Directors & officers liability insurance
D&O insurance protects board members and senior managers when they are personally sued over decisions they made running the company, covering legal defence costs and compensation. It suits listed and private companies, family businesses and other organisations with a board in Qatar. We request offers from several insurers licensed by Qatar Central Bank, explain how each policy treats the people and claims covered, arrange the policy and follow up any claim with the insurer.
In QatarUnder Commercial Companies Law No. 11 of 2015, the chair and board members are jointly liable to the company, shareholders and third parties for fraud, misuse of authority and breaches of the law or the company's articles.
- Protects the personal assets of directors and officers
- Defence costs advanced while the case is ongoing
- Independent advice on limits and policy wording
- We follow your claim with the insurer throughout
Cover at a glance
- Personal liability of directors and officers for errors, omissions and neglect in management, whether actual or alleged
- Legal defence costs, including regulatory investigations (policy dependent)
- Court awards, and settlements the insurer agrees to
- Reimbursing the company when it pays on its directors' behalf
- Securities claims against listed companies (policy dependent)
- Employment practice claims such as unfair dismissal (policy dependent)
Cover
What is covered
- Personal liability of directors and officers for errors, omissions and neglect in management, whether actual or alleged
- Legal defence costs, including regulatory investigations (policy dependent)
- Court awards, and settlements the insurer agrees to
- Reimbursing the company when it pays on its directors' behalf
- Securities claims against listed companies (policy dependent)
- Employment practice claims such as unfair dismissal (policy dependent)
What is not covered
- Proven fraud, deliberate breach of the law or personal gain the person was not entitled to
- Claims brought by the company, another insured person or major shareholders, except in set cases (policy dependent)
- Claims known or pending before the policy started
- Bodily injury and property damage
- Fines and penalties that cannot legally be insured
For information only. Final terms and conditions are set by the policy document issued by the insurer.
How to make a claim
Documents you'll need for each type of claim:
Claim against a director or officer
- Policy number or a copy of the policy
- Claim letter, legal notice or court papers
- Copy of the company's commercial registration (CR)
- Board minutes and documents about the decision
- Summary of events and names of the people involved
Regulatory investigation
- Policy number or a copy of the policy
- Notice or letter from the regulator
- Copy of the company's commercial registration (CR)
- Summary of the matter under investigation
Need to make a claim?
Frequently asked questions
Who is covered by a D&O policy?
Usually all past, present and future board members and senior managers of the company and its subsidiaries, as the policy defines them. Some policies also cover employees named in a claim alongside a director.
Why do we need D&O if the company can defend us?
The company may be unable or not allowed to pay, for example if it is in financial difficulty or shareholders or a liquidator sue the directors. In those cases the policy protects the individual's personal assets, within its terms.
Does the policy cover past decisions?
Most policies cover claims made while they are active, even about past decisions, unless the circumstances were already known or fall before a retroactive date, if there is one. Keep cover continuous, and ask about run-off cover when a director leaves or the company is sold.
Do family and private companies need D&O?
Yes. Claims can come from partners, shareholders, creditors, employees or regulators, not only market investors. But some policies exclude claims by major shareholders or between insured people, so we check these terms closely for family companies before requesting offers.