In a current consumer alert, Hunton insurance coverage legal professionals Lorelie S. Masters, Geoffrey B. Fehling, and Charlotte E. Leszinske focus on rising ESG-related dangers and insurers’ pursuits in these dangers when underwriting insurance coverage insurance policies. Elevated give attention to ESG by regulators and the general public have introduced ESG packages and ESG-related liabilities, reminiscent of “greenwashing,” to the forefront. Insurers are additionally taking note of these dangers and have signaled that their shoppers’ efforts to deal with ESG could issue into underwriting of their insurance coverage insurance policies. Many rising ESG dangers could also be lined underneath current company insurance coverage packages, together with administrators and officers insurance coverage. Earlier than incurring a declare, firms ought to proactively consider their insurance coverage program and assess ESG-related dangers, anticipating that they might want to elucidate such assessments to their insurers. Learn the total alert right here.
Hunton regularly writes concerning the overlap of ESG and insurance coverage. For extra on this topic, confer with D&O Insurance coverage: An Important Software within the Evolving ESG Panorama; Elevated Dangers, D&O Concerns Following Delaware’s Prolonged Oversight Duties; and Mitigating ESG Dangers via D&O Insurance coverage.
