Effect of US plea bargains on UK D&O cover

Marsh is warning UK executives of the impact plea bargains in the US could have on their indemnity and directors’ and officers’ (D&O) insurance. Plea bargaining is increasingly commonplace in the US legal system and can appear attractive rather than run the gauntlet of a jury trial and potentially a longer sentence or more severe financial consequences: on average only 5% of federal criminal cases go to trial.