Some directors and officers (D&O)liability policies include an insuring agreement that covers the legal liability of a corporation arising out of the acts of directors and officers.This coverage for the organization is called

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The coverage for the organization that covers the legal liability of a corporation arising out of the acts of directors and officers is called entity coverage. This type of coverage is specifically designed to protect the corporation itself rather than the individuals within the organization. The coverage operates on a reimbursement basis, meaning that the corporation is reimbursed for any losses it incurs as a result of legal action taken against it.

Some Directors and Officers (D&O)liability Policies Include an Insuring Agreement