In Short
The Situation:With the rise of litigation and
regulatory activity relating to environmental, social, and
governance ("ESG") issues, companies are correspondingly
facing increased potential ESG-related legal exposures.
The Result:Directors and officers
("D&O") liability insurance may provide coverage for
such risks.
Looking Ahead:Policyholders should carefully
evaluate their existing D&O program as part of their ESG legal
strategy.
Introduction
With intensifying demands from regulators, investors, and the
public for attention to environmental, social, and governance
("ESG") issues, companies are increasingly focused on ESG
considerations and initiatives. Not surprisingly, ESG-related
litigation and government investigations have also expanded.
Additionally, regulators, both in and outside the United States,
have released new rules and enforcement mechanisms for ESG-related
conduct. This whirlwind of activity is generating increased
exposure and
