D&O
Business & Finance abbreviation · Insurance
| Stands for | Directors and officers liability insurance |
|---|---|
| Categories | Business & Finance |
D&O stands for Directors and officers liability insurance, an insurance abbreviation.
Insurance protecting company directors and officers against personal losses from lawsuits alleging wrongful acts in managing the company, such as breach of fiduciary duty or misleading shareholders, and protecting the company when it indemnifies them.
Example: No experienced board member will join without strong D&O coverage.
Usage notes
Policies typically have three parts: Side A covers individuals when the company cannot indemnify them, such as in bankruptcy; Side B reimburses the company for indemnifying them; and Side C covers the company itself, mainly for securities claims. Startups often buy D&O when they take on outside investors and board members. Nonprofit boards buy it too.
Related abbreviations
More insurance abbreviations
- COLL – Collision coverage
- COMP – Comprehensive coverage
- CPI – Collateral protection insurance
- CSL – Combined single limit
- CSV – Cash surrender value
- CTP – Compulsory third party insurance
- DOI – Department of insurance
- DOL – Date of loss
- DP-3 – Dwelling property 3 special form
- E&O – Errors and omissions insurance
- E&S – Excess and surplus lines
- EL – Employers' liability insurance