The regulatory and litigation landscape for directors and officers over the last several years has seen a marked shift. Issues such as a rise in data breaches and increased compliance obligations for network security practices; increased allegations of security fraud filings, class action suits and shareholder derivative suits; and stronger actions taken in cases involving breach of fiduciary responsibilities with regard to M&As, privatization and other transactions have made directors and officers increasingly more vulnerable to lawsuits.
Furthermore, executive liability is a continued, on-going threat for corporations, no matter what the size, putting at risk the financial stability of both for-profit and non-profit organizations. In fact, in addition to the potential for significant litigation damages and expenses, exposure fears can stymie decision-making and result in the loss of corporate opportunities.
As a result of this “new normal” environment for directors and officers, no other insurance product has experienced more change or become more complex than Directors & Officers (D&O) Liability. Staying on top of these changes within the marketplace, including keeping abreast of current carriers and their products offerings as well as those that have contracted from this coverage line, is a full-time endeavor.
At AP Specialty, we do just that. As a national professional liability wholesale facility, we focus on current conditions – economic, regulatory and the insurance marketplace – to assist you in placing the valuable coverage of D&O insurance for new and renewal clients. Because of our relationships and capabilities, we’re able to provide agents with greater flexibility by offering the most current product and coverage enhancements available in today’s marketplace. This in turn
assists you in protecting your clients’ assets and limiting their company’s liabilities. We are able to help clients with a diverse range of products including, but not limited to:
There are many types of policies available, each responding to a different need. Side A coverage insures individual directors and officers to protect their personal assets. Side B coverage reimburses the company for costs incurred when the company indemnifies directors and officers in a claim. Side C coverage protects the company itself when it is named as a defendant in a claim.
There are multiple ways to construct D&O coverage, with combinations of policies that maximize protection and minimize gaps. AP Specialty will assist you in doing so to meet your clients’ needs. Contact us for more information at (310) 322-1301.