Introduction
Directors and officers of a hold a position of trust are responsible towards the company, the shareholders, the employees, and the public at large. They may become liable to pay damages in scenarios such as the following:
- Misstatement in prospectus
- Inaccurate statement of financial conditions
- Errors in annual accounts
- Conflict of interest
- Lack of judgment, diligence, good faith
- Mismanagement of funds
- Unfair allotment of shares
- Using insider information
- Unwarranted dividend, salary, compensation payments
- Unfair dismissal of an employee
Our Directors and Officers Liability policy protects the personal fortunes of individual directors and officers, in respect of personal liabilities arising out of their wrongful acts like breach of duty, breach of trust, neglect, error, misstatement or misleading statement.