5 D&O insurance priorities to keep in mind during 2021

Considering factors such as board diversity, ESG activism and the more litigious environment will be critical for managing D&O insurance programs going forward, according to Marsh LLC. (Credit: HAKINMHAN/Shutterstock.com)

The global commercial insurance markets felt the pressure this year, particularly among U.S. D&O buyers, as the sector saw pricing jump more than 50% during the fourth quarter, according to Marsh LLC, which reported in excess of 90% of its D&O policyholders renewed with rate increases.

Corporations are not just seeing higher premiums, but also narrowing coverage, as underwriters are no longer looking to provide some coverage enhancements that were available in the past.