With surge in cyber attacks and bribery charges against staff, banks up cover for directors/officers

Faced with rising risks of cyber frauds and charges of bribery and corruption against senior officials, banks are ramping up their insurance cover in a big way, with some policies even crossing the Rs. 100-crore sum insured mark. And it’s not just the larger public sector and private lenders that are seeking adequate protection, rural and co-operative banks too are in talks for insurance against various risks.

According to insurers, with governance and regulatory problems surfacing in the last one year, banks, especially state-run lenders, have upped their cover for directors and officers’ (D&O) liability insurance as they want better protection with fewer exclusions.