D&O insurance vs. a GPL policy

Published October 20, 2026

Investment firms that ask for D&O are often offered a general partners liability policy, usually called GPL. The two names describe different things. D&O is a type of coverage. GPL is a policy form: a package that usually puts D&O and E&O, and sometimes other coverage, on one contract.

Cilantro is an insurance broker for investment firms. We read what a GPL package actually contains, compare it with buying the coverages separately, and tell you which setup fits your firm.

Request a call

Should my firm buy D&O or a GPL policy?

It isn’t really a choice between two coverages. A general partners liability (GPL) policy is a package that usually puts D&O and E&O on one contract. If your firm only needs protection for decisions about running the business, standalone D&O can be enough. If you also manage money or give advice to investors, you need E&O too, either in a GPL package or as a separate policy. Either way, check whether the coverages share one limit and which funds and people are named.

What D&O covers on its own

Directors and officers insurance (D&O) protects the people who run a company when they’re sued over decisions they made in that role. For an investment firm, that means decisions about running the management company and the funds.

A claim that the firm made a mistake managing a portfolio or valuing an asset is a different matter. That is what errors and omissions insurance (E&O) is for, and standalone D&O usually won’t respond to it.

What a GPL package adds

A GPL policy usually combines D&O with E&O, which covers claims that the firm made a mistake in its professional work. Some packages also include coverage for partners who sit on portfolio company boards. Two packages with the same name and a similar price can be built very differently.

That’s why we compare the contents, not the label. For each GPL quote, we set out:

Which coverages are inside the package
Whether they share one limit or each has its own
Whether legal fees count against the limit
Which funds, entities, and board seats are named

One package or separate policies

One contract is simpler to buy and renew, and its coverages are written to work together. The trade-off is that a shared limit can be used up by one large claim, leaving less for anything else. Separate D&O and E&O policies take more work to arrange, but each coverage can have its own limit.

Which way is better depends on how many funds you run, what your investors ask for, and how much limit you need. We lay out both options side by side so you can decide.

How we help

Send us your current policy or the GPL quote you’ve been offered, along with an entity chart. We’ll tell you what the package covers, where the gaps are, and whether separate policies would serve you better.

Common questions

Is GPL a type of insurance coverage?

No. GPL is the name of a policy form that bundles coverages, usually D&O and E&O. The coverages inside it, and how they share a limit, decide what you’re protected against.

Does a GPL policy always include E&O?

Usually, but not always, and not always on the same terms. We check the policy itself rather than relying on the name.

Is VCAP the same as GPL?

They are both package names, and VCAP is common for venture firms. As with GPL, what matters is the coverages inside the package and how the limits work.

Talk to us about your insurance

Tell us about your business, what you’re trying to decide, and any deadline. We’ll follow up to set up a call. You don’t need to upload anything now.