Security for ManagersWhoever is in a decision-making position is liable: high costs through mispurchases, product withdrawal on account of misestimating the market, infringement against tax or competition regulations, financial losses because on account of embezzlement by an employee, etc. Managers can be held liable with all their private assets. This is where D&0 insurance comes into play (financial loss liability insurance for managers).
D & O insurance covers the settlement of founded claims as well as the costs of the defence of unfounded claims which are placed within the scope of internal (in-house) and external liability (by a third party) against a company manager.
Insured are all former, present and future members of the management, the Executive Board, supervisors or advisers of the company.