Every decision that directors and officers (D&O) of a company make has the potential to be scrutinised by clients, employees, shareholders and peers. These stakeholders may pursue legal action if they believe a decision adversely affects their best interests. And the stakes are high—directors and officers risk losing their personal assets if they are ever involved in legal action for a decision made in the course of performing their regular duties.
As a business owner, it is vital to have the proper risk management in place so you can attract talented directors and officers to your company. Consider tweaking the following three aspects of your business to boost your D&O risk management strategies.
Prior to hiring a new director or officer, review your corporate structure to make sure your practices are sound and secure. Focus your review on the following:
[idz_button url=”/wp-content/uploads/2015/03/Risk-Insights-Managing-Risks-for-Directors-and-Officers.pdf” color=”green” size=”medium” type=”round” target=”_blank”] Download the full article to find out more [/idz_button]