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Does Your Business Need Management Liability Insurance?

Image of senior leader smiling at camera in working environment

It seems obvious that your business needs insurance to cover your building, equipment, vehicles, and federal or state employment agencies.

Due to the complexity of business regulations, management liability insurance has become more important than ever. A Directors and Officers Liability policies offer protection for the employee in the event that they are accused of the following actions:

  • Failure to use good business judgment – such as failure to seek accounting or legal advice
  • Unauthorized actions – failure to adhere to company policy, engaging in actions outside the scope of the company, and so on
  • Business and acquisitions activities, poor decisions regarding assets, antitrust activities, contractual disputes, or misrepresentations about financial statements.
  • Change of control – breach of loyalty, engaging in anti-takeover measures, etc
  • Tax situations – improper payment of taxes, failure to file correct tax returns, and so on
  • Shareholder issues – failure to discuss material facts, misrepresentations, or insufficient disclosure
  • Regulatory matters – relating to the Affordable Care Act, the Foreign Corrupt Practices Act, or the False Claims Act, and other inappropriate legal actions

Coverage also extends to the company itself, providing an enormous benefit to you. Directors and your employees, call our office to schedule a consultation.