Wood Products Company Hit with ESG “Greenwashing” Securities Suit | The D&O Diary

The hot button topic in both the investing world and the D&O insurance world these days is “ESG.” Setting aside the fundamental problem that nobody actually knows what ESG is, there is the inextricably related problem that the D&O claims risk related to ESG is fundamentally misunderstood. The current basic premise in the D&O insurance world is that companies that are “good” on ESG (whatever that means) represent better D&O insurance risks. Yet, as I have documented in numerous posts on this site (most recently here), it is not the ESG laggards that are getting hit with D&O claims; the claims are in fact being filed against companies that are proactive on ESG issues.

Source: Wood Products Company Hit with ESG “Greenwashing” Securities Suit | The D&O Diary