Halliburton Energy Services will plead guilty for destroying evidence related to BP's 2010 oil spill in the Gulf of Mexico, in which Halliburton acted as the cement contractor on the exploded drilling rig that caused the disaster.
Although the case brought against the company shows that it thoroughly tested the Macondo oil wells' safety capabilities, an insurance expert says Halliburton's decision to meddle with its evidence may cause liability fallout that will be difficult to control.
"Halliburton is publicly traded. As a publicly traded company, any D&O coverage for the entity only extends to Securities Claims," says Monica M. Minkel, senior vice president of Executive Protection at Colorado-based Poms & Associates Insurance Brokers, Inc. "There would be no coverage under the entity portion of the D&O contract for fines, penalties or even defense costs that are tied to the entity itself."
Want to continue reading?
Become a Free PropertyCasualty360 Digital Reader
Your access to unlimited PropertyCasualty360 content isn’t changing.
Once you are an ALM digital member, you’ll receive:
- All PropertyCasualty360.com news coverage, best practices, and in-depth analysis.
- Educational webcasts, resources from industry leaders, and informative newsletters.
- Other award-winning websites including BenefitsPRO.com and ThinkAdvisor.com.
Already have an account? Sign In
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
