People run organizations—and that makes them vulnerable to risks.

What sort of risks? In today’s litigious society, it’s not hard to imagine: a disgruntled employee might sue a supervisor and the company for wrongful termination. Another employee might file a suit alleging sexual harassment. The company and its leadership could be sued for financial mismanagement.

And don’t get the wrong idea: these aren’t risks that only corporate leaders have to content with. Non-profit boards of directors could just as easily be accused of these and other types of wrongful actions.

If you run an organization, you have worked to select leaders who will help the organization thrive—and won’t expose it to such allegations. If you are a manager of a for-profit company or a member of a non-profit board of directors, you are probably filled with a spirit of wanting to help that organization succeed.

But mistakes can happen—and wrongful accusations can be made. How can individual leaders be protected in the event that a lawsuit brought against the organization also names them?

That’s where a Directors and Officers Liability policy comes into play.

D&O insurance is different from general liability insurance, offering protections that your organization's liability coverage does not. D&O policy specifics may differ, but can include

• protection for the assets of a director’s or officer’s spouse, domestic partner, or estate
• protection for the personal assets of directors and officers
• protection for the organization’s assets
• coverage of defense costs, settlements, and judgments associated with claims

It can even provide added protection if the organization experiences bankruptcy or insolvency.

Liability exposures can be devastating, and legal costs can escalate quickly. A good Directors and Officers liability insurance policy can provide peace of mind not only for an organization’s leadership, but for the future of the organization itself.

For more than 25 years, Beall Financial and Insurance Services, Inc., has been helping corporations and individuals protect their most important assets. The agency’s client base covers a spectrum of niche businesses, such as craft breweries, that require specialized insurance packages and knowledge. With California offices in Redlands and Newport Beach, Beall Financial and Insurance Services serves clients nationwide.