Post-Satyam, India Inc wakes up to fraud cover

The Satyam fraud, that came to light a year ago, was an eye opener for India Inc in more ways than one. With the role of independent directors of the IT company being questioned following the fraud, the need for more protection to directors against claims for wrongful acts has been sought. This has resulted in corporate groups and private equity firms queuing up to buy more innovative insurance policies. The demand for policies such as directors & officers (D&O) increased three fold during the 2007-2009 period. D&O insurance cover protects directors and officers of a company against claims for ...

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