👥 Who Needs D&O Insurance?

D&O Insurance is essential for:

• Private companies (small to mid-sized businesses, startups)

• Public corporations

• Nonprofits and foundations

• Homeowners Associations (HOAs)

• Schools and charter boards

• Advisory boards and committees

Even with the best intentions, leaders can be held personally liable for the outcomes of their decisions. D&O coverage offers a safety net for your board—and peace of mind for everyone involved.

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⚠️ What It Covers

D&O policies typically include:

• Defense costs and legal fees

• Settlements and judgments from lawsuits

• Allegations of mismanagement or negligence

• Claims of breach of fiduciary duty

• Employment-related claims (often bundled with EPLI)

• Misrepresentation or failure to disclose

Common lawsuits may come from:

• Shareholders or investors

• Employees or former employees

• Competitors

• Clients or customers

• Government regulators

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🔍 Why You Need It

Many directors assume their personal assets are protected. They’re not. Without D&O coverage:

• Your personal finances could be at risk

• Talented individuals may be hesitant to serve on your board

• Legal defense costs alone can bankrupt small organizations

D&O coverage ensures your leadership can make decisions confidently—without worrying about personal liability.

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💼 Optional Enhancements

• Employment Practices Liability (EPLI)
  Covers claims of wrongful termination, discrimination, or harassment

• Fiduciary Liability
  Protects decisions made in managing employee benefit plans

• Cyber Liability & Tech E&O
  Often paired with D&O for technology-driven organizations

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🙋 Frequently Asked Questions

Is D&O insurance only for large companies?
No—small businesses, nonprofits, and startups are just as vulnerable (sometimes more so). If you have a board or decision-makers, you need coverage.

Doesn’t my general liability policy cover this?
General liability doesn’t extend to management decisions. D&O is a separate policy built specifically for board and officer protection.

Are volunteer board members covered?
Yes. Volunteers can still be named in a lawsuit and need the same protection as paid executives.

Can we be sued even if we did nothing wrong?
Absolutely. Defense costs still apply whether or not the claim has merit—and those expenses can be devastating without coverage.

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🛡️ Your Policy. Your Choice.

As brokers, we don’t push one-size-fits-all policies. We’ll compare options across top-rated carriers and help you select coverage that fits your leadership team, budget, and industry exposure.

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📞 Ready to Protect Your Board?

Let’s make sure the people who help run your organization are properly protected.

Call: 805-328-5001
Email: info@aecriskmanagement.com