Responding to a regulatory inquiry can entail substantial legal and other expenses for a hedge fund manager – even if the manager is not the target of the investigation. Furthermore, private litigation often follows regulatory action. One way to mitigate such risks is through appropriately tailored errors and omissions (E&O) and directors and officers (D&O) liability insurance. A recent alternative asset manager forum sponsored by insurance advisory and brokerage firm Crystal & Company examined how and when such insurance may cover the cost of responding to regulatory inquiries; the claims process; the policy provisions a manager should focus on to ensure appropriate coverage; and the current market for such insurance. Moderated by Ron Borys, a managing director at Crystal & Company, the discussion featured Theodore A. Keyes, special counsel at Schulte Roth & Zabel; Michael Machin, a national underwriting officer at Travelers; Thomas Ruck, a managing director at CNA; and Ray Santiago, a senior vice president at XL Catlin Professional. This article highlights the key takeaways from the discussion. For coverage of a separate panel from the forum covering cyber insurance, see “Cyber Insurance Providers May Play a Key Role in Assisting Hedge Fund Managers Mitigate Cyber Incidents” (May 26, 2016). For a comprehensive overview of D&O and E&O insurance, see “Hedge Fund D&O Insurance: Purpose, Structure, Pricing, Covered Claims and Allocation of Premiums Among Funds and Management Entities” (Nov. 17, 2011).