Nonprofit Savvy Directors Need This Insurance Solution Now
Understanding the Coverage
Director and Officer insurance typically includes three main types of coverage:
- Side A Coverage: Protects individual directors and officers when the organization cannot indemnify them.
- Side B Coverage: Reimburses the organization for indemnifying its directors and officers.
- Side C Coverage: Also known as "entity coverage," this protects the organization itself from securities claims.
These coverages ensure that both the individuals and the organization are shielded from financial loss due to legal actions. It’s crucial to understand the specifics of your policy, including any exclusions or limitations, to ensure comprehensive protection.