Corporate India seeks to barricade brass from frauds, bankruptcy concerns

Demand for D&O policies on the rise as India Inc looks to protect its brass

Demand for Directors and Officers (D&O) insurance is on the rise as corporate India seeks to barricade its brass from the increasing number of corporate frauds and bankruptcy-related concerns. Vendors of D&O covers are seeing an annual growth of between 20 per cent and 30 per cent for these offerings.

“The coming into force of the Insolvency and Bankruptcy Code, the goods and services tax (GST), and Whistleblowers’ Protection Act; and better and stricter implementation of laws, in general, have increased managerial risks”, says Sushant Sarin, executive vice-president at Tata AIG General Insurance. He adds that company managements have also taken