Directors' & Officers' Liability

What is directors' and officers' liability insurance?

If your business is accused of financial mismanagement, a legislative breach, a health and safety failure, or of breaching company law, then your contractor insurance policy with Kingsbridge steps in.

Having directors' and officers' liability insurance provides you with reassurance and a valuable safety net should anything go wrong, covering any legal fees that may arise as a consequence of any claims you have to defend.

As the director of your business you can be held personally liable for many reasons. Action can be taken against you by a number of people - a regulator, your end client, the taxman - if they think you haven't been sticking to the rules.

Directors' and Officers' liability insurance provides cover for your legal defence costs where such claim alleges a wrongful act.

You can see exactly what you're covered for with your directors' and officers' liability insurance over on our What's Included page.

Do you have any example claims?

A civil engineer accepted a contractor with one company, but there were then delays in adding them to the contract. During the delay the civil engineer was offered another role in Portugal, with the offer of additional work. A decision was made by the civil engineer not to honour their original contract and to take the work in Portugal instead. The other company subsequently sued for breach of contract, but the civil engineer was protected by their directors' and officers' liability insurance.

A design engineer failed to submit the accounts for their limited company to the Registrar of Companies within the permitted time frame. They were prosecuted under the Companies Act and made to pay court costs, as well as fees for their legal defence. The design engineer held directors' and officers' liability insurance and was able to claim on their policy.