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Directors and Officers

Our Directors & Officers Policy offers the personal protection required for senior members of a business whether you are a statutory director or a manager acting in the capacity as an officer of your company…

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Our Directors & Officers Policy offers the personal protection required for senior members of a business whether you are a statutory director or a manager acting in the capacity as an officer of your company. This Insurance is a vital inclusion for any limited company or limited partnerships insurance programme. Now more commonly provided within an insurance coverage known as “Management Liability Policy” which also offers two additional elements of cover firstly Corporate Legal Liability and Employment Practice Liability both of which are detailed below.

Part and parcel of being a statutory director and to a limited extent a shadow director are the personal liabilities you undertake which are numerous and are therefore potentially onerous in the event of an circumstance that could give rise to an action being personally brought against them. Examples of such claims are as follows: –

  • Employment issues including claims being brought directly against a director of discrimination or harassment
  • Health & Safety breach including Corporate Manslaughter
  • Trading whilst insolvent
  • Disqualification
  • Regulatory Sanction
  • Actions being brought by shareholder/s for negligence
  • Actions being brought by another director/s
  • and any other alleged dereliction of duty in your capacity as a director (excluding any intentional or premeditated criminal action)

In broad terms Directors & Officers liability insurance typically covers:

  • Legal Costs, awards and settlements for any claim or regulatory action brought against present, past or future director /trustee / officer or employee

Main policy features *

Corporate Legal Liability (also known as Entity Defence)

This is a Legal Liability policy that protects a company from claims made for wrongful acts. It provides cover for legal costs, awards and settlements for any claim or regulatory action brought against your company (outside of claims that would normally be covered by Employers Liability, Public/Products Liability & Professional Indemnity); some examples of areas of cover are as follows:

  • Breach of contract
  • Copyright infringement or other intellectual property
  • Corporate manslaughter
  • Cost of legal representation in respect of an official (HMRC) tax investigation
  • Anti-competitive behaviour

In addition some policies extend cover to include limited cover for Fidelity Guarantee (theft by employees) and loss by external fraud.

It is quite common for single claims to be brought in tandem with both the Corporate Legal Liability responding for the action brought against the company and the Directors & Officers Liability for the same action against the Director/s personally. Therefore, it is important for these covers to run alongside each other on the same policy.

 

Employment Practice Liability

This is a legal liability policy that protects the company and provides legal defence costs, awards, and settlements in the event of an alleged breach of the employment act where an action is being brought by a current, former, or even a future employee.

Examples of claims are as follows:

  • Allegations or wrongful termination
  • Discrimination
  • Hostile work environment
  • Workplace harassment and retaliation.

Again, it is possible for single claims to be brought in tandem where the Employment Practice Liability cover responds to the action brought against the company and the Directors & Officers Liability for the same action against the Director/s personally. Therefore, again it is important for these covers to run alongside each other on the same policy.

Typical exclusions include:

  • Deliberate, fraudulent or dishonest acts
  • Acts intended to secure a personal profit to which the insured is not legally entitled
  • Prior claims, investigations and circumstances to which you were aware of arisen prior to the start of the policy
  • Any litigation which arose prior to the start of the policy
  • Defined benefit pension schemes.

    *  This information is a general guide only.  Adler Fairways will assess your requirements and recommend a bespoke range of insurance solutions to meet your needs.  As part of the quotation process, we will provide full details of the specific coverage, benefits, limits, premiums, exclusions, excesses payable, and any other policy conditions that would apply to the insurance we recommend for you.  We currently only offer cover to businesses registered in England, Scotland, Wales, Northern Ireland, the Channel Islands and the Isle of Man.

    Words from our clients…

    Shannonside Civil Engineering Ltd

    "Over the last eight years we have continued to renew our cover through Adler Fairways, we consider them a partner of our wider business on the growth trajectory to being a 100 million pound business. Having guided us from a small start up to where we are today, their guidance and level of experience have been invaluable in ensuring we are covered in all aspects of our liabilities. This has allowed us to focus on growth and margins. Thank you Adler Fairways as we move forward together into the future." Shannonside Civil Engineering

    John Hall, Director, West Midlands Fasteners

    "Adler Fairways have taken care of our insurance needs for many years, during which time we have built a strong relationship. We have come to depend on their expertise and know we can always rely on them." West Midlands Fasteners

    Faisal Ravat, Managing Director, E&S Motors Ltd

    "We transferred our insurance to Adler Fairways Insurance Brokers in 2023, when they offered us a much more complete and competitive premium than our current brokers. The team took the time to understand our business and future needs; we have continued to receive excellent service from them, and have been impressed with their care, and attention to detail. What is key for our business is the advice that is given when needed, and the robust claims management internally which has helped manage our premiums for a traditionally difficult to insure niche sector of the motor trade." E&S Motors

    Frank Ryan, Director, Reirse Ryan Ltd

    "We have been with Adler Fairways for a number of years now and remain with them for the personal service we receive together with commercially competitive premiums and the knowledge that when a claim does arise, professional assistance is always to hand." Reirce Ryan

    Gerald Doble, Director, G A Doble

    "The Adler Fairways team has looked after our insurance portfolio for several years now and have provided excellent service throughout. Our annual renewal reviews are always conducted in good time ahead of renewal with all our questions answered and we are extremely impressed with the renewal proposals received. Prior to moving our business to Adler Fairways, we had not received a proper review for several years. The team were instrumental in making sure our insurance was arranged on the correct basis and have also been able to save us money on our premiums over the years. It is clear that they have our best interests at heart, both from an insurance cover and premium perspective. Whenever we have a query or need to make a change to our policies, it is dealt with efficiently and professionally. We can’t fault them on their reliability and excellent personal service".

    John Dyke, Central Scaffold Walsall Ltd

    "As a scaffold company operating within the construction industry, it is crucial for us to have a reliable and experienced insurance broker by our side. Adler Fairways has been a trusted partner to us for over 15 years and we couldn’t be more satisfied with their exceptional service. From the beginning, they demonstrated a deep understanding of the unique risks we face as a scaffold business and worked with us to ensure we’re always fully protected onsite. We have peace of mind in their ability to source comprehensive, industry-specific coverage at competitive rates which is a huge benefit to our operations. The fact that Adler Fairways is a Chartered insurance brokerage also demonstrates their ongoing commitment within their profession." Central Scaffold Walsall

    Ocean Outdoors

    "The Adler Fairways team has been an invaluable partner to our digital out-of-home (DOOH) advertising business, particularly during times when we needed their support, expertise and advice. Their exceptional responsiveness and commitment have truly set them apart. In our industry, where we manage a network of digital displays and complex advertising campaigns, the risk landscape is unique and often unpredictable. Whether it’s damage to equipment, public liability, motor or unforeseen technical issues, Adler Fairways has consistently provided us with bespoke insurance policies that give us confidence in our coverage. Whatever our needs are, Adler Fairways are always there to guide us every step of the way and the team handles everything with remarkable efficiency, providing clear communication and expert advice throughout the process. The personal touch and attention to detail they always provide makes sometimes stressful situations much easier to navigate." Outdoor Ocean