Not sure what coverage your tech company needs? Find out in under 3 mins.

Not sure what coverage your tech company needs? Find out in under 3 mins.

Not sure what coverage your tech company needs? Find out in under 3 mins.

Find tech coverage in 3 min.

Directors and Officers insurance

Also known as D&O insurance, this coverage is designed to protect the personal assets of your board of directors from lawsuits related to the management of the company.
Why it's essential
  • Covers legal defense costs for claims alleging misuse of company funds and other breaches of fiduciary duty
  • Safeguards your company's decision makers from personal financial losses
  • Covers claims if you're sued for contract disputes, failure to comply with federal or state laws, or other mismanagement
Who needs this coverage
  • Any private or public company that has a board of directors
  • Startups that have received (or are about to receive) venture capital funding
  • Companies that want to attract top-tier executives
  • Non-profit corporations

What is Directors and Officers (D&O) insurance?

Directors and officers insurance is a type of liability insurance that covers the directors and officers of a company against lawsuits alleging a breach of fiduciary duty. A company pays for this coverage so executives can serve confidently as leaders of their organization without fear of personal financial loss.

In essence, D&O insurance is a safeguard for company management that will reimburse settlements and legal defense costs from covered claims.

A D&O policy contains three insuring agreements — commonly referred to as Side A, Side B, and Side C. While this might seem complicated, the three insuring agreements are actually pretty simple. Check out our FAQ below to learn what each of these covers.

Person on the phone
What's covered
  • Misuse of company funds

  • Misrepresentations of company assets

  • Breach of fiduciary duty

  • Failure to comply with workplace laws

  • Lack of corporate governance

What's not included
  • Lawsuits between members of the same company

  • Criminal or deliberately fraudulent activity

  • Prior knowledge claims

  • Any director who is actively negotiating, authorizing, or in any way engaged in antitrust violations

Embroker makes it simple

Skip the hassle — get D&O coverage the easy way and protect your business with tailored coverage.

Quick quotes

Get a quote and buy your policy right away through our digital platform. Get covered in a minutes, not days.

Tailored policies

Package D&O with other essential coverages, such as Cyber and Workers Compensation.

Expert guidance

Benefit from our team's in-depth knowledge of common industry risks and insurance needs.

Frequently Asked Questions (FAQ)

Directors and Officers illustrated

Explore real-world scenarios of how this coverage has supported businesses

  • SEC sues Elon Musk for his allegedly misleading tweets

    The SEC sued Tesla's CEO Elon Musk for making "false and misleading" statements to investors. According to the SEC, Musk did not consult with any board members, employees, or outside advisers before he sent tweets rounding up the Tesla go-private price to $420 per share because he thought his girlfriend (pop singer Grimes) would find it funny.

  • Medical recruiter sued for fraudulent business practices

    Rebecca Woods, an Oklahoma medical recruiter, was sued for fraudulent business practices and misrepresentation by the College Street Medical Group and CS Medical Management. The defendant was allegedly told that the staff hired had to conform to certain Medicare regulations in order for her to get paid for her services, but the doctor that was hired through her recruitment service did not comply with the necessary regulations.

Want to learn more about our other coverages?