What is D&O Liability?
RPS Bollinger's combined plan of Directors & Officers Liability (D&O) and Employment Practices Liability (EPLI) insurance provides protection for lawsuits stemming from actual or alleged wrongful acts and errors and omissions against the directors and officers of 501c3 Non-Profit Sports Organizations, as well as their employees and volunteers. The policy provides protection for suits brought against the sports organization as an entity, as well as individuals who are acting in an official capacity on behalf of the organization.
Coverage Description & Policy Limit Options:
D&O Option 1)
$1M per claim/$1M per policy term, $0 Deductible, Defense Costs: In addition to policy limits
Option 1 Annual Premium: $495
D&O Option 2)
$2M per claim/$2M per policy term, $0 Deductible, Defense Costs: In addition to policy limits
Option 2 Annual Premium: $963
This plan does not provide coverage for lawsuits involving bodily injury or property damage. Those types of claims are meant to be covered under the organization’s General Liability policy.
Please note: This coverage is written on a “claims made basis.” All claims under this policy must be reported to the insurance company within the policy term in order to be eligible for coverage.
Examples of D&O/EPLI Claims Scenarios:
- Discrimination: Lawsuits alleging discrimination can arise when a league chooses one coach over another; or when selecting players for elite or all- star teams.
- Sexual Harassment: Whether in the office or out on the field, a member of the organization may harass a volunteer, player or other employee. Not to be confused with Sexual Abuse (which is Bodily Injury), harassment claims are among the most common types of claims under this policy.
- Wrongful Suspension/Dismissal: How the organization disciplines or terminates coaches, players or even board members when they violate the code of behavior can often result in a lawsuit.
- Acting Beyond Authority: In the event a coach, board member or volunteer makes decisions beyond his/her authority, a lawsuit may arise. Even in cases where they are simply enforcing existing rules, people who don’t like those rules can file a lawsuit.
For-profit organizations are not eligible for coverage under this
Program. Contact RPS Bollinger for a quote.
Underwriting Carrier: Chubb Group of Insurance Companies, Warren, NJ. Chubb is rated
"A++ (Superior), XV" by A.M. Best's rating service.