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There are good reasons to consider Directors and Officers Liability insurance from AIG

Why boards and senior management need D&O

Administrators, managers and directors of any company, regardless of its size or activities, carry significant responsibilities in relation to the way they conduct themselves and justify the trust placed in them. This may result in claims against them for actual and alleged breach of duty, neglect, misstatements, errors and omissions.

Taking the pain out of investigation

There is a growing number of governing bodies or authorities who can investigate a company and today more attention is being focused of smaller companies. Even if an individual is not yet personally under investigation, immediate expert legal guidance can help and perhaps stop the situation becoming more serious.

Shared responsibility

As directors and managers are between them jointly and severally liable, an error on the part of one can have financial and personal consequences for the others, who may have acted completely correctly. Strong cover, that ring-fences the cover individuals can receive, can help build the confidence required to work together.

Personal and professional responsibility

Actions against the company and its management can involve a high degree of personal liability for the individuals. With potential penalties that range from hefty fines, all the way to disqualification and possible imprisonment, the need for an immediate and effective response to any threat is clear.

The best possible defence

Investigations and court cases are time consuming and very expensive. D&O cover from AIG assures its protected that they will have the highest quality legal representation and assistance from the first moment that an action commences.

Protection that responds to the world

AIG is the world leader in D&O insurance and we ensure our clients are protected against new and emerging types of risk, updating our cover regularly. This expertise extends to the support of our claims teams, who can draw upon the experience of our world-wide network.

Who is it for?

Directors and officers of companies of all sizes and industry. Our D&O product is tailor-made to suit associations, commercial public and private companies as well as financial institutions.

What is covered?

The D&O Liability insurance protects your personal property when you’re held personally liable for the payment of damages. The insurance also covers the civil and criminal defence the costs.

 

Who is it for?

  • Every former, present or future director (management faults only become barred after five years)
  • Managers, members of the executive committee, de factor directors and liquidators of subsidiaries
  • The legal bodies/management companies and their permanent representatives
  • The husbands and wives, partners, inheritors and legatees when they are addressed for a management error of the testator or deceased partner

 

Covered

  • Civil, criminal and administrative claims, regardless of who files the claim, actual or alleged
  • Your damages and defence costs. We pay your defence defence from the start of the procedure. Moreover, you have freedom of choice concerning your lawyer
  • Your directorship in subsidiaries, companies where you are majority shareholder (worldwide)
  • Your outside directorships in other firms where you are a shareholder
  • The costs to restore your reputation
  • The costs to obtain the discharge or revocation of judicial orders
  • Your defence costs are covered without sublimit

 

Key exclusions

  • Intentional acts
  • Known facts or circumstances
  • Bodily injury and property damage (with carve-back)
  • Taxes
  • Fines when uninsurable

Who is it for?

For private and public firms

 

Covered

  • Management liability
  • Pre-claim inquiry costs
  • Special excess protection for non-executive directors
  • Company securities (not for private companies)

 

Extensions

  • Emergency funding to directors in case of confiscation of property
  • Reputation coverage: public relations protection for directors in case of press or social media attack on their fiduciary integrity
  • Insolvency hearing cover
  • Regulatory enforcement
  • Costs to prevent civil liability actions
  • International jurisdiction extension
  • Derivative investigation hearing costs
  • New Subsidiaries
  • Discovery
  • Lifetime run-off
  • Emergency costs

 

Main exclusions

  • Conduct
  • Known facts, circumstances and prior claims
  • Bodily injury and property damage
  • Taxes
  • Fines when uninsurable

This site only contains an overview of the most important coverages and exclusions. Only the general and specific  conditions (“Insurance Policy”) provide an accurate, binding, description of the covers and exclusions.

It is necessary to fully analyse the Insurance Policy, as well as all other relevant documents with contractual and pre-contractual information before any decision to buy, underwrite, adhere to, accept, sign or conclude an insurance agreement.

Important Information

Here you will find information about how to request a quote with detail of premium calculation, the general and specific conditions, and/or other relevant documents with contractual or pre-contractual information, the duration of the insurance policy, the applicable law and jurisdiction, how to file a complaint or reach the ombudsman, etc.