Everything You Need to Know About D&O Insurance

Today’s society is litigious, and corporate officers and directors need financial safeguards. No matter how honest and careful you try to be in administering duties, you may face a lawsuit at some point. You need specialized insurance to protect your company and yourself from monetary losses. Directors & Officers Liability, also known as D&O Insurance, is designed to safeguard company executives from losses and costs if a suit is filed.

What Is D&O Insurance?

During the scope of everyday duties, you make various decisions that have the potential to impact many people, especially if you serve as a fiduciary. Specialized coverage, such as OH D&O insurance, protects you personally from financial losses and reimburses your company or organization for legal fees and other expenses that come with defending in court against a lawsuit. This type of insurance helps you mitigate risk both for yourself and the company.

Why You Need D&O Coverage

Specialized D&O coverage offers multiple levels of protection for officers and directors in various types of companies and institutions.

  • Non-profit organizations
  • Public corporations
  • Private companies
  • Educational institutions

Lawsuits can come from many sources, including employees, vendors, investors, or competitors. Filed suits can name hiring practices, failing to meet legal regulations, misusing company funds or even fraud,  cyber breaches and information misuse. You need far-reaching protection for many different circumstances.

This type of liability insurance protects you as an individual, your company if it paid claims or costs on your behalf, and your company if it is named in a lawsuit along with other company directors. Legal fees quickly add up, and proper coverage gives you peace of mind to conduct your business without the fear of sudden financial ruin.

Choosing the Right Policy

As there are multiple coverage levels and types, you will get the best policy for your needs by going to an insurance professional specializing in D&O coverage. Lawsuits may be civil or criminal, and this insurance is a safeguard against both. This type of policy may be complex, depending on the nature of the corporation buying it, and you want to work with an experienced professional who can help you tailor your coverage based on your specific risks.

About Haughn & Associates

Founded by Michael Haughn in 1986, Haugn & Associates is a full-service, family-owned, independent insurance agency based out of Dublin, Ohio. H&A strives to provide the best possible price and unique insurance solutions across a myriad of industries, including construction, IT, Habitation & Commercial Property, Agriculture, and Engineering.

Devoted to providing the best of business insurance, life and disability insurance, personal insurance, employee benefits, and bonds, H&A is proof that success lies in long-standing client relations and satisfaction. To learn more about how H&A can be of service to you, contact us at (877) 802-2298.