No D&O Insurance Coverage for Costs of Responding to Informal SEC Investigation
The question of the carrier’s obligation to pay for costs incurred in connection with an informal SEC investigation is amongst the most frequently recurring D&O insurance coverage issues.
Over the years, numerous policy revisions have been adopted in various forms by various carriers to address certain aspects of this issue.
The issue continues to arise, as shown most recently in District of Colorado Judge Robert E. Blackburn’s Aug 4th opinion (here), in which he held that the D&O policy at issue did not provide coverage for the insured company’s expenses incurred in responding to an informal SEC investigation.
The opinion continues to raise a number of issues.
For more details on the case, visit: No D&O Insurance Coverage for Costs of Responding to Informal SEC Investigation