Directors and Officers Insurance


Both types of insurance cover a wide variety of events, including a business’ failure to comply with regulatory requirements. For instance, a director or CEO may be sued by a client or competitor for failing to properly disclose a financial asset. This can result in financial ruin for the executive. Thus, a business should make sure they have both types of coverage.

Errors and omissions insurance is particularly important for professionals who provide services. It’s possible that a client could sue for improper service, or a homeowner could sue for failing to disclose defects in their home. Likewise, a branding consultant could be sued by a client for failure to keep a business running. In the event of a lawsuit, these policies will cover legal expenses and damages.

While errors and omissions insurance and directors and officers insurance can cover the same liabilities, there are important differences in coverage and cost. While an E&O policy may provide coverage for some board members, a D&O policy would cover everyone on the board.

Errors and Omissions Insurance Vs. Directors and Officers Insurance

It can be tricky to differentiate between errors and omissions insurance (E&O) and directors and officers insurance (D&O). The difference in coverage and cost may not be immediately obvious, but it’s important to protect your business. Both types of insurance provide coverage for allegations of negligence or other wrongdoing.

While there are similarities between D&O and E&O policies, they have significant differences. For example, E&O insurance is more focused on a business’s management decisions and the impact those decisions have on stakeholders, while D&O policies tend to focus on the services provided to clients. For family businesses, understanding the differences between D&O and E&O is critical.

Get A Quote – Directors and Officers Insurance

In addition to protecting your business from costly lawsuits, EPL insurance covers your employees against employment practices claims. The two types of coverage are complementary and provide coverage for many different risks. Directors and officers insurance, in particular, can protect your company from employment-related lawsuits.

Hub International offers comprehensive D&O insurance packages tailored to fit each business’s specific needs. Using an online application form, customers can request quotes and select which type of coverage they need. An insurance broker will contact them to discuss their needs and help choose the right coverage for their business. The price varies from company to company and is based on the risks of the business.