Introducing Ironclad™: When commercial insurance gets personal


Corporate governance is evolving at a rapid pace. Increased disclosure, communication, audit requirements and litigation are exposing board members to considerably more legal and financial risk—and in many cases, their personal assets can also be at stake.

To address this specific limitation of existing D&O policies, RSA recently introduced Ironclad™; a cutting-edge, comprehensive Side A DIC (Difference in Conditions) insurance policy designed to bridge the gap between unavailable corporate indemnification, an unresponsive or exhausted underlying D&O policy, and the directors’ and officers’ personal assets. 

Where D&O coverage ends: what you need to know

In sectors facing greater risk - such as oil, gas and manufacturing - comprehensive Side A DIC policies are quickly becoming a requirement for protecting a company’s senior leadership.

This risk is as much of a reality for large global companies as it is for small and medium size businesses. Ironclad™ is a broad, unique policy, separate from the underlying D&O coverage,  that has two distinct purposes:

  1. It provides excess cover on top of the underlying D&O polices.
  2. It provides broader coverage than the underlying D&O policies, dropping down to fill gaps that underlying D&O policies do not cover for individual directors and officers.

Five scenarios can trigger Side A DIC coverage. If the insurer of the underlying D&O policy:

  • refuses or fails to indemnify a director or officer within 45 days of a request
  • is financially unable or legally prohibited to indemnify
  • rescinds or voids the underlying D&O policy
  • is unable or refuses to pay
  • Is not liable to pay because the underlying D&O policy does not cover the loss

Why choose Ironclad™?

Side A Difference in Conditions (DIC) insurance coverage will be triggered by broad scenarios and cover an expansive list of loss. It provides directors and officers:

  • Quick turnaround times
  • Coverage certainty
  • Flexible reporting
  • Dedicated limit of liability


To learn more visit our Ironclad™ page here.

*Click here to read an article on Ironclad™, originally published in Insurance Business