All companies are at risk of claims for loss or damage - real or alleged - incurred in the course of their operations. A company's exposure to this risk is governed by a number of factors, such as its contractual obligations, area of operations and geographic presence.
Söderberg & Partners' definition of risk within the area of responsibility is: "The threat that an event, an act or omission of an act or some other circumstance may have a critical effect on people, products, assets, the environment and/or a company's reputation and position."
In extreme cases, very large claims can jeopardise a company's survival, but even if that is not the case, they usually involve costly and time-consuming work. This is why it is important for company management to focus on a high level of awareness and knowledge of this risk. Söderberg & Partners' specialists offer both liability-related advice and the design and placement of insurance solutions.
Directors' and Officers' Liability Insurance
The climate of growing corporate governance and public requirements and expectations of CEOs and boards means that the focus is increasingly on individuals in senior positions. Individuals in these positions may be subject to personal payment liability in different situations, and their personal assets are consequently at risk in these situations.
In short, Directors' and Officers' Liability Insurance covers defence costs and any imposed costs of damages. There are a number of questions to consider when taking out this form of insurance, and Söderberg & Partners' specialists are able to offer expert advice and to help with the design and placement of insurance cover.