Directors, officers, and senior employees of a company are exposed to a wide range of risk exposures for their actions and the decisions they make. The responsibilities and duties have been established through a mixture of statute, regulations and case law.
Our team of seasoned professionals brings years of experience in both the insurance and financial sectors. We work closely with you to assess the specific risks associated with your transaction and tailor a policy that meets your exact needs.
Our commitment to excellence and bespoke solutions sets us apart. When you choose Polygon, you’re not just getting a policy—you’re gaining a strategic partner committed to mitigating risks and securing your peace of mind.
These duties fall into three main categories:
A director cannot hide behind the limited liability of the company, nor rely on the business to indemnify them. A director has unlimited liability and their personal assets are at risk.
Who Can Bring a Claim?
A wide range of individuals and organisations can be affected by the decisions of those within a company. Some may have incurred direct financial loss as a result, others may be enforcing rules and regulations on the directors. The range of potential claimants includes : shareholders, investors, a regulatory body, HM Revenue & Customs, Health and Safety Executive, employees (past and present), customers, competitors, banks, lenders, liquidators or auditors.
A Directors’ & Officers’ Indemnity (“D&O”) insurance policy will provide financial protection to a director, officer or senior employee against claims arising from their decisions and actions taken whilst managing their business. D&O insurance can also cover the company for any indemnification it provides for wrongful acts of its officers or directors.
The insurance market offers a myriad of different D&O policy wordings and the subtle differences in these wordings can have a wide affect on the scope of cover provided. This is where expert advice from a specialist insurance broker, such as ourselves, can provide an advantage.
All policies will provide cover for damages and legal costs, with many insurer wordings expanding the scope of protection providing extras, including employment practices, crisis management, official investigation costs, retired directors and “outside” board positions.