BROAD BUSINESS PROTECTION
Key coverages that reduce executive risk
Running an organization comes with a wide range of risks. Corporations and their leadership teams may face legal action from employees, suppliers, shareholders, competitors, regulators, and others, potentially putting their personal assets at risk. Executive liability refers to a suite of products that are tailored for private companies, publicly traded corporations, crown corporations, and not-for-profit organizations. Comprehensive executive liability insurance program typically includes the following coverages.
Directors and officers (D&O) liability
D&O insurance protects your company’s key decision-makers against claims related to their oversight of the organization. Allegations may include financial misrepresentation, breach of fiduciary duty, oversight failure, or self-dealing. This essential insurance includes coverage for indemnified and non-indemnified claims against individuals for legal defense costs, settlements, and judgments. It is vital for mitigating personal financial risks and attracting qualified individuals to join your executive team or board.
Employment practices liability
This protects businesses and their executives against claims arising from employment-related issues such as wrongful termination, harassment, and discrimination. It can cover legal expenses and court settlements, helping to protect your organization and leadership at every stage of employment. It can also provide coverage for allegations of discrimination and harassment made by third parties such as customers or sub-contractors.
Fiduciary liability insurance
This critical coverage protects businesses and those who manage employee benefit plans from allegations such as mismanagement, errors in plan administration, breach of fiduciary duty, excess fee due diligence, and failure to comply with regulations.
Crime insurance
This coverage provides extensive protection for organizations of all sizes against a host of exposures. There are several insuring clauses, including employee theft from the corporation or their clients, burglary, forgery, credit card use, social engineering, and funds transfer fraud.
Cyber liability
Our cyber risk coverage protects your organization and executives against losses from cyberattacks, data breaches, extortion demands, and other cyber-related incidents. This can include coverage for expenses that help your business minimize financial losses and reputational damage from cyber incidents.
Kidnap and ransom (K&R) insurance
This coverage provides employees, executives, and their families with protection against the risks of kidnapping, extortion, and unlawful detention. It can include coverage for ransom payments, medical expenses, and professional crisis management services.
Why Choose Navacord?
Our strategic advantages
Backed by a national team of local experts, our executive liability insurance is designed to address the complex needs of your organization and shield for executives from risks.
Custom coverage plans
Our team of executive risk specialists can custom-build a coverage plan that delivers protection against a broad range of lawsuits.
Diverse industry expertise
We have experts across a variety of different industries. We’ll take the time to understand your executives’ unique challenges and provide industry-specific recommendations.
Executive claims support
Our in-house claims team is here to support your business and its executives through complex claims, helping you navigate the process and advocating on your behalf.
FAQs for executive liability insurance
Also known as executive risk insurance or management liability, executive liability insurance is a suite of coverages designed to protect an organization’s leadership team. It typically includes directors & officers liability (D&O) but also features other related coverages such as employment practices liability, fiduciary liability coverage, and more.
Executive liability insurance delivers valuable protection to private companies, public corporations, not-for-profits, and any organization with directors, officers or other executives. Not only does this coverage protect your executives, it also helps safeguard your organization.
Your leadership team could face a variety of different allegations that lead to lawsuits. These include but are not limited to:
- Misrepresentation
- Misstatement of financial condition
- Failure to act
- Failure to disclose
- Mismanagement of funds
- Breach of contract
- Mergers and acquisitions
- Antitrust violations
- Failure to remit unpaid wages and taxes
- Wrongful dismissal
- Discrimination/harassment
