Directors and Officers Insurance in New Hampshire

Also providing directors and officers insurance to residents in Massachusetts, Maine, Rhode Island, & Vermont.

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What is directors and officers insurance?

Assuming leadership roles within organizations comes with major responsibilities, and those responsibilities can present risks. Directors and officers insurance gives leaders of New Hampshire organizations a way to better insulate themselves against the risks that come with their positions.

Directors and officers insurance is specialized liability insurance for those in leadership positions. Coverage may help with legal costs if a leader is sued for their decision or action. 

As with most liability insurances, D&O normally helps with attorney fees, court fees, other legal fees and settlements if there’s ever a covered claim.

Who in New Hampshire should consider getting D&O insurance?

Any individual who has a major decision-making role within an organization should consider D&O insurance. Leaders of both businesses and nonprofits get this insurance.

This could encompass leaders in a variety of different roles, such as:

• Chairpersons and board members
• Presidents and vice presidents
• Executive directors and directors
• CEOs, CFOs, COOs, CMOs, etc.

If unsure whether you or your organization needs D&O coverage, consult an insurance agent who’s familiar with the coverage. A specialized agent will be able to review the role’s risk exposure, and recommend coverage accordingly.

Should volunteer directors of nonprofit organizations in New Hampshire have D&O coverage?

Even though they might serveon a volunteer basis, leaders of nonprofit organizations often can still be held accountable for the decisions they make. Given their ability to influence the direction and operation of the organizations they serve, D&O coverage may be a prudent choice.

What situations does a D&O policy typically cover?

The coverage provided by D&O policies can vary based on the specific terms of a policy. However, typical scenarios that may be covered include:

• Conflicts of interest or perceived conflicts of interest
• Inappropriate or discriminatory employment practices
• Poor or irresponsible investment decisions
• Unauthorized disclosure of confidential information
• Severe negligence in duties
• Unintentional violation of laws or regulations

D&O usually doesn’t provide coverage for deliberate illegal actions or for simply poor business decisions due to lack of business acumen.

Does D&O cover regulatory charges?

Historically, regulatory charges imposed by governmental or industry authorities generally haven’t fallen within typical D&O protections. However, some insurance companies have recently begun to offer coverage for such regulatory charges. 

If this is a particular concern for you or your organization, make sure to consult with an insurance agent who’s knowledgeable about these policies. You’ll need someone who knows what details to check when looking at potential coverage for regulatory charges, and who’s able to compare different D&O policies.

Who pays a D&O policy’s premiums?

In most cases, it’s the organization itself that pays for a D&O policy. This is because the liabilities that leaders might encounter are usually directly related to their roles within the organization. Only because of their position do they have potential need for the insurance.

What factors affect the cost of D&O insurance?

The cost of D&O insurance can be influenced by a multitude of factors, frequently including the nature of the organization, its size, the industry it operates in, and the specific risks associated with the leader’s role. 

How can New Hampshire leaders obtain directors’ and officers insurance?

For help in finding the right D&O insurance, reach out to the independent insurance agents at Insurance24. We have extensive experience in helping New Hampshire leaders and organizations find the right coverage that suits their specific needs, and we’ll work closely with you to find a directors and officers insurance policy that’s good for your position and organization.