Directors and Officers Liability insurance covers the cost of compensation claims made against your business’s directors and key managers (officers) for alleged wrongful acts. Wrongful acts include:
- breach of trust
- breach of duty
- misleading statements
- wrongful trading.
PSC Connect Member Brokers specialise in Directors and Officers insurance as well as Management Liability insurance. Through leading insurers, our Member Brokers can offer a comprehensive range of insurance products that are appropriate for your organisation.
Directors and Officers Indemnity insurance protects the Directors and Officers of an organisation against the legal liability they may incur personally as a result of their involvement in the organisation. Directors and Officers Indemnity insurance also covers them for claims brought against them by:
- Shareholders (such as neglect or misleading statements)
- Employees (such as claims for wrongful dismissal or harassment)
- Statutory bodies (such as actions brought by the Australian Securities and Investments Commission involving alleged breaches of fiduciary duties)
- Competitors (such as allegations of conduct involving anti-competitive behaviour)
- The Organisation itself (such as actions brought by a liquidator on behalf of the organisation alleging insolvent trading).
Businesses should consider Directors and Officers insurance if you sit on, or your business is incorporated, including private corporations, incorporated associations, public corporations and co-operatives. Directors’ and officers’ liability insurance covers the cost of defending these proceedings, as well as any compensation costs that arise from an unsuccessful defence.