• Costs Relating to Regulatory Investigations, Derivative Lawsuits and Independent Consultant’s Investigations Are Covered Under Contracts for Directors’ and Officers’ Liability Insurance
  • August 4, 2011
  • Law Firm: Hunton Williams LLP - Richmond Office
  • In MBIA Inc. v. Fed. Ins. Co., No. 10-0355-cv, 2011 U.S. App. Lexis 13402 (2d Cir. July 1, 2011), the United States Court of Appeals for the Second Circuit held that a policyholder was entitled to coverage under a directors’ and officers’ liability insurance contract for costs associated with financial regulators’ investigations, including costs associated with the investigation of a derivative shareholder litigation and the cost of an independent consultant’s investigation pursuant to a settlement with government regulators.