For more information contact:
COX MORRIS INSURANCE BROKERS Child Care
5250 Roblin Boulevard
R3R 0H1 and
MANITOBA CHILD CARE ASSOCIATION
2nd Floor, 2350 McPhillips Street
Toll Free: 1-888-323-4676 (MB ONLY)
Email: email@example.com Directors
Manitoba Child Care Association
2nd Floor, 2350 McPhillips Street
January 2008 Winnipeg, Manitoba
Why Directors & Officers Insurance?
Board members may be personally sued for as follows: At common law, a director (of a Board) is
wrongful acts. always required to act in the best interest of
• Libel and slander (hence the need for this the corporation. Directors on boards of non
Your MCCA Centre General Liability insurance coverage in Centre Liability Plan) profit corporations have duties of honesty,
does not cover wrongful acts. Directors • Failure to effect and maintain adequate loyalty, care, diligence, prudence, and skill.
& Officers Insurance provides a legal insurance coverage
defense and possible compensatory awards • Dishonest, fraudulent or criminal acts
to a claimant if a suit for a wrongful act is filed of the insured and personal profit or Lapse of the policy will result in
against your board members, centre or advantage to which they were not total cancellation of coverage for possible
employees. entitled claims, which may have occurred prior to the
policy cancellation. In the case the insured
Coverage The following examples could be considered (the Board, the centre and the employees)
forms of negligence, errors, omissions; may be responsible for damages awarded, in
Directors & Officers insurance coverage agrees addition to their defense costs.
to reimburse the Board of Directors, the Breach of Duty
centre, or the employees for amounts they • Negligence in ensuring acceptable criteria
are legally obligated to pay for claims made is followed in the selection/approval of DEDUCTIBLE AND COVERAGE
against them for wrongful acts, including the employees
costs of defending any such claim. Wrong- • Negligence by which an employee is The policy has a deductible of $1,000.
ful acts are usually defined as meaning any dismissed (wrongful dismissal) The Limit of Liability is dependent upon the
breach of duty, neglect, error, misstatement, limit of coverage purchased.
misleading statement, omissions or other Discrimination
wrongful acts. Such claims may be ruled by a • Any person is barred from participating The plan covers legal fees if you are served
court of law if proven that a person(s) suffered in the centre due to race, age, religion, or with a legal suit for a wrongful act. In the
damage or settled “out of court” on the sex event, you must contact us immediately and
defendants behalf by the insurance company. we notify the Insurance Company who will
(If a centre is ever served with a legal suit, Conspiracy: failure to disclose material assign an adjuster to handle any possible
please contact Cox Morris Insurance Brokers facts claim and a lawyer if it develops into a
immediately so we can inform the Insurance • A board member has family members scenario that will go to court.
Company.) employed in the centre even though
there might be better qualified people You can obtain a premium quote and a
Like all insurance policies this policy does not • The board may be aware of unhealthy proposal form from Cox Morris Insurance
cover every possible risk. conditions in the centre and does not take Brokers. Return it to the broker for approval,
adequate preventative steps to prevent who will send you the Certificate of
Some of the principal exclusions contained in possible injury to children Insurance.
the Directors and Officers Insurance Policy are