The Directors & Officers Liability Insurance policy operates under two sections.

Section A

This section shall pay the loss of each insured for a wrongful act in the insured's capacity as a director, officer or employee of the company to the extent that the company has not indemnified the insured.

Section B

This section shall pay the loss of the company for a wrongful act in the insured's capacity as a director, officer or employee of the company but only when and to the extent that the company has indemnified the insured for the loss.

* Conditions apply.

The cover applies to former, present and future members of the Board of Directors and the Management comprising officers and employees in a managerial or supervisory capacity. The policy normally covers the Parent company and all subsidiaries of the Parent Company as mentioned in the Last Annual Audited accounts submitted with the Proposal form. If it is required to cover the Directors of newly acquired companies (through mergers, acquisitions, take-overs) or shadow Directors, the same could be noted on the policy. The policy is designed to operate on an unnamed basis covering all directors / officers and employees of the Policyholder.

Where can the liability come from?

• Receivers, Liquidators and Administrators
• Shareholders
• Factory Inspectorate, Enforcement Directorate and Other Government Bodies
• Creditors
• Customers and Suppliers
• Employees
• Others

Please refer to the Policy Wordings for the complete coverages, exclusions and
terms and conditions of the policy.

* Conditions apply.

Claims based on or arising out of the following (including but not limited to):

• Wilful / intentional infringement of law
• Criminal behaviour, fraudulent and / or intentional acts or omissions of an insured
• The gaining in fact of any profit or advantage to which the insured was not legally entitled
• Acts committed prior to the inception date of the policy
• Libel, slander or other defamation
• Environmental damage or pollution
• Bodily injury or property damage
• Fines, penalties and other penal liability
• Insured versus insured claims (other than Employment Practice Liability claims)
• Major shareholding
• Professional errors and omissions
• Infringement of copyright or patent
• In a capacity as trustee or fiduciary under law (statutory or non-statutory including common) or administrator of any pension, profit-sharing or employee benefits programme or employee retirement or employment termination benefits, including but not limited to an actual or alleged violation of the responsibilities, obligations or duties imposed by the Employee Provident Fund Act of 1952 (India) or the Payment of Gratuity Act, 1972 (India), Employee Pensions Scheme, 1995 (India), Employee Retirement Income Security Act of 1974 (USA) or the Pensions Act 1995 (UK)

Extensions under the Policy

• Representation at Investigations and Examinations
• New Subsidiaries
• Outside Directorships
• Discovery Period
• Heirs, Estates and Legal Representatives
• Joint Property Liability

What are the types of wrongful acts which can be alleged against the directors?

• Misuse of Corporate Funds
• Mergers and Acquisitions
• False Advertising Allegations
• Bankruptcy Suits
• Companies Act Violations
• Granting Stock Options
• Customer's Suit
• Actions by Creditors
• Fiduciary Responsibilities
• Conflicts of Interest
• Stockholder's Suits
• Anti-trust Violations

Please refer to the Policy Wordings for the complete coverages, exclusions and
terms and conditions of the policy.

* Conditions apply.