Once unknown or misunderstood by many privately owned businesses, directors & officers' (D&O) liability insurance has been pushed onto the radar by the recession and national headlines.

While the reasons for purchasing D&O liability coverage have become less of a mystery, the question remains: Is D&O liability insurance "nice" or "necessary"?

Too many private businesses still view it as a nicety, leaving them exposed to potentially serious risk. Yet what leaders of private companies might not realize is that nearly 74 percent of private D&O claims are tied to direct shareholder/investor suits or employment-related issues.

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