Directors and Officers Insurance Is Not Lender Liability Insurance

I got an email this morning from an insurance agent asking questions about bank insurance.

He had been reading my book on bank directors’ and officers’ (d&o) insurance and wondered why there was no info on the bond or on lender liability.

The book covers D&O insurance – not the bond – not auto insurance – not other types of insurance. Lender liability is a part of management liability. D&O is also a part of management liability.

I told the agent he had fallen into the trap of labeling “management liability” as “D&O insurance.”

Sections of Mgt Liab –
-D&O liability
-Lender liability
-Fiduciary liability
-Cyber liability
-Employment practices liability
-Bankers professional liability

Directors’ and officers’ is a part of management liability. All D&O policies are management liability insurance. Not all management liability insurance is directors’ and officers’ insurance.