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Does directors and officers liability insurance matter for sustainable port operations? Evidence from ESG performance in China

Hu Shaorou & Zhang Chuan

Journal of Accounting and Taxation2025https://doi.org/10.5897/jat2025.0654article
AJG 1
Weight
0.50

What the paper says

Considering the increasing importance of sustainable port operations, this paper explores the effect of Directors’ and officers’ liability insurance (D&O insurance) on sustainable port operations using corporate environmental, social and governance (ESG) performance as a proxy. The sample includes all Chinese listed companies, excluding finance and insurance companies and companies under special treatment (ST and ST*) over a period of eleven years from 2011 to 2021. D&O data was sourced from the China Stock Market & Accounting Research Database, while ESG data was sourced from the Sino-Securities Index Information Service. The data was analyzed using Descriptive Statistics, Correlation, and Panel Regression. The study conducted three cross-sectional tests to examine the mechanism of D&O effect on ESG and to determine whether the influence of D&O varies according to firm characteristics for port companies. Results show that D&O has a significant positive effect on the ESG of the entire industry. Results also show that D&O does not have a significant positive effect on the ESG of port companies. The positive effect of D&O insurance exists only in the entire industry, but not in port companies. Further analysis indicates that the results remain unchanged when conducting cross-sectional tests to examine the mechanism of D&O insurance effect on corporate ESG performance. The finding suggests that with different corporate governance patterns, the positive influence of D&O insurance may vary and may encourage future corporate governance investigations for sustainable port operations. Key words: Port, environmental impact, sustainable port operations, environmental, social and governance (ESG) performance, directors’ and officers’ liability insurance.

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https://doi.org/https://doi.org/10.5897/jat2025.0654

Or copy a formatted citation

@article{hu2025,
  title        = {{Does directors and officers liability insurance matter for sustainable port operations? Evidence from ESG performance in China}},
  author       = {Hu Shaorou & Zhang Chuan},
  journal      = {Journal of Accounting and Taxation},
  year         = {2025},
  doi          = {https://doi.org/https://doi.org/10.5897/jat2025.0654},
}

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Does directors and officers liability insurance matter for sustainable port operations? Evidence from ESG performance in China

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Evidence weight

0.50

Balanced mode · F 0.40 / M 0.15 / V 0.05 / R 0.40

F · citation impact0.50 × 0.4 = 0.20
M · momentum0.50 × 0.15 = 0.07
V · venue signal0.50 × 0.05 = 0.03
R · text relevance †0.50 × 0.4 = 0.20

† Text relevance is estimated at 0.50 on the detail page — for your query’s actual relevance score, open this paper from a search result.