Management Liability Insurance Broker
Protecting Business Owners, Directors & Managers Across Australia
Running a business comes with responsibility — not just to customers and staff, but also to regulators, shareholders, and stakeholders.
Management Liability Insurance helps protect company directors, officers, and managers from the personal and financial risks that can arise from everyday business decisions. At Clutterbuck Insurance Brokers, we help Australian small to medium businesses — including those in Toowoomba, the Gold Coast, and across Australia — understand, structure, and maintain Management Liability cover that’s fit for purpose, not one-size-fits-all.
What Is Management Liability Insurance?
Management Liability Insurance is designed to protect businesses and their leaders against claims arising from alleged wrongful acts in the management of a company.
These claims can come from:
Employees
Regulators
Shareholders
Creditors
Customers
Even when no wrongdoing has occurred, the legal costs alone can be significant — and in many cases, directors and managers can be held personally liable.
Who Needs Management Liability Insurance?
Management Liability Insurance is relevant for most businesses, including:
Companies with directors or officers
Businesses with employees (even one)
Growing SMEs with increased regulatory exposure
Family-owned and privately held companies
Not-for-profits and incorporated associations
Whether you operate locally in Toowoomba, on the Gold Coast, or nationally, if you’re making decisions, employing staff, or managing finances — this cover matters.
What Does Management Liability Insurance Cover?
Policies can vary, but Management Liability Insurance commonly includes the following three core sections:
-
Protects directors, officers, and senior managers against claims alleging wrongful acts in their capacity as decision-makers.
This may include:
Breach of duty
Mismanagement allegations
Errors in decision-making
Failure to comply with regulations
Claims from shareholders or creditors
Importantly, this cover can respond even if claims are made against individuals, not just the business.
-
Covers claims arising from employment-related matters, including:
Unfair dismissal
Bullying or harassment allegations
Discrimination claims
Workplace wrongful acts
Breach of employment conditions
Employment claims are one of the most common and costly risks for Australian SMEs — even when businesses believe they’ve done everything right.
-
Provides cover for certain fines, penalties, and defence costs arising from alleged breaches of Australian statutes, such as:
Workplace Health & Safety
Fair Work legislation
Environmental regulations
Consumer protection laws
This section can also extend to cover investigation costs, which often arise before any formal claim is made.
What Isn’t Covered?
While Management Liability Insurance is broad, it doesn’t cover everything. Common exclusions may include:
Known or intentional illegal acts
Intentional fraud or dishonesty
Bodily injury or property damage (covered under other policies)
Professional advice errors (Professional Indemnity applies instead)
This is where working with a broker matters — we help ensure gaps are identified early, not after a claim arises.
Why Management Liability Matters for Small & Medium Businesses
Many business owners assume management liability claims only affect large corporations. In reality, SMEs are often more vulnerable, with fewer internal resources and less capacity to absorb legal costs.
Claims don’t always come from external parties — they often arise from:
Former employees
Regulators conducting routine audits
Financial disputes during tough economic periods
Even defending an allegation can cost tens of thousands of dollars.
How Management Liability Fits with Other Business Insurance
Management Liability Insurance works best as part of a broader insurance strategy, often alongside:
Business Package Insurance – for property, liability, and interruption
Public Liability Insurance – for third-party injury or property damage
Professional Indemnity Insurance – for advice or service-based claims
Cyber Insurance – for data breaches and cyber incidents
As your business grows, your risk profile changes — and your insurance should evolve with it.
Why Use a Broker for Management Liability Insurance?
Management Liability policies can differ significantly between insurers — particularly in definitions, exclusions, and sub-limits.
As brokers, we:
Compare policies across multiple insurers
Explain the fine print in plain English
Tailor cover to your business structure and size
Ensure directors and managers understand their exposure
Review cover as your business evolves
Help you through the claims process
We don’t believe in over-insuring — just insuring properly.
Management Liability Insurance in Toowoomba, the Gold Coast & Beyond
We proudly support businesses across:
Toowoomba and the Darling Downs
The Gold Coast and South East Queensland
The Sunshine Coast Region
Regional and metropolitan Australia
Whether you’re a startup, established SME, or family-owned company, we help you protect what you’ve built — and the people behind it.
-
Management Liability Insurance protects business owners, directors, officers, and managers against claims arising from alleged wrongful acts in the management of a business, including employment disputes, regulatory investigations, and breaches of duty.
-
No, Management Liability Insurance is not compulsory. However, it is strongly recommended for businesses with directors, officers, or employees due to increasing regulatory obligations and employment-related claims.
-
Yes, most Management Liability policies include Employment Practices Liability, which can cover unfair dismissal, discrimination, bullying, harassment, and other employment-related claims, subject to policy terms.
-
Yes. Management Liability Insurance can protect directors and officers personally if claims are made against them individually, not just against the business entity.
-
No. Small and medium businesses are often more exposed, as they typically have fewer resources to manage legal costs and regulatory matters. SMEs frequently face employment and compliance-related claims.
-
Common exclusions may include deliberate illegal acts, known breaches, fraud (until proven otherwise in some cases), bodily injury, property damage, and professional advice errors, which are usually covered under other policies.
-
The cost varies depending on factors such as business size, turnover, number of employees, industry, and claims history. A broker can help structure cover that balances protection and affordability.
-
Yes. Business Insurance Packages typically do not cover management decisions, employment disputes, or regulatory investigations. Management Liability fills these gaps.
Your Management Liability Insurance Questioned Answered
Speak With Clutterbuck Insurance Brokers about Management Liability Insurance
Management Liability Insurance isn’t about fear — it’s about protecting your ability to lead with confidence.
If you’d like to understand how Management Liability Insurance could fit into your existing business cover, speaking with a broker can be a helpful first step.
👉 Get advice tailored to your business — not a generic policy.
Our Popular Services
Automotive Insurance
Farm, Agriculture & Equipment Insurance
Industry
Insurance
Contact Us Today
We understand that finding the right coverage can be overwhelming. That’s why Clutterbuck Insurance Brokers offers customised insurance solutions with free, no-obligation quotes and personalised recommendations to make the process easy and stress free.
We work with a wide range of insurance providers to offer a variety of options to choose from. Get the peace of mind you deserve with Clutterbuck Insurance Brokers. Contact us today for any questions and guidance throughout the process.