Management Liability Insurance

Protecting Your Business and Leadership Team

Running a company comes with responsibilities — and risks. Directors, officers, and senior managers face potential personal liability for decisions made in the course of their duties. Without the right cover, both the business and its leadership can be exposed to costly claims, investigations, and legal actions.

At Clarke Lyons, we specialise in arranging management liability insurance that protects both companies and individuals from these risks.

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What Is Management Liability Insurance?

Management liability insurance is designed to protect directors, officers, and businesses from the financial consequences of actual or alleged mismanagement.

It typically provides cover for:

• Directors & Officers Liability – protection for personal assets if directors are held personally responsible.

• Company Liability – cover for claims made directly against the business.

• Employment Practices Liability – defending claims such as unfair dismissal, harassment, or discrimination.

• Regulatory Investigations – covering legal and defence costs arising from official inquiries.

• Crime Cover – protection against employee dishonesty, theft, or fraud.

• Tax Audit Expenses – assistance with the costs of audits and investigations.

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Why Is Management Liability Insurance Important?

Even with strong governance, allegations and claims can arise. Management liability insurance:

• Protects personal assets of directors and officers.

• Safeguards the company balance sheet against costly claims.

• Helps navigate regulatory scrutiny with expert defence.

• Provides peace of mind to business leaders and shareholders.

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Who Needs It?

This insurance is valuable for:

• Small to medium enterprises (SMEs).

• Private companies and partnerships.

• Not-for-profits and associations.

• Businesses with employees or external stakeholders.

If you manage people, handle finances, or make strategic decisions, your organisation can benefit.

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Why Choose Clarke Lyons?

• Specialist Knowledge: We understand management liability and tailor cover to your risks.

• Australia-wide Service: Trusted by businesses across Sydney and nationwide.

• Independent Advice: As a brokerage, we compare insurers to find the right protection.

• Personalised Support: Guidance from claim through to renewal.

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Get a Quote Today

Protect your business and its leaders with the right insurance.
 

FAQ Section

What does management liability insurance cover?

It covers directors, officers, and the company against claims such as mismanagement, employment practices disputes, fraud, or regulatory investigations.

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How much does it cost?

Premiums vary based on your business size, industry, and risk profile. Clarke Lyons can provide tailored quotes.

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Is it the same as professional indemnity?

No. Professional indemnity covers advice or services given to clients, while management liability covers the running of the company itself.

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Do small businesses need it?

Yes. SMEs are often more financially vulnerable to legal costs and claims, making this cover particularly important.