Directors & Officers Insurance (D&O)
Directors & Officers insurance protects the personal assets of corporate directors, officers, and the organization itself against claims alleging wrongful acts in their capacity as leaders. D&O claims can come from shareholders, employees, competitors, regulators, or creditors — and they can target personal assets if the company can't or won't indemnify its leaders. Every business with a board, investors, or significant management decisions needs D&O coverage.
Coverages we place
- Side A: Protects individual directors/officers when the company cannot indemnify
- Side B: Reimburses the company when it indemnifies directors/officers
- Side C: Entity coverage for securities claims against the company itself
- Regulatory investigation and defense costs
- Shareholder derivative suits and class actions
- Employment-related claims against management (where EPLI doesn't apply)
- Creditor claims in insolvency situations
- Outside directorship liability
Who needs this coverage
Any company with a board of directors, outside investors, or significant management structure: corporations, LLCs with boards, nonprofits, private equity-backed companies, startups with investors, and publicly traded companies. Even small businesses with advisory boards should consider D&O.
What drives your premium
- Company size (revenue, assets, number of employees)
- Industry (financial services, tech, healthcare cost more)
- Public vs. private company (public costs significantly more)
- Number of directors and officers
- Claims and litigation history
- Financial health and debt levels
- Whether the company has outside investors
Common exclusions
- Intentional fraud or criminal acts (after adjudication)
- Bodily injury and property damage (covered by GL)
- Prior or pending litigation at policy inception
- Insured vs. insured claims (with exceptions)
- Pollution liability
- Professional services errors (covered by E&O)
Frequently asked questions
Does a small business need D&O insurance?
If your business has investors, a board, or makes decisions that could result in regulatory scrutiny or stakeholder lawsuits, yes. D&O is especially important for companies seeking investment, going through mergers, or operating in regulated industries. The personal asset exposure for directors is real.
How much does D&O insurance cost?
D&O premiums range from $1,000–$5,000/year for small private companies to $10,000–$50,000+ for mid-size companies. Publicly traded companies pay significantly more. Cost depends heavily on industry, financial health, and claims history.
What's the difference between D&O and EPLI?
D&O covers claims against directors and officers for management decisions (shareholder suits, regulatory actions, fiduciary breaches). EPLI covers employment-related claims (discrimination, wrongful termination, harassment). Many management liability programs include both.
Related coverage
Get a free quote or call (321) 206-8035.