Publicado el Lun, 24/08/2015 - 13:58
Categoría: Professional Indemnity
Recent headlines show that company managers and directors are increasingly subject to greater regulation and pressures: "Claims against administrators keep growing"; "N. sentenced to two years in prison for a crime of fraud"; "Ex partners of N. accuse him of not paying 43 million VAT", "Board of the cooperative denounced for fraud and misappropriation" ...
Managers and directors are considered legally responsible both for the mistakes and omissions in the management of their company. These risks are assumed in a "personal, joint and unlimited" way, according to the law (*). Therefore, a manager and his/her family could see his/her assets at risk, in addition to suffering other economic or reputational damage that will require expert advice.
To avoid these risks the best solution is a professional indemnity insurance policy designed specifically for directors and officers. It provides coverage for:
- legal expenses,
- crisis management costs,
- coverage for employment claims,
- claims for pollution,
- subsidiary tax liability,
- fines and administrative penalties,
- compensation and financial damage to third parties,
- cost of restoring image,
- coverage for the family,
- coverage as a representative in subsidiaries and affiliates,
- and other guarantees...