The policy is designed to cover directors and officers for claims made against them while serving on a board of directors and/or as an officer. D&O liability insurance offer coverage for the directors and officers of for-profit businesses, privately held firms, non-profit organizations, educational institutions, etc.
Director’s and Officer’s Takaful covers the following:
Section I: Protects a corporation’s directors and officers when the company cannot indemnify the individuals.
Section II: Reimburses the organization when it indemnifies the individuals, thus protecting the company’s balance sheet
Section III: Also known as “entity coverage,” this eliminates disputes of coverage allocation when both the directors and officers and the insured organization are named as co-defendants in a securities lawsuit.