Most corporate counsel know that their D&O insurance may advance or reimburse defense costs, and settlements or judgments incurred in civil litigation naming their directors and officers (as well as the company if entity coverage is purchased).
Guidelines for Maximizing D&O Insurance Coverage for SEC Matters
Depending upon policy terms, D&O insurance may pay defense costs incurred in response to various SEC actions, including an informal investigation, a formal order of investigation, a subpoena or an indictment.
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