D&O Insurance
Directors & Officers Insurance in Canada
Directors Insurance: Leading With Confidence
As a board member or leader of an organization in Canada, you can be held liable for problems caused by your business’s activity or decisions you’ve made. A secure D&O insurance policy is a necessary part of a risk management strategy of any business, regardless of its size or industry.
When you’re elected to a board, you are responsible for representing the best interests of the organization and its stakeholders. But there can be times when your actions are questioned, or you are accused of negligence or wrongdoing. These allegations could cost you thousands of dollars in legal fees and damages and may even put your personal assets at risk. To ensure you’re covered for legal costs, as well as losses in the event that you are found liable, it’s vital to have a suitable directors and officers policy.
What Factors Impact Your D&O Insurance?
The cost of a directors and officers insurance policy in Canada varies for each business depending on several factors, including:
Business Size
It’s a common misconception that D&O insurance is only necessary for large businesses; however, businesses of any size may suffer from significant setbacks because of a claim against a director or officer.
Industry
Naturally, some industries carry more risk than others. The degree of risk associated with the type of industry your business operates in will influence your D&O insurance premium.
Experience
If your business has been around for a long time, there is a smaller chance of mistakes occurring. As a result, your business will often have lower insurance rates.
Revenue
Claimants may ask for higher compensation for their claims if your business is thriving, so your revenue and financial status are also factored into determining your premium.
Why Choose Sharp Insurance?
Since its inception in 2009, Sharp Insurance has been providing exceptional services as an award-winning brokerage. We highlight our strengths below, which include:
- Customization: With our large network of insurance providers, we provide you with the best options for your business needs.
- Expert advice and customer service: For the duration of our partnership, we will provide you with risk management recommendations and insurance advice from experts with years of insurance and risk management experience.
- Save money: As your brokers, we will always work hard to shop for the best current deals in the market without any hassle or effort required from you.
Who Needs D&O Insurance in Canada?
Anyone who is making decisions within an organization is eligible for directors and officers insurance. As a decision maker, you’re exposed to risks from not only other shareholders, but your customers, vendors, partners, employees and creditors. Directors and officers insurance typically covers the following:
- Various shareholder actions.
- Decisions exceeding the authority granted to the board member.
- Reporting erroneous material.
- Employment practices & HR issues.
- Misrepresentation.
- Failure to comply with regulations or laws.
- Inaccurate disclosure (e.g., profitability).
What is NOT Included in a D&O Policy?
Directors and officers insurance does not cover criminal or fraudulent activities, as well as intentionally non-compliant actions.
When setting up your directors and officers insurance policy, our brokers will discuss certain details, including policy limits, policy duration and relevant provincial laws and regulations.
Talk to one of our expert brokers to hash out the details of your directors and officers insurance policy and get a better understanding of the coverage you need. With our wide network of insurance providers, we can help you find affordable coverage.
Areas We Serve
Alberta| Calgary | Edmonton | Fort McMurray| Grande Prairie| High Prairie|
Lethbridge| Medicine Hat | Red Deer| Whitecourt
Ontario| Kanata| Ottawa| Toronto
Manitoba | Saskatchewan| British Columbia
Our insurer partners offer the best
rates and coverage options!
Did You Know?
If you’re on the board of a non-profit organization and you’re sued for negligent misrepresentation, you may have to pay out-of-pocket without proper insurance coverage. Make sure you have directors and officers insurance ahead of time to cover your legal expenses in case you are sued. D&O insurance also covers management decisions.
Did You Know?
If you’re on the board of a non-profit organization and you’re sued for negligent misrepresentation, you may have to pay out-of-pocket without proper insurance coverage. Make sure you have directors and officers insurance ahead of time to cover your legal expenses in case you are sued. D&O insurance also covers management decisions.