Directors' and Officers' Liability Insurance and Corporate Green Innovation: An Analysis from the Mediating Effect of Risk Taking

Ke Zhang

doi:10.54097/fbem.v10i2.10902

Authors

Ke Zhang

DOI:

https://doi.org/10.54097/fbem.v10i2.10902

Keywords:

Directors and Officers Liability Insurance, Green Innovation, Corporate Risk Taking.

Abstract

Using the data of A-share listed companies in Shanghai and Shenzhen from 2010 to 2021, we empirically test the impact mechanism of directors' and officers' liability insurance on corporate green innovation. The findings show that the introduction of directors' liability insurance plays a significant role in enhancing corporate green innovation, which still holds after robustness test and endogeneity treatment. It is further found that directors' liability insurance affects corporate green innovation by enhancing the level of corporate risk taking.

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