Also known as: Side C · Entity Coverage · Company Securities Coverage
D&O coverage that protects the company itself for securities claims brought against it.
Side C is the part of a D&O policy that covers the company as an entity—not just its individual directors and officers. In public company D&O, Side C is typically limited to securities claims (e.g., shareholder lawsuits alleging the company misrepresented its financial position). For private companies and startups, Side C is often broader—depending on the carrier and policy form—and may cover a wider range of claims against the entity, including employment practices, regulatory investigations, and breach of fiduciary duty claims brought against the company itself.
Side C is the part of a D&O policy that protects the company itself, not just individual directors and officers. For public companies, Side C typically covers only securities claims against the entity. For private companies and startups, Side C is often broader and may cover various claims brought directly against the company alongside its leadership.
Yes, startups should include Side C coverage. While public company Side C is limited to securities claims, private company Side C often provides broader entity coverage for employment practices, regulatory actions, and other claims. This protects the company's assets when it's named alongside directors and officers in a lawsuit, which is common in startup litigation.
Side C for private companies is broader than for public companies. While public company Side C is restricted to securities claims, private company Side C often covers the entity for employment practices liability, regulatory investigations, and other claims where the company is sued alongside its directors and officers. Coverage scope varies by policy.
Definitions are educational and may be modified by your specific policy language, endorsements, and state rules. For regulatory guidance, refer to the California Department of Insurance or the NAIC.
Last updated: July 2026.