Directors and Officers (D&O) Insurance policy template

Overview

The Company agrees to maintain Directors' and Officers' liability insurance ("D&O Insurance") throughout the term of this agreement for the benefit of the Director/Officer.

Scope

Selected Directors/Officers of [Company].

General Principles

Coverage

The D&O Insurance shall provide coverage against claims arising from actual or alleged wrongful acts, errors, omissions, misstatements, neglect, or breach of duty in the performance of duties as a director or officer of [Company].

Policy Terms

The D&O Insurance policy shall provide coverage limits, terms, and conditions consistent with industry standards and reasonably acceptable to both parties.

Cooperation

The Director/Officer agrees to cooperate fully with the insurer in the event of a claim, including providing necessary information and assistance as reasonably required for the processing and defence of such claims.

Limitations

The D&O Insurance coverage shall not extend to acts or omissions that constitute fraud, criminal acts, personal gains, intentional violations of law, or actions taken in bad faith.

Notification

In the event of any claim, circumstance, or occurrence that could potentially give rise to a claim covered by the D&O Insurance, the Director/Officer shall promptly notify the insurer in accordance with the terms of the policy.

Changes in Coverage

Any changes to the D&O Insurance policy, including alterations in coverage or limits, shall be communicated to the Director/Officer in a timely manner.

This clause is subject to the terms and conditions set forth in the actual D&O Insurance policy and any applicable laws. [Company] shall provide a copy of the D&O Insurance policy or relevant details to the Director/Officer upon request.