Home > Glossary

Advancement Of Defense Costs Provision

Advancement of Defense Costs Provision

Definition

A provision in directors and officers (D&O) liability policies obligating the insurer to pay defense and indemnity costs as incurred. Such provisions eliminate the need for insured directors and officers or the corporate organization to pay such costs prior to receiving reimbursement from the insurer. This is an important aspect of D&O coverage because both defense and indemnity expenses associated with claims against directors and officers are considerable.

Related Products

Register for CRC
Register for AgriCon Des Moines
Prelicense.com

Navigation

Social Media

User ID: Subscriber Status:Free