.jpg?width=230&height=32&name=BBRetail001-CMYK%20(1).jpg){kind=small}
-
Industries
-
Solutions
- Captive Insurance
- Cyber Insurance
-
- Employee Benefits Solutions
- Employee Benefits Administration and Technology
- Employee Benefits Compliance Support
- Data Analytics Solutions - HR and Finance Leaders
- Population Health and Well-Being Services
- Pharmacy Benefits
- Voluntary Employee Benefits and Lifestyle Benefits
- Medicare for Employers and Employees
- Non-Medical Benefits and Absence Management Solutions
- Employer Stop Loss
- Multinational Liability Insurance
- Surety Bonds
- Trade Credit Risk Solutions
-
- Agriculture
- Architects and Engineers
- Dealer Services
- Energy and Power
-
- Commercial Marine Insurance
- Recreational Marine Business Insurance
- Aquaculture Insurance
- Marine Cargo and Transit Insurance
- Marine Crew Medical Insurance
- Marine Hull and Machinery Insurance
- Marine Claims Service
- Marine Contractors Insurance
- Marine Liability Insurance
- Marine Ports and Terminals Insurance
- Marine Protection and Indemnity Insurance
- Sailing - Burgee Program
- US Sailing Insurance Programs
- Nonprofit
- Private Equity
- Public Sector
- Technology and Data Centers
- Tribal
-
- Captive Insurance
-
- Cyber Insurance
-
- Employee Benefits Solutions
- Employee Benefits Administration and Technology
- Employee Benefits Compliance Support
- Data Analytics Solutions - HR and Finance Leaders
- Population Health and Well-Being Services
- Pharmacy Benefits
- Voluntary Employee Benefits and Lifestyle Benefits
- Medicare for Employers and Employees
- Non-Medical Benefits and Absence Management Solutions
- Employer Stop Loss
- Multinational Liability Insurance
-
-
- Surety Bonds
- Trade Credit Risk Solutions
You are leaving bbrown.com.
By accessing this link, you will be leaving Brown & Brown’s website and entering a site hosted by another party. Please be advised that you will no longer be subject to the privacy and security policies of Brown & Brown’s website. We encourage you to read and evaluate the privacy and security policies of the site you are entering, which may be different than those of Brown & Brown.
Executive Risk Management | Real Estate
Protecting Leadership in Commercial Real Estate
In the dynamic and competitive world of commercial real estate, legal and financial challenges are constant. Directors and officers (D&O) liability insurance is more than just protection—it’s a strategic asset for stability and growth.
Real estate firms face lawsuits from competitors, tenants, employees, investors, lenders and regulators, putting both the organization’s balance sheet and its leadership’s personal assets at risk. A well-structured D&O insurance program mitigates these risks, attracts top talent and strengthens investor confidence, enabling real estate firms to secure capital and navigate complex financial landscapes with confidence.
Executive Risks Facing Commercial Real Estate Companies
Commercial real estate companies operate under diverse structures, including Real Estate Investment Trusts (REITs), partnerships, limited liability companies (LLCs) and corporations (private or public). Each structure brings its own set of challenges, exposing directors and officers to a wide range of legal and financial risks.
D&O policies are designed to address these risks, which can arise from various events, including:
- Employment-related matters: Wrongful termination, failure to hire, workplace discrimination or harassment, hostile work environment and gender pay disparities
- Misrepresentation of investment information: Including company assets or income
- Investor lawsuits: Claims from limited partners or other investors alleging mismanagement of investments
- Cyber-related exposures: Mismanagement or misrepresentation of cyber risks
- Breaches of fiduciary duty: Particularly in cases of financial losses or insolvency
- Regulatory violations: Breaches of laws, regulations or rules governing the business
- Mergers & Acquisitions (M&A): Claims related to tender offers, roll-ups of minority interests, or other M&A activities
- Joint venture litigation: Disputes, especially when joint ventures unwind
- Initial Public Offering (IPO) risks: Exposures tied to REITs going public, whether through a traditional IPO or a De-SPAC transaction
- Third-party lawsuits: Claims from tenants, building owners, and creditors
FAQs
Directors & officers (D&O) liability insurance protects the personal assets of directors and officers from significant financial loss due to legal actions brought against them in their roles. It also provides protection for the organization itself, whether it’s named as a defendant, targeted in a claim or required to indemnify a director or officer for a covered wrongful act. This coverage is essential for mitigating risks and ensuring real estate leadership can focus on driving the organization forward.
While D&O insurance provides critical protection, it’s important to understand that certain risks and claims may be excluded from coverage. Common exclusions include:
- Pollution and environmental issues
- ERISA matters
- Contract exclusions
- Bodily injury/property damage (other than personal injury for employment matters)
- Professional liability*
- Adjudicated fraud or illegal personal profiting
- Claims by major shareholders
- Claims by Insureds against other Insureds (except for employment-related matters)
- Property manager/developer exclusions specific to real estate operations
*Professional Liability for investment decisions, excluded under the D&O, can be considered for coverage by combining with D&O and Fund Liability under a package policy. A professional liability policy can address matters tied to errors, omissions, or misrepresentations with investment decisions made by the real estate firm.
Determining the right policy limits for your D&O insurance is a critical decision. Brown & Brown offers peer group benchmarking studies tailored to your business, providing valuable insights into industry standards. As a broker with deep knowledge of the real estate sector and its evolving liability landscape, we can help guide you in selecting the appropriate coverage.
Our team works closely with your board and legal counsel to facilitate informed discussions, ensuring the recommended insurance limits align with your organization’s unique needs.
Additional Resources
ESOPs: The Importance of Risk Management and Insurance Planning
Employee stock ownership plans (ESOPs) are increasingly popular, especially for smaller to mid-sized companies. These innovative plans have been around for decades, with high-profile examples like Avis in the 80s and United Airlines in the 90s. But ...
How Deregulation Could Affect Your Financial Services Business
Key takeaways: The new presidential administration is likely to prioritize a deregulatory agenda. The 2008 financial crisis demonstrated the risks of banking deregulation and weak oversight. Protect your organization by focusing on governance and ...
How Will States with Pay Transparency Laws Affect You?
California, New York, Washington, and Rhode Island have joined the growing list of states that require employers to communicate salary ranges for job openings. This is a big change from the past when companies kept salaries private to:
Market Trends
Our 2026 report unites Brown & Brown and Risk Strategies resources, knowledge and proven experience to deliver stronger insurance solutions for commercial insurance, employee benefits and personal insurance.Explore Other Executive Liability Insurance Solutions
Connect with Brown & Brown
Schedule a consultation with our Brown & Brown team to explore how tailored funding strategies can help you manage costs, reduce risk, and support your employees. Learn how Brown & Brown can help protect your plan and your people through customized stop loss solutions.