D&O Insurance Programs for Private Equity Firms

Many private equity firms have realized the value of actively managing the directors’ and officers’ liability insurance programs of their different portfolio companies. Portfolio company D&O insurance is the first line of defense for outside directors, but also can protect the balance sheet of investments.

There are various reasons why proper D&O insurance coverage may not be in place at the portfolio company level:

• CFO did not purchase adequate coverage
• Coverage was canceled by the carrier
• Coverage was not adequately negotiated by the insurance broker or PE firm

Taking a deliberate approach to portfolio company D&O insurance enables PE firms to employ buying leverage to minimize costs and achieve broader coverage.

Download our white paper to understand the different program structures available, other coverages to consider, and tips and tools to manage these programs efficiently.