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Commercial Insurance

Directors and Officers Liability insures corporate directors and officers against claims, usually by stockholders, alleging loss arising from mismanagement.  Claims may also be made by other parties such as regulators against the corporation for mismanagement which would also be covered.  The Outside Directorship Liability Policy Form is available, as supplementary protection, to assure sufficient limits for the exposure created when a company’s director, officer or employee serves in an outside director position as its request.  The coverage is not standard and may vary significantly between carriers, as well as by type of business – i.e. for- profit, closely- held or publicly- traded.

For Example: Following a routine Health and Safety Executive visit, a company is asked to produce its health and safety accident book for inspection.  The records are found to be incomplete, and personal employee data has not been kept confidential.  The Company is prosecuted under the Health and Safety at Work Act 1975 and the Data Protection Act 1998.

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