Directors and Officers Liability Insurance (or D&O Insurance) is often one of our lesser-understood insurance products.

What is D&O insurance?

Directors and Officers insurance is a liability cover that protects your practise against compensation claims brought about through an act of a director or key manager. It can prove important, as these actions may not always be covered by other liability insurances.

D&O insurance is designed to provide cover for legal defence costs as well as any compensation or final settlement costs that arise.

Do I need it?

Directors and Officers Liability Insurance is needed in many companies from large organisations to small, independent businesses like an opticians practise.

If there are directors, officers, or key managers working within the practise but they are not insured, they face a greater risk of not being able to defend themselves should a claim arise.

Despite best intentions to work in a professional and competent manner, mistakes do happen and every decision a director makes could potentially open them up to a costly claim.

Claims against directors could come from within the practise, from shareholders, other directors and employees, through to funders, patients and regulatory bodies,

Directors and officers have specific powers and responsibilities within a practise which are usually agreed in a contract. If they are found to have acted outside these terms, civil, criminal or regulatory proceedings can be brought against them, leaving them personally responsible for payments. 

What does it cover?

D&O Insurance could cover a director in many circumstances. Wrongful acts could include things like:

• Breach of trust or duty
• Negligence
• Errors in judgement
• Misleading statements
• Wrongful trading
• Criminal activity

 

Why use Infocus?

When you use a specialist insurer like Infocus for your directors insurance, you can be assured that we listen to your requirements and make sure you’re covered for the things that matter. After all, the most expensive insurance policy is the one that doesn’t pay out!

As a company director or officer of an insurance practise, you have plenty of responsibility so good liability insurance is important. For more specific information about D&O Insurance or any other types of cover we offer please contact a member of the Infocus Opticians Insurance team.

Written by: admin