QBE-LawyerGuard – Tip of the Month – Lawyers’ Fraud Avoidance Duties Clarified
March 29, 2024
According to a report by the American Bar Association (ABA) in 2017, cyber attacks targeting law firms have been on the rise, and the cost
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What is Insurance?
Directors & Officers (D&O) insurance is a type of liability insurance that provides coverage for the personal assets of directors and officers of a company. It protects them from legal action taken against them in connection with the performance of their duties.
D&O insurance can cover a range of claims made against directors and officers, such as claims for financial mismanagement, breach of fiduciary duty, or errors and omissions in decision-making. The policy may also cover legal fees, settlements, and other costs associated with defending against such claims.
D&O insurance is typically purchased by companies to protect their directors and officers from personal financial loss resulting from claims against them. It can also be a factor in attracting and retaining qualified directors and officers by providing them with an additional layer of protection in carrying out their responsibilities.
What does Insurance cover?
Directors & Officers (D&O) insurance covers claims made against directors and officers of a company in connection with the performance of their duties. The policy typically covers the costs associated with defending against such claims, including legal fees, settlements, and judgments.
D&O insurance can cover a range of claims, including:
It’s important to note that the exact coverage provided by a D&O insurance policy can vary depending on the specific policy and the insurance provider.
What doesn’t Insurance cover?
Directors & Officers Insurance typically does not cover intentional illegal acts or fraudulent behavior by the insured directors or officers. It may also exclude claims arising from bodily injury or property damage, as those are typically covered under other insurance policies such as General Liability or Workers’ Compensation. It is important to review the policy exclusions carefully to understand what is not covered.
Our Carriers
ENO Insurance Agency is a family-owned and operated business that has been providing professional liability insurance to clients for over 20 years. We take pride in our ability to provide our clients with personalized service and customizable insurance solutions that meet their specific needs. Our knowledgeable and experienced staff is dedicated to providing our clients with the best service possible.
Adam Gwaltney, President, COO
Who needs Insurance?
Directors & Officers Insurance is typically recommended for public and private companies, non-profit organizations, and other entities with a board of directors or officers. This includes corporations, partnerships, limited liability companies (LLCs), and non-profit organizations. Directors and officers of these entities can face a variety of risks, including lawsuits from shareholders, regulatory investigations, and allegations of mismanagement or breach of fiduciary duty. Directors & Officers Insurance can help protect the personal assets of the directors and officers from these types of claims.
What Policy Limits are right for my business?
The appropriate Directors & Officers Insurance policy limits for your business will depend on a number of factors, including the size of your organization, the level of risk it faces, and the amount of assets you have to protect. The policy limits should be high enough to cover the potential damages that could arise from a claim or lawsuit. It’s important to work with a knowledgeable insurance broker or agent who can help you assess your risks and determine the appropriate policy limits for your organization. Additionally, it’s important to review and adjust your policy limits regularly to ensure they remain appropriate as your business evolves over time.
How much does a Insurance policy cost?
The cost of a Directors & Officers Insurance policy can vary widely depending on a number of factors, such as the size of the organization, the level of risk it faces, the industry it operates in, and the policy limits chosen. On average, the annual premium for a Directors & Officers Insurance policy can range from a few thousand dollars to tens of thousands of dollars. It’s important to work with a knowledgeable insurance broker or agent to help you find the right policy at the best possible price for your organization.
Where is the eno.insure team licensed to sell Insurance?
The eno.insure team is licensed in the following states:
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According to a report by the American Bar Association (ABA) in 2017, cyber attacks targeting law firms have been on the rise, and the cost
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Despite the emergence of generative AI technologies, the fundamental best practices and security standards for lawyers have remained steadfast. While AI can automate certain tasks
ENO Insurance Agency is a family-owned and operated business that has been providing professional liability insurance to clients for over 20 years.
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