Employee stock purchase plan
Term · Insurance and risk management · MLC-T-INS-003638
A company-sponsored program that allows eligible employees to purchase company stock, often at a discounted price, through payroll deductions. These plans encourage employee ownership and align employee interests with company performance. Such plans are subject to securities regulations and can impact directors and officers (D&O) liability insurance if not administered correctly.
| Identifier | MLC-T-INS-003638 |
|---|---|
| Field | Insurance and risk management |
| Subject | Employment Practices Liability |
Record as JSON
{
"id": "MLC-T-INS-003638",
"term": "Employee stock purchase plan",
"field": "Insurance and risk management",
"definition": "A company-sponsored program that allows eligible employees to purchase company stock, often at a discounted price, through payroll deductions. These plans encourage employee ownership and align employee interests with company performance. Such plans are subject to securities regulations and can impact directors and officers (D&O) liability insurance if not administered correctly.",
"subject": "Employment Practices Liability",
"url": "https://mlchart.com/terminology/insurance/employee-stock-purchase-plan/"
}
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