Podcast
Questions and Answers
What does Directors and officers liability insurance (D&O) provide coverage for?
What does Directors and officers liability insurance (D&O) provide coverage for?
Who can receive the payment from a Directors and officers liability insurance policy?
Who can receive the payment from a Directors and officers liability insurance policy?
Which of the following is not typically covered under D&O policies?
Which of the following is not typically covered under D&O policies?
What does broader management liability insurance cover in addition to the coverage provided by D&O insurance?
What does broader management liability insurance cover in addition to the coverage provided by D&O insurance?
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What can trigger the coverage of a D&O insurance policy?
What can trigger the coverage of a D&O insurance policy?
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Study Notes
Directors and Officers Liability Insurance (D&O)
- Provides coverage for legal defense costs, settlements, and judgments arising from wrongful acts in the capacity of a director or officer.
- Covers claims related to breaches of fiduciary duties, misstatements, and omissions.
- Protects against employment practices claims, regulatory investigations, and shareholder derivative actions.
Beneficiaries of D&O Coverage
- Payment can be received by the organization itself, directors, and officers named as defendants in lawsuits.
- Coverage may extend to employees of the organization in some policies.
Exclusions from D&O Policies
- Personal misconduct or fraud is typically not covered under D&O insurance.
- Claims related to bodily injury, property damage, and certain criminal acts are also generally excluded.
Broader Management Liability Insurance
- Adds coverage for other liabilities not included in D&O, like employment practices liability and cyber liability.
- Protects against potential lawsuits from employees and other stakeholders.
Triggers for D&O Coverage
- Coverage is typically triggered by claims or lawsuits initiated by shareholders, employees, or other parties.
- Changes in regulations or laws affecting the company's operations may also invoke coverage.
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Description
Test your knowledge on Directors and Officers Liability Insurance (D&O) with this quiz. Explore key concepts, coverage details, and legal considerations surrounding this type of insurance. Challenge yourself and see how well you understand the ins and outs of D&O liability insurance.
