Directors and Officers Liability
The insurer will indemnify the directors and officers of the company named in the schedule against loss arising from any claims made against them jointly or severally during the period of insurance due to any wrongful act committed by them in their capacity as directors or officers of the company.
Examples; who can sue directors and officers
Employees – actions alleging discrimination, harassment, breach of employment contracts, defamation, and misleading misrepresentation
Creditors; – alleging that the director allowed the company to trade whilst knowing it could not pay.
Competitors; trade practices claims brought against the director for misleading and deceptive type conduct .
Shareholders – alleging that the directors mismanaged the operations of the company and its fund.
Information required: limit of Liability