Civil Liability for Directors and Officers
Civil Liability for Directors and Officers (D&O):
This policy is intended for Administrators, Directors and Officers of companies of all sizes and sectors and is designed to protect them against claims that threaten their personal wealth and for which they could be liable as a result of decisions they make while performing their duties.
D&O policies cover the legal expenses needed to mount an early defence, as well as any potential compensations or bonds that Administrators, Directors and Officers may have to pay, as long as they did not exhibit any wrongful conduct.
Administrators are subject to claims for their actions to manage the company, for failing to comply with a duty or obligation, for any negligence, mistake or omission, for faulty or inexact statements, as well as for improper employment practices.
Faced with a demanding regulatory environment and a rise in the number of claims stemming from negligent actions by administrators, the D&O policy is the most effective way to protect oneself against claims by injured parties.
Some of the main reasons why an Administrator or Director would take out a D&O policy is to protect their personal wealth, to pay for defence costs, provide unlimited retroactive cover for the policyholders of the insured company, its subsidiaries and representatives in investee entities, as well as extended reporting cover for those Administrators who voluntarily resign before the expiration of the policy.
It also offers extensions in matters of bankruptcy liability, tax liability, liability in the area of social security or ban on exercising professional activity, all of which makes purchasing this type of policy very appealing.
This insurance offers ample cover in clear and simple language with highly competitive premiums. The policies are easy to take out, and expand the cover to heirs, spouses, civil partners, liquidators in the event of a voluntary winding up and employees sued along with an Administrator, or for labour practices claims.
The policy is designed for all types of companies, whether corporations, LLCs, cooperatives, associations, foundations, federations or financial institutions.
In those cases in which administrators perform their duties in one or more companies, whether part of the same corporate group or not, and they seek exclusive and personal protection that safeguards them in the performance of their functions, they can purchase a D&O policy that covers claims from harmed parties such as shareholders (majority or minority), the company itself, creditors, employees (including applicants), and tax and other agencies.
In short, we provide the same cover as conventional D&O policies but for a private individual.
Markel D&O Excellence protects Administrators and Directors against third-party claims (such as from shareholders, employees, creditors, public agencies and the company itself).
The main goal of this policy is to protect the personal wealth of the Administrators or Directors from the financial damage caused to third parties as a result of their negligent management or for breach of duty in their office or for actions contrary to the law or to statutes.
Markel’s Individual D&O Insurance offers comprehensive protection to individual Administrators and Directors against any financial liability they may face when managing and overseeing companies and entities. All in an increasingly demanding legal and corporate environment, since Administrators are subject to claims due to the increased regulation of their actions and to the heightened scrutiny and oversight of their decisions.
The members of the Pension Plan and Fund Oversight Commissions manage the operation, the compliance with the plan’s clauses (rights of the participants and beneficiaries), the execution of the plans and they also perform their duty without any remuneration, but accepting the liability that could stem from their performance.