This policy provides financial backing in the event of claims related to management errors, regulatory breaches, administrative decisions, unintentional omissions or alleged harm to shareholders, employees, third parties or even the company itself.
D&O insurance covers, among other things, legal defense costs, attorneys’ fees, out-of-court settlements and indemnities. In certain cases, it also protects the company when it must indemnify its directors and officers.
Having D&O insurance allows leaders to make strategic decisions with greater peace of mind, strengthening corporate governance and the sustainability of the organization.