No company should be exposed to the financial impact that a lawsuit poses due to claims of failure or negligence in carrying out managerial duties. Not only can your company be sued, directors and officers can also be personally sued for their actions and for the actions of your company, leaving your company at a disadvantage in attracting these individuals for employment. What's more, venture capitalists and other investors typically require this insurance before providing funding for your company.
Consider some of the claims to which your business is exposed:
- Shareholder disappointment with company performance
- Breaches of employment or discrimination laws
- Health and safety violations
- Data breaches
- Other acts viewed as negligence
Because it covers claims related to managerial duties, Directors and Officers insurance differs from Errors and Omissions insurance which covers negligence or failure in providing products and services.
Protect your business now with a quote from us.