With lawsuits looming on all sides, companies are bolstering their defenses with more generous helpings of directors and officers liability insurance.

Twenty-one percent of companies say they have increased their D&O limits, according to Towers Watson’s 2010 D&O survey, vs. just 12% who said they had increased their D&O limits in the previous survey, in 2008. Just 3% of companies say they’ve decreased their D&O limits, unchanged from 2008.

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