Negative Aspects of Directors and Officers (D&O) Policies Itâs important to note that workplace claims are not properly covered under D&O insurance policies. The policy coverage with the employer generally doesnât cover most inappropriate conduct, such as sexual and verbal harassment. Commonly enough, the employer may find that theyâre not protected from the insurance company due to the offense not fitting within the set criteria in the policy. In fact, D&O policies can often lead to the employer discovering that theyâre not protected at all and that the policy covers security claims alone. Explore Insurance Policies for Workersâ Compensation While workersâ compensation policies often treat the insured only as physical claims. This means that workers who are seeking help with non-physical issues, such as emotional harassment and distress, may not be covered at all. The stateâs statuary requirements will set the minimal coverage and often times, no additional coverage is offered to employees. As a result of this restrictive insurance coverage, D&O policies are generally not in favor of the workers and the number of potential reasons why workersâ compensation may be needed. Before making a decision, the employer should consider the ideal type of coverage for their worker and whether it has the potential to resolve any claims that may be made. Click here for the legal facts and information that can only come from experience.