Daniels Insurance Agency
Executive Liability Insurance for Your Company and Top Management
Company executives are responsible for not only running a tight ship but also navigating the business to greater profitability. With these responsibilities come many decisions fraught with risk and the potential for litigation, including from shareholders, employees and outside parties. Protecting the company and executives from these risks is critical to your firm’s growth.
Protecting You from All Sides
At Daniels Insurance Agency, we offer a portfolio of executive liability insurance products designed to respond to the diverse exposures of a firm and its management, including lawsuits involving directors and officers, employment practices disputes and allegations of fiduciary missteps or negligence. It’s important to note that a general liability policy is not designed to respond to these types of exposures, which is why additional protection is required.
Directors & Officers Liability
Directors & Officers (D&O) insurance generally covers your leadership for errors, negligence, and failures to comply with regulations regarding company finances or operations in a broad sense. It is available to privately and publicly held companies, nonprofits and associations. 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 multiple types of policies, 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.
D&O insurance typically covers legal fees, settlements and some damages. Some policies will also help pay for investigative costs. But D&O insurance often specifically excludes certain damages and punitive fees, such as fines, so it’s important to be precise about the language in the insurance contract. We will review this with you.
Employment Practices Liability
Employment practices liability insurance (EPLI) insurance is designed to cover legal fees, settlements and damage awards that result from employee claims of misconduct, such as discrimination and sexual harassment, against your company’s employees and managers. Some insurers will even cover the costs of investigations and legal fees associated with regulatory actions.
Fiduciary Liability Insurance
Fiduciary liability insurance can be issued to either the employer that sponsors the benefits plan or to the plan itself. It is appropriate for retirement plans, health plans, life insurance and disability plans, and employee benefits plans of all kinds. Fiduciary liability insurance protects the insured against allegations that the fiduciary—the money or benefits handler—has breached their duty. The accusation can focus on an error or negligence in administering a plan, including but not necessarily limited to misinterpretation of plan documents, providing imprudent investment options to plan participants, misrepresenting investments, mishandling enrollment or other paperwork, and giving bad advice or faulty instructions to participants. Our policy coverage options include legal defense fees, awards to or settlements with claimants, and voluntary correction programs even when there isn’t a claim. The specific coverage you receive depends on the insurance agreement you choose.
We’ll help you prepare for tomorrow today.
Daniels Insurance Agency is poised to help you navigate the risks you face today while assisting you with solutions and strategies to support your business as it expands and grows. We are also an integral part of the communities we serve, understanding the issues of our region to effectively serve our business and individual clients. Give us a call at 800-530‑8885 to find out how we can assist you.