Directors and Officers Liability Insurance

Did you know that your responsibilities as a board member or executive make you personally liable, even if you are volunteering on the board of directors of a non-profit organization? You face several risks, for example that of being personally sued if the organization fails to pay its employees.


Most of the people who volunteer in Quebec in countless organizations are unaware of their personal liability and the associated risks. The liability is the same whether it is for a club, league, charity, association or any non-profit organization.

A J. Gérard Fortin broker will help you choose the right insurance to cover all the members of your board against such risks.

Directors and officers liability insurance for for-profit companies (private or public).

Although strategic decisions are made by the board of directors, they are implemented by the management of the company. Both are therefore exposed to various types of personal law suits.

They can also be held personally responsible for:

  • Activities carried out by volunteers or employees on behalf of the company
  • Non-payment of at-source deductions at the various levels of government
  • A declaration of dividends making the company’s situation precarious
  • Unjustified dismissal
  • Discrimination against a staff member

It is therefore essential to ensure that you are protected by an appropriate directors and officers liability insurance policy before getting involved an organization or accepting a position on a board of directors. It covers the costs that the directors and officers may be legally and jointly liable for following a prejudicial act attributed to any of the directors or officers.

This type of policy usually excludes risks related to pollution and nuclear power and certain specific risks, for example those which should be covered by civil liability insurance, gains made by directors in the course of their duties, insider trading, etc.

An expert broker from J. Gérard Fortin will be able to provide you with the information and documents you need to enable you to effectively present an appropriate solution to your board of directors.

Get a quote online for your business.
Questions? Contact a broker at 514.729.6001 or write to us.