Directors and Officers (D&O) insurance is a type of liability insurance that offers directors and officers of a corporation financial protection from litigation resulting from their official actions or decisions. D&O insurance pays for defense expenses and losses brought on by wrongdoings including negligence, carelessness, mistakes, omissions, poor management, and other claims of a like nature. D&O insurance is crucial for companies because it shields directors and officers from personal liability for actions taken while acting in their official capacities. Directors and officers risk having to cover legal costs and damages out of their own pockets if they don’t have D&O insurance. Since bright directors and officers feel more safe knowing that they are covered from future litigation, D&O insurance can also help to draw in and keep talented directors and officers.
Contrarily, Commercial General Liability (CGL) insurance covers a variety of risks to which firms are exposed, such as bodily injury, property damage, and claims for advertising injury. CGL insurance covers third-party claims for physical injury, property damage, and personal injury made against a company, its owners, and its workers. Businesses that deal with the public need CGL insurance because it protects them from lawsuits alleging carelessness in connection with mishaps or incidents that take place on their property.
There are normally two limits in CGL policies: an aggregate limit and a per-occurrence limit. The aggregate limit is the maximum amount the policy will pay for all claims made during the policy period, while the per-occurrence limit is the maximum amount the policy will pay for a single claim. The kind and size of the firm, the risks involved, and the required level of coverage all affect the CGL insurance limits and prices.
The categories of vehicles covered by an auto insurance policy are fleet and non-fleet. While non-fleet policies cover a single vehicle owned by an individual or a business, fleet insurance policies cover many cars owned by a company. Compared to non-fleet plans, fleet insurance policies are typically less expensive and offer more extensive coverage.
In the context of motor insurance, PPT stands for “per passenger trip”. For a single trip or journey, PPT coverage offers liability protection for passengers riding in a commercial vehicle. Businesses that offer transportation services, like taxis, buses, and limousines, frequently use PPT coverage. Depending on the number of passengers and the kind of vehicle being utilized, different amounts of coverage apply.
D&O insurance, in summary, shields directors and officers from personal responsibility resulting from their official capacities. CGL insurance offers protection against third-party lawsuits for bodily harm, property loss, and personal injury brought against a company. While non-fleet policies cover single vehicles, fleet insurance policies cover a business’s whole fleet of vehicles. For a single trip or journey, PPT coverage offers liability protection for passengers riding in a commercial vehicle. In order to cover their risks and safeguard their assets, businesses must have extensive insurance coverage.