Security Holder Exclusion

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What does Security Holder Exclusion mean? Read on to discover the definition & meaning of the term Security Holder Exclusion - to help you better understand the language used in insurance policies.

Security Holder Exclusion

Security Holder Exclusion

An exclusion in directors and officers liability (D&O) policy forms for claims brought by stockholders of the organization with the assistance, or on the urging, of any director or officer. The intent of the exclusion is to prevent so-called infighting claims in which a director/officer sues another director/officer by using a security holder in the organization as a "front."

We hope the you have a better understanding of the meaning of Security Holder Exclusion.

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