Running a company brings opportunity — but it also brings personal risk for those making decisions at the top.
Directors & Officers Liability Insurance (D&O Insurance) protects company directors, officers, and senior managers against personal financial loss arising from claims of wrongful acts, mismanagement, breach of duty, or regulatory investigation.
At WS Insurance, we arrange specialist Directors & Officers Liability Insurance policies tailored to UK businesses of all sizes — from SMEs and property companies through to large corporate organisations and charities.
Directors & Officers Liability Insurance provides financial protection where directors or decision-makers are personally named in legal action.
Claims can come from:
Shareholders
Employees
Creditors
Regulators
Clients or third parties
Without D&O cover, directors’ personal assets — including homes and savings — may be at risk.
Any organisation with a board, trustees, or senior leadership should strongly consider D&O cover.
We regularly arrange Directors & Officers Liability Insurance for:
Limited companies
Property investment firms
Managing agents & block managers
Construction & contracting firms
Charities & not-for-profits
Financial services businesses
Tech & professional services companies
If decisions are being made, risk exists.
When arranging Directors & Officers Liability Insurance, we ensure policies include:
A standard Directors & Officers Liability Insurance policy covers:
Company directors (past and present)
Company officers
Senior managers
Board members
Trustees (for charities)
Non-executive directors
Cover can often be extended to include employees where management decisions are involved.
Typical cover includes:
Legal defence costs
Court representation
Settlements and compensation
Regulatory investigations
Employment tribunal defence
Shareholder disputes
Breach of fiduciary duty claims
Policies can also include corporate legal liability and entity cover extensions.
Directors & Officers Liability Insurance will not cover:
Fraud or criminal acts (if proven)
Personal profit gained illegally
Bodily injury or property damage (covered elsewhere)
Professional advice errors (covered by Professional Indemnity Insurance)
Known claims prior to policy inception
Policy wording varies, so cover should always be reviewed carefully.
No — D&O Insurance is not compulsory in the UK.
However, many investors, lenders, and regulatory bodies require companies to have Directors & Officers Liability Insurance in place before funding or contracts are approved.
Company limited liability does not always protect individuals.
Directors can be personally pursued for:
Breach of duty
Misuse of company funds
Insolvency trading decisions
Health & safety failures
Regulatory non-compliance
Directors & Officers Liability Insurance protects personal wealth from these exposures.
Yes — premiums are typically paid by the business.
The policy protects individuals, but it is structured as a corporate expense because it safeguards the leadership team and governance structure.
Indemnity limits depend on company size and risk.
Typical limits:
£1m — Small businesses
£2m–£5m — Mid-size firms
£10m+ — Large corporates
Factors influencing limits include turnover, sector risk, and investor requirements.
Premiums vary based on exposure.
Indicative annual costs:
SMEs: £350 – £1,250
Mid-size firms: £1,250 – £5,000
Large companies: £5,000+
Financial performance, claims history, and industry sector heavily influence pricing.
Yes — many policies include Employment Practices Liability.
This covers claims such as:
Wrongful dismissal
Discrimination
Harassment
Unfair recruitment practices
Employment claims are one of the most common D&O loss triggers.
Yes — Directors & Officers Liability Insurance includes cover for past, present, and future directors.
Run-off cover can also be arranged to protect directors after resignation, retirement, or company sale.
Run-off cover protects former directors for claims made after they leave the business.
This is critical in:
Business sales
Mergers
Liquidations
Director resignations
Claims can arise years after decisions were made.
Yes — defence costs relating to investigations by bodies such as:
Financial Conduct Authority (FCA)
Health & Safety Executive (HSE)
HMRC
Insolvency Service
Cover typically applies even if no wrongdoing is proven.
Absolutely.
SMEs face significant exposure from:
Employee claims
Creditor disputes
Insolvency allegations
Smaller firms often lack in-house legal resources, making insurance even more critical.
They cover different risks:
Directors & Officers Liability Insurance
Protects management decisions.
Professional Indemnity Insurance
Protects advice, design, or professional services.
Many firms require both policies.
Yes.
Shareholders can bring actions for:
Misrepresentation
Financial mismanagement
Breach of fiduciary duty
Failure to act in company interests
D&O Insurance covers defence costs and settlements arising from such claims.
Yes — subject to policy terms.
Common insolvency allegations include:
Wrongful trading
Preferential payments
Misuse of company funds
Insolvency practitioners frequently pursue directors personally.
In most cases:
Same-day quotations
24–48 hour policy issue
Immediate cover available
Urgent placements are common during funding rounds or acquisitions.
Typically:
Company turnover
Industry sector
Director count
Financial performance
Claims history
Corporate structure
Proposal forms are usually straightforward.
Yes — Trustee Indemnity Insurance is a form of Directors & Officers Liability Insurance designed for:
Charities
Foundations
Not-for-profits
Community interest companies
Trustees face the same personal liability exposures as company directors.
A specialist broker ensures:
Correct indemnity limits
Full policy wording review
Access to Lloyd’s markets
Claims advocacy
Competitive premium negotiation
Direct insurer policies often contain restrictive exclusions.
