In 2016, AIG conducted a review of more than 300 D&O claims from across the United Kingdom and Europe on which it had significant reserve activity from September 2008 to March 2016 — and almost 25% of those claims were bankruptcy related.
More recently, Willis Towers Watson’s “Insolvency Risk on the Rise — Global Directors’ and Officers’ Survey 2024″ highlights that insolvency-related claims continue to be a significant source of actions against directors across various jurisdictions. The firm notes an uptick in the risk of such claims as insolvencies have surged, with economic hardships increasing the likelihood of fraudulent or wrongful actions, further amplifying risks for directors and officers under insolvency…