Why are insurance companies bullish about the new bankruptcy law -Financial market and Financial institutions - Paper 1 of UPSC Commerce Optional

Insurance companies bullish about the new bankruptcy law 
=]Financial  market and Financial institutions - Paper 1 of UPSC Commerce Optional
Resolution of default cases under the new Insolvency and Bankruptcy Code is gathering momentum. Although it may be the most efficient way of resolving bad loans, it exposes the IPs to many litigation as promoters who hold their company close to their hearts would look at various ways to put obstacles in the functioning of IPs. That needs insurance which is absent since the insolvency profession itself is at a nascent stage. 

Though Section 233 of IBC give protection to Insolvency Professional for any action taken in good faith. 

"However, the onus to prove innocence will be on Insolvency Professional. Which at times may be difficult, time consuming and expensive. As such the professional indemnity insurance becomes vital and no professional should start without being insured."

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