If there is a form of professional liability insurance that few, if any, organizations can't afford to do business without, it's Directors & Officers (D&O) liability insurance.

There are a wide variety of D&O insurance products and options available, but one of the most valued by individual directors and officers is the Side A insurance policy. Side A insurance provides direct coverage for individual directors and officers when the organization is legally unable or unwilling to indemnify its directors and officers. Two of the more common reasons for this failure to indemnify are the bankruptcy or insolvency of the organization or a legal prohibition against indemnification.

Without the added benefit of Side A coverage, if an unindemnifiable claim situation were to arise, the individual directors and officers could be personally exposed to significant legal expenses, judgments and settlements. Moreover, without the benefit of a Side A policy, an organization may find it difficult to recruit, attract and retain the most qualified candidates for its operations and corporate governance.