Directors & Officers Liability Insurance

Directors and Officers (D&O) Liability insurance has become essential for Indian companies, especially with SEBI tightening corporate governance norms and the Companies Act, 2013 increasing personal liability of directors. D&O policies cover defence costs and financial losses arising from claims of wrongful acts including breach of fiduciary duty, misstatement, misleading statements, employment practices violations, and regulatory investigations. Side A covers individual directors when the company cannot indemnify, Side B reimburses the company for indemnifying directors, and Side C (entity cover) protects the company itself in securities claims. With rising shareholder activism and stricter enforcement by SEBI, NCLT, and other regulators, D&O insurance is now a boardroom essential for listed and unlisted Indian companies alike.