Directors & Officers (D&O)

Protects a company’s leaders from claims that their management decisions caused financial harm. Vital for boards and nonprofits.

Directors & officers insurance protects the personal assets of a company’s leaders when they’re sued over their decisions running the organization.

Board members and executives can be held personally liable for claims of mismanagement, breach of duty, misleading statements, or failure to comply with regulations — brought by shareholders, employees, competitors, or regulators. D&O covers their defense and any settlement, and helps companies attract good people to serve on their boards.

It’s not just for big public companies: private firms and nonprofits face these claims too, and their leaders are just as personally exposed without it.

This is a friendly general explanation, not legal or policy language. Exact coverage depends on your policy, carrier, and state. 🤝

Written and reviewed by the We Insure Things team — licensed independent insurance agents. Last reviewed July 23, 2026. Questions? Ask a licensed agent.