nonimputation provision
A nonimputation provision is a clause found in directors and officers (D&O) and professional liability policies stating that intentional misstatements or omissions in the application (e.g., failure to mention circumstances likely to produce a claim in the future) will not bar coverage for individuals who did not sign the application.
nonimputation provision
A nonimputation provision is a clause found in directors and officers (D&O) and professional liability policies stating that intentional misstatements or omissions in the application (e.g., failure to mention circumstances likely to produce a claim in the future) will not bar coverage for individuals who did not sign the application.
Additional Information
In the absence of nonimputation provisions, such persons would otherwise be denied protection under the policy given these misstatements or omissions. In some instances, the nonimputation provision appears in the application for coverage, rather than in the actual policy form.
Synonyms
severability provision
