So what exactly is Directors and Officers Liability Insurance? We’ve really never discussed it prior to today, so now’s as good a time as any, right? Basically, Directors and officers liability coverage gives the necessary financial protection for the directors and officers of a company if they experience a lawsuit in which their decisions and performance within the duties of the company are called into question.
Now don’t confuse Directors and Officers Insurance with Errors & Omissions Liability coverage, as these two types of policies often are. So what’s the difference then? well, errors & omissions insurance deals with the is concerned with performance failures of your company’s products or services, or in some circumstances, both. This does not deal with the performance and duties of management- that’s where the directors and officers liability coverage comes into play.
Generally speaking, if you are the head, or high up in a company, whether a major Fortune 500, or a small local business, it’s probably a good idea to have both Directors & Officers Liability, as well as Errors and Omissions coverage. You never do know when something may arise that calls either your business decisions, or your business’s products/ services into question.
And where do you get a policy attached to your Hartford business insurance? That’s easy! Give Paradiso Insurance a call, or stop on into our offices today. Our friendly and expert staff can handle any of your business’s insurance needs, and we’ll make sure that it, and you, are 100% covered!