Warning! You are currently not signed in. Any products you have purchased will not be displayed until you Sign In

financial restatement exclusion

An exclusion in directors and officers (D&O) liability policies that precludes coverage for claims brought in conjunction with a corporation's restatement of its financial data. The rationale for this exclusion is that when a restatement is necessary, it is a strong indicator that either information was intentionally omitted from the original financial statement or data was willfully falsified. In either instance, the need for a restatement is normally caused by conduct far beyond mere negligence on the part of the organization's directors and officers.

Links for IRMI Online Subscribers Only: PLI X.E


Social Media