Private Company Directors' & Officers' Liability

Overview
The standards for private companies seeking Directors' & Officers' (D&O) liability protection have been raised across the board. Those who govern a private organization are just as accountable for performance as their counterparts who represent publicly held corporations.

By nature of their responsibilities and obligations, directors and officers are expected to adhere to high standards of professional conduct. Many are finding themselves under intense scrutiny as they struggle to redefine the rules under which they should - or should not - operate.

Directors and officers are fiduciaries of the companies they serve and therefore, carry with them a host of legal obligations that can result in loss exposures for corporate wrongdoing. They can be held personally and financially liable for actual or alleged breach of duty in the course of managing the affairs of a company and ensuring its compliance with the numerous laws and regulations that govern its operation.

PIA offers D&O liability insurance for all private companies that are not Fortune 500 companies or financial institutions. Our target market is mid-sized accounts with total assets of less than $250 million and fewer than 250 employees.

Our broad coverage not only protects any past, present or future directors and officers from a misstatement, inappropriate action, omission or breach of duty, but it also provides full coverage for the corporation and its subsidiaries.

Policy Highlights:

• An insured has the choice of defending itself or having the insurer defend
• The corporation is afforded full coverage and is considered an insured with respect to Employment Practices Liability claims
• Employees are considered insureds with respect to Employment Practices Liability exposures
• Wrongful acts committed by an insured anywhere in the world are covered
• Definition of loss is amended to provide coverage for punitive damages, provided applicable law permits
• Spousal coverage
• Marital extension is included

Capacity of $5 million is available, with average limits of $1 to $2 million. The policy is written through a Lloyd's of London binder facility, rated A- by A. M. Best Company, on a surplus lines basis in all states.