Twice in two weeks I have reviewed professional liability insurance policies with an exclusion for:
"any claim arising out of or connected with... an entity... in which any insured is a director, officer, partner or principal stockholder."
So,
"any claim arising out of or connected with... an entity... in which any insured is a director, officer, partner or principal stockholder."
So,
a consultant who volunteers as a board member for a nonprofit who at the same time acts as an advisor to the entity, is not covered.
Main Point: Read your insurance policies (or have someone else read them) focusing on the exclusions. Consider how each impacts the operation of your business.
Main Point: Read your insurance policies (or have someone else read them) focusing on the exclusions. Consider how each impacts the operation of your business.
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