directors and officers insurance

Being higher up the org chart brings an elevated degree of risk.

In recent years, a number of factors have increased the exposures directors and officers face, including greater federal oversight and a tougher regulatory landscape, increased whistleblower activity, and a litigious environment in which, for example, shareholders are suing boards of directors of large corporations in more than 90% of mergers and acquisition deals. What’s more, all types of companies and their executives are vulnerable to alleged wrongdoings, such as financial mismanagement, misappropriation of funds, and negligence. This includes public companies, private companies, educational institutions, non-profits, and associations, for example.

For more than 30 years, Martin Insurance Group has been providing businesses throughout New Jersey, Pennsylvania, and Connecticut, including companies in Mercer, Middlesex, Monmouth, and Ocean Counties, as well as Bucks County, PA with our expertise in creating broad and comprehensive commercial insurance specific to our clients’ needs. An important component of our programs includes directors and officers (D&O) insurance to help safeguard the executives and management who pilot the business.


The many sides of directors and officer coverage.

When securing a D&O policy for your firm, our staff will examine your bylaws, organizational structure, and activities with you to determine the best options in D&O coverage for your leadership. 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.

Directors and officers insurance will typically cover legal fees, settlements, and some damages. Generally, the policy covers your leadership for errors, negligence, and failures to comply with regulations with regard to company finances or operations in a broad sense. Some policies will also help pay for investigative costs. Additionally, we can provide private companies with a policy that offers an unlimited extended reporting period for former directors and officers, and full entity coverage, among many other features. For non-profits, we offer a policy with a lifetime occurrence reporting provision for former directors and officers.

There are a number of ways to design a D&O insurance program, with combinations of policies that maximize protection and minimize gaps. The staff at Martin will discuss with you the details of each and help you navigate through the complexities.

Call now to speak with a representative about D&O insurance. Martin has the experience and expertise to protect you and your business. We invite you to find out more about the difference we can make in insuring what’s important to you. Please click here for a quote or give us a call at 800.353.5000.