Specialty Lines Explained: What Directors & Business Owners May Be Overlooking in 2026

Many directors and business owners assume their core commercial insurance programme provides comprehensive protection.

In reality, traditional policies such as Property, Public Liability and Employers’ Liability are designed to protect physical assets and operational risk.

They do not typically protect leadership decisions, professional advice, regulatory investigations or cyber-related liabilities.

That’s where Specialty Lines insurance becomes critical.

What Are Specialty Lines?

Specialty Lines cover the more complex, often less visible risks that sit around governance, advice, finance and digital exposure.

For directors and business owners, the most relevant areas typically include:

Directors & Officers (D&O)

D&O insurance protects individual directors and senior managers against personal liability arising from decisions made in their management role.

Claims can stem from:

• Regulatory investigations

• Shareholder or investor disputes

• Allegations of mismanagement

• Insolvency-related claims

• ESG and disclosure issues

  
  

Importantly, D&O protects individuals, not just the company.

Professional Indemnity (PI)

If your business provides advice, design, consultancy or professional services, Professional Indemnity protects against allegations of negligence or breach of duty.

This is particularly relevant for:

• Construction professionals

• Accountants and solicitors

• Surveyors and valuers

• Property managers

• Consultants and advisory firms

  
  

As AI tools become more embedded within advisory roles, the duty of care landscape is also evolving.

Cyber Insurance

Cyber is no longer just an IT concern - it is a board-level exposure.

Cyber policies typically respond to:

• Data breaches

• Ransomware attacks

• Business interruption

• Regulatory investigation

• Third-party claims
  

Crucially, cyber incidents can trigger claims under multiple policies, including D&O and PI.

Crime & Social Engineering

Fraud is becoming increasingly sophisticated.

Crime policies can protect against:

• Employee dishonesty

• Social engineering scams

• Funds transfer fraud
  

Many businesses assume cyber insurance covers all fraud - this is not always the case.

Why Directors Should Pay Attention in 2026

The regulatory and litigation environment is tightening.

We are seeing:

• Increased scrutiny of board oversight

• Greater accountability around ESG disclosures

• Rising claims activity linked to insolvency

• Growing expectations around cyber governance
  

The key question for directors is no longer:

“Do we have insurance?”

But rather:

“Is our programme aligned with how our business actually operates today?”

Practical Questions Business Owners Should Ask

• Are directors personally protected?

• Do our policy limits reflect our current revenue and exposure?

• If we adopted AI tools, has our PI or D&O programme been reviewed?

• Would a cyber incident create gaps between policies?

• Are we exposed to social engineering fraud?
  

Insurance programmes often evolve incrementally over years - while business models change rapidly.

The Strategic View

Specialty Lines insurance is not about adding policies unnecessarily. It is about:

• Protecting leadership

• Safeguarding balance sheets

• Supporting growth and innovation

• Strengthening resilience
  

As we move further into 2026, proactive review - rather than reactive response - is becoming a key differentiator for well-governed organisations.

If you would like to discuss whether your current programme reflects today’s risk environment, our team would be pleased to assist.