The directors and officers of your organization have specific duties to follow and are empowered to follow these through the terms of reference that are related to their positions.

Additionally, given the important decisions they are expected to take on a daily basis, they are also bound by the duty to exert due diligence in overseeing the activities of the organization, to act in good faith and in the best interest of the organization.

D&O Insurance is a legal liability policy which provides cover for wrongful acts made by a Director or officer of a company whilst engaged in such capacity.

Those alleged wrongful acts include:

• breach of duty
• neglect
• error
• misleading statements
• omission
• neglect

The Insurance protects the personal liabilities of the directors/officers and will cover claims resulting from managerial decisions that have adverse financial consequences.

The policy will cover the costs of defending the court proceedings, as well as any compensation costs that might arise from an unsuccessful defence.