Willis Towers Watson
What is it?
Directors & Officers (D&O) insurance provides protection for directors and officers in the event that they are the subject of a claim or investigation arising from the performance of their duties at their company.

Once a claim is alleged against a director for any wrong doing they have two sources of protection – they can either turn to their company to seek indemnification, or they can seek assistance from the company's D&O policy.

For the Directors, a policy provides personal asset protection should the employer's indemnification fail for any reason. For the Company, a policy provides balance sheet protection where the company has indemnified
its directors.
Who should consider buying this insurance?
Any director may face a wide range of claims relating to their day-to-day management of the company. In today's difficult environment claims can arise from a variety of sources:

– The company – in most jurisdictions directors owe their primary duty of
    care to their company, and may therefore face claims brought against
   them by the company.

– Security holders (shareholders and bondholders) – worldwide security
    laws usually provide courses of action for shareholders to pursue directors
   and the company where they have suffered a financial loss due to the
   wrongdoing of a director.

– Regulators / Government Bodies – in most jurisdictions regulators are
   usually given powers to investigate and hand down fines and penalties.

– Competitors – any breach of competition laws could result in competitors
   filing an action against directors.

– Liquidators – in the event of liquidation proceedings the administrators can
   bring a claim on behalf of the company for any breach of duty.
How do we add value?
Different variations of D&O policies are available. Some companies omit the Side B cover and have a Side A only policy, whilst others purchase different levels of Side A, B and C cover within a combined programme. Another product known as Excess Side A DIC (Difference in conditions), can be purchased in addition to traditional Side A, B &/or C policy. This provides broader coverage with fewer exclusions. Every company is different and we can help design a programme to meet the needs of individuals.

FINEX Global is committed to continued innovation when it comes to risk management issues. In 2011, our Directors & Officers team launched a new product - DARCstar™. DARCstar™ is a ground-breaking approach to
Directors & Officers insurance, designed to simplify the protection available to directors and officers in the event of a claim and in 2012 DARCstar™ was awarded the Insurance Day Award – ‘Insurance Initiative of the Year’. It moves away from the complexities of indemnifiable and non-indemnifiable loss and delivers broad and reliable cover in an easy to understand policy.

In addition we provide a range of comprehensive services and a team of
experts to:

– Measure your executive exposures
– Identify the optimum D&O program for your company
– Ensure that you have the best cover available in the global market
With decades of experience, thought leadership and market leverage, we continually monitor trends in the marketplace and stay current with
changing legal, legislative and regulatory activity, providing our clients
with the latest in:

– Risk identification
– Insurance coverage analysis
– Strategic claims management

Richard is a Senior Vice President and Willis' Financial Services Practice Leader, based in New York. During his 25-year banking career, he has managed sales, trading and team structuring for some of the biggest financial institutions.

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