D&O Liability Insurance - Peace of Mind, or Piece of Dross?

Policyholder Advisor & Alert

PUBLISHED ON: September 1, 1999

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Directors’ and Officers’ liability insurance is sold to protect senior management against claims alleging wrongful acts.  Many claims involve shareholders’ derivative or class-action lawsuits.  Policyholders who bring claims under D&O policies frequently find themselves in coverage disputes because claims handling philosophy often is not as fair and generous as the premium-collecting underwriting approach. Many insurance companies have an unfair advantage because they arefamiliar with the types of issues that arise when a D&O claim is made, but policyholders generally are not. An experienced broker and legal counsel knowledgeable in the D&O area can help policyholders navigate those treacherous waters.