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JOBS Act Presents New D&O Challenges for Clients and Insurers, Says Marsh

Adoption of the federal Jumpstart Our Business Startups (JOBS) Act gives new companies easier access to capital from the general investing publicbut also presents liability exposures that D&O insurers do not yet fully understand, says a report from Marsh.

By Mark E. Ruquet | Updated on June 11, 2012

Adoption of the federal Jumpstart Our Business Startups (JOBS) Act gives new companies easier access to capital from the general investing public—but also presents liability exposures that D&O insurers do not yet fully understand, says a report from Marsh.

The New York-based insurance broker and subsidiary of Marsh & McLennan Cos. released a report titled “D&O Liability Insurance Implications of the JOBS Act,” which notes that the act makes three fundamental changes to existing securities laws and regulations governing how emerging public and private companies raise cash.

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