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DIRECTORS
& OFFICERS
INSURANCE
While a general liability policy offers
protection if someone takes legal action
against the association, it usually doesn't
extend to individual board members,
managers, committees, or volunteers.
A directors and officers (D&O) policy
protects individuals from personal liability
when a lawsuit is brought against them.
What it covers:
• Breaches of fiduciary duties
• Failing to follow the association's
bylaws
• Discrimination or harassment
• Other wrongful acts committed
while performing duties
Carrying a D&O policy ensures that
individual liability claims are covered and
board members, committee members,
volunteers, and community managers
aren't financially responsible for damages
and legal fees. Every association should
have at least $1 million in D&O coverage.
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