Outside Entity Executive (D&O)

An Outside Entity Executive is an insured person who serves as a director, officer, or trustee of an outside entity. They must do so at the company's request, or with its knowledge and consent. This cover extends the parent company's policy. It protects people serving on outside boards, such as subsidiary boards, joint venture boards, industry bodies, charities, or portfolio company boards. It fills a gap where the outside entity has little or no D&O insurance of its own. Cover usually sits above any insurance or indemnity the outside entity provides. The key rule is that the role must be held at the company's request, or with its knowledge and consent. A purely personal directorship is not covered. In Australia, this cover matters when executives sit on not-for-profit boards, startup boards with little insurance, or government advisory bodies. Many policies also carve back some standard exclusions that would otherwise bar claims between insured parties. This means genuine Outside Entity claims are not automatically shut out, though the exact carve-backs vary by insurer.

An Outside Entity Executive is an insured person who serves as a director, officer, or trustee of an outside entity. They must do so at the company's request, or with its knowledge and consent. This cover extends the parent company's policy. It protects people serving on outside boards, such as subsidiary boards, joint venture boards, industry bodies, charities, or portfolio company boards. It fills a gap where the outside entity has little or no D&O insurance of its own. Cover usually sits above any insurance or indemnity the outside entity provides. The key rule is that the role must be held at the company's request, or with its knowledge and consent. A purely personal directorship is not covered. In Australia, this cover matters when executives sit on not-for-profit boards, startup boards with little insurance, or government advisory bodies. Many policies also carve back some standard exclusions that would otherwise bar claims between insured parties. This means genuine Outside Entity claims are not automatically shut out, though the exact carve-backs vary by insurer.