Severability

In the context of Directors & Officers (D&O) insurance, severability refers to the ability to independently determine the coverage limits of each insured person. Severability is an important concept for D&O insurance because it allows the insurer to provide coverage to each individual insured as if they had their own separate policy, rather than the limits being shared among all of the insureds. This helps to ensure that each individual insured person is provided with the full extent of their coverage limits.

The concept of severability is also used in other types of insurance, such as professional liability insurance. In this case, it refers to the ability of the insurer to separate the liability of each insured into separate parts, and to provide coverage for each part independently.

Overall, the concept of severability is an important legal concept that may refer to the ability to separate a contract or statute into multiple parts. In the context of D&O insurance, it refers to the ability to independently determine the coverage limits of each insured person, and in other types of insurance, it refers to the ability of the insurer to separate the liability of each insured into separate parts.