Directors & Officers Liability

You have protected your business from a financial loss for property and/or liability, by purchasing a commercial insurance policy.

What about your personal financial security, your home, or personal belongings that could be threatened by a lawsuit for your exposure from being a member of a Board of Directors? Many people assume that their personal liability policies would cover a claim brought against them due to their liability from sitting on a Board of Directors. This is not true. Your personal policies would cover your liability for bodily injury or property damage only, not financial loss suffered by a third party due to the actions of the Board of Directors.

The following is a partial list of exposures that members of a Board of Directors can be held personally liable which could leave all of your personal assets at risk:

  • Guidelines for approving public disclosure or communications
  • Operating procedures
  • Policies implemented pertaining to the entire business affairs of the corporation
  • Company’s products
  • Workplace safety procedures
  • Equal opportunity hiring practices
  • Lack of a duty of honesty
  • Lack of a duty of loyalty
  • Lack of a duty of care
  • Lack of a duty of diligence
  • Lack of a duty of skill
  • Lack of a duty of prudence
  • Liability with respect to employment law
  • Unpaid wages (including termination pay) and benefits
  • Liability with respect to the Employment Standards Act
  • Canada Labour Code
  • Workplace Safety including hazardous substances
  • The Pension Benefits Act
  • Human Rights incl. sexual & verbal harassment
  • Wrongful dismissal
  • Discriminatory Hiring Practices

The only way to cover these exposures is to purchase a Directors & Officers Liability policy.

Our markets can offer quotations for:

  • Non-Profit and For Profit
  • Flexible Liability Limits and Deductibles
  • Full Entity Coverage
  • Worldwide Territory
  • Individual Directors & Officers
  • Corporate Reimbursement
  • Outside Directorship
  • Employment Practices Liability
  • Coverage for Punitive Damages may be available
  • Broad Definition of Subsidiary
  • First Dollar Defence Available

One or two year policies available.

By approaching Insurance Portfolio Inc., we can go to market and provide various quotations and comparisons to advocate for your needs.