation and regulations. Aware of these or not, as a director, you have to adhere to these duties – ignorance of the law is no excuse in the courts eyes.

The responsibilities and liability you face as a director can be vast. Your personal liability is unlimited and your personal assets can be at stake. In some cases, you may even face criminal prosecution.

What can happen

Health and safety, employment legislation, libel and slander and regulatory changes are the most common areas under which claims can be brought against you as a Company Director.

To give an example, if a former employee was to name you personally in a claim for unfair dismissal, even if the claim was unsuccessful, the legal costs incurred in defending yourself could run to thousands of pounds.

Protect yourself

Be aware of your duties, keep abreast of legislative and regulatory developments and arrange directors and officers liability insurance to protect yourself.

This insurance covers the legal liability of you and other directors and officers at your company in respect of claims against you. This includes the legal costs and expenses incurred in the defence of a claim arising from your actions and decisions made on behalf of the company in your capacity as directors or officers. 

It really is worth considering directors and officers liability insurance - talk to a qualified insurance broker now for more help and advice.

Last reviewed 01/2010

To talk to an expert in your area and get a quote, contact your local insurance broker.