The regulatory environment for Directors and Officers is active and complex. This is especially the case for publicly listed companies, where the risk of a shareholder class action can have a significant impact on a company’s balance sheet.
What many are not aware of, is that this risk can be extended to individuals. This means that irrespective of whether your role is full-time, part-time or even in a non-executive capacity, you can be held personally liable for business decisions that have otherwise been made in good faith.
Furthermore, even where allegations are unfounded, you will be exposed to the cost of mounting a defence.
D&O policies can be designed for both private companies and/or public companies. They are typically split into three coverage sections:
Side A: Individual asset protection
Side B: Entity Reimbursement
Side C: Entity Securities Coverage
Directors and Officers Liability insurance is not something that can be easily dismissed. BMS can provide a full personal assessment of your needs and support you with advice on those key areas of risk that you should consider.