D&O insurance: Protecting decision-makers
Strategic decisions shape the future of a company, but they also entail significant risks for those making them.
Directors and managers are exposed daily to potential personal liability arising from their choices. An error of judgement, inaccurate communication, omission or superficial supervision can lead to direct legal and financial consequences.
Directors & Officers (D&O) insurance is designed to protect the personal assets of board members and executives in the event of claims related to their functions. This cover provides crucial support, allowing business leaders to operate with greater peace of mind, knowing they have adequate protection behind them.
Why is it important?
- Protection of personal assets: In the absence of D&O cover, executives may face legal costs and compensation from their own assets.
- Attractiveness for talent: Offering D&O protection can be a key factor in recruiting and retaining qualified professionals in leadership positions.
- Business continuity: Facing legal disputes without adequate coverage can distract management from core business activities, negatively affecting business performance.