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Types of D&O Insurance Policies

D&O insurance policies generally fall into three categories:

• Side A Coverage: Protects individual directors and officers when the company cannot indemnify them.
• Side B Coverage: Reimburses the company when it indemnifies directors and officers.
• Side C Coverage: Also known as "entity coverage," this protects the company itself when it is named in a lawsuit alongside directors and officers².

Each type of coverage serves a specific purpose, and many startups opt for a combination of these to ensure comprehensive protection.