The Financial Services Group at Aon discusses January 2022 Delaware legislation permitting captives to provide D&O insurance.

Derivative claim settlements have historically been non-indemnifiable for Delaware-domiciled corporations, with third-party directors' & officers' liability ("D&O") insurance being, in many cases, the only source of protection for these directors and officers.

With the purchase of Side A D&O insurance becoming more difficult for some Delaware corporations, the Delaware Senate has taken affirmative action with January 2022 legislation permitting captives to provide D&O insurance.

The Financial Services Group at Aon reviews the legislation allowing the use of captives to insure Side A D&O risk and some considerations around the utilization of captives for this purpose in Delaware Permits Use of Captive Insurance, Expanding D&O Side A Insurance Options.

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The report can also be discussed with Financial Services Group professionals Timothy Fletcher and Kristin Kraeger.



Timothy Fletcher
CEO, Financial Services Group
Los Angeles

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Kristin Kraeger
Managing Director, Financial Services Group
Boston

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