Abstract：

In recent years, financial fraud cases have occurred frequently in companies like Kangmei Pharmaceutical, making the quality of accounting information a focal point of attention in both academic and practical circles. This paper takes A-share listed companies on the Shanghai and Shenzhen Stock Exchanges from 2010 to 2020 in China as the research sample to examine the impact of directors', supervisors', and senior managers' liability insurance (D&S Insurance) on the quality of corporate accounting information. The study finds that D&S Insurance is positively related to the quality of accounting information. Heterogeneity analysis shows that in companies located in the eastern region and those with a higher proportion of managerial shareholding, D&S Insurance has a more significant promoting effect on the quality of accounting information.

Key Words：

directors', supervisors', and senior managers' liability insurance; quality of accounting information; supervision mechanism