While I'm not an expert here (thank god), I believe D&O insurance is one of those things where the insurance companies pays after the fact, when you file a clai

While I'm not an expert here (thank god), I believe D&O insurance is one of those things where the insurance companies pays after the fact, when you file a claim. So instead of sending you a bill for the lawyer's fees, they likely would just dispute your claim and not reimburse you. EDIT: Huh, it seems that although it's rare, yes, sometimes your D&O insurer will try to recoup costs by sending you a bill. Look at this: http://www.dandodiary.com/2012/11/articles/d-o-insurance/do-insurance-when-can-a-do-insurer-recoup-amounts-it-has-paid-out/ http://www.dandodiary.com/2012/11/articles/d-o-insurance/do-... Interesting, the article says many (presumably non-criminal) securities cases settle because companies are afraid an adverse judgement would void their D&O insurance. I wonder if anyone ever pleads nolo contendere in a plea bargain just to maintain D&O coverage.