Directors and Officers (D&O) Insurance in Ontario
D&O insurance protects the directors, officers, and the leadership team if they are sued for alleged wrongful acts in managing the organization. It also helps the organization pay defense costs and settlements, depending on how the policy is structured.
What D&O Actually Protects
Protects the people making decisions
Directors and officers can be named personally in lawsuits. D&O is designed to protect individuals when allegations relate to management decisions, oversight, governance, or disclosure.
Helps cover legal defence costs
Even if a claim has no merit, defence costs add up quickly. D&O policies are built to address defence and settlement exposure for covered claims.
Not just for large companies
Private companies, non-profits, and volunteer boards can face employment claims, regulatory allegations, creditor actions, and stakeholder disputes. D&O helps keep leadership protected.
Who Typically Needs D&O
Non-profits, charities, and associations
Volunteer directors still carry responsibility. Funding decisions, governance, employment matters, and stakeholder disputes can trigger claims even without profit motive.
Private companies
Shareholder disputes, creditor allegations, misrepresentation claims, and governance issues can all put directors and officers in the crosshairs.
Startups and growing businesses
Fast growth creates risk. Hiring, terminations, fundraising, cap table issues, and investor expectations can lead to personal allegations against leadership.
Organizations with HR exposure
Many D&O programs are built alongside Employment Practices Liability (EPLI) to address the most common and costly leadership-related claims.
Non-profits, charities, and associations
Volunteer directors still carry responsibility. Funding decisions, governance, employment matters, and stakeholder disputes can trigger claims even without profit motive.
Private companies
Shareholder disputes, creditor allegations, misrepresentation claims, and governance issues can all put directors and officers in the crosshairs.
Startups and growing businesses
Fast growth creates risk. Hiring, terminations, fundraising, cap table issues, and investor expectations can lead to personal allegations against leadership.
Organizations with HR exposure
Many D&O programs are built alongside Employment Practices Liability (EPLI) to address the most common and costly leadership-related claims.
Protect leadership so the organization can keep moving.
Tell us what your organization does, who sits on the board, and what your key exposures are.
D&O is not a commodity policy. Wordings, definitions, and exclusions matter. We'll structure a program that fits your organization's size, governance, and real-world risk.
Key Things to Know
The three sides of D&O
D&O is often structured as Side A (protects individuals when the organization cannot indemnify), Side B (reimburses the organization when it indemnifies directors/officers), and Side C (covers certain entity claims). We structure this based on your organization type and bylaws.
What affects the price
Revenue, financials, debt, funding sources, prior claims, industry, number of employees, HR practices, and board governance all matter. For non-profits, funding mix and governance structure are key.
D&O and EPLI work together
Many leadership claims come out of hiring, firing, promotions, harassment allegations, and wrongful dismissal. EPLI is designed for employment-related allegations. D&O can respond to management allegations. We'll place the right combination based on your exposure.
The three sides of D&O
D&O is often structured as Side A (protects individuals when the organization cannot indemnify), Side B (reimburses the organization when it indemnifies directors/officers), and Side C (covers certain entity claims). We structure this based on your organization type and bylaws.
What affects the price
Revenue, financials, debt, funding sources, prior claims, industry, number of employees, HR practices, and board governance all matter. For non-profits, funding mix and governance structure are key.
D&O and EPLI work together
Many leadership claims come out of hiring, firing, promotions, harassment allegations, and wrongful dismissal. EPLI is designed for employment-related allegations. D&O can respond to management allegations. We'll place the right combination based on your exposure.
Common D&O Claim Triggers
D&O claims are more common and costly than you'd think. D&O claims often come from employment decisions, stakeholder disputes, regulatory issues, financial distress, and governance allegations.
Frequently Asked Questions
Is D&O only for large corporations?
No. D&O is common for private companies, non-profits, and volunteer boards. If people make fiduciary decisions, they can be sued personally.
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