Transactional Liability

Ambiguity can challenge even the simplest of deals.

QBE offers highly customized insurance solutions to safeguard M&A transactions by addressing indemnification issues that could come up during negotiations and due diligence and could prevent the deal from closing.

By purchasing representation and warranties insurance, buyers can increase the attractiveness of their bid, sellers can reduce indemnity obligations and both parties can close the deal with confidence and ease.

Our products include:

  • Representations and warranties insurance. Coverage provides protection from financial losses resulting from wrongful acts or inaccuracies in the representations and warranties made about a company or business.
  • Tax indemnity insurance. Policy helps eliminate or reduce financial loss arising from a tax authority’s successful challenge of tax treatment during a transaction.

Key benefits

  • Helps reduce the time needed to reach an agreement and finish the deal.
  • Effectively manages post-closing exposure in exiting a deal, particularly long-tail indemnity obligations, by shortening or replacing the indemnity tail.
  • Allows for more attractive bidding strategies in auctions, particularly with sellers who often make limiting post-closing liability the foremost priority in the deal.
  • Provides financial security for cross-border deals.
  • Helps reduce the threat of seller bankruptcy in distressed M&A transactions.

Our competitive advantage

  • Customized policies. Each policy is individually tailored to meet your needs for a specific M&A transaction.
  • Service excellence. All accounts are staffed by dedicated teams committed to timely responses and customer satisfaction.
  • Specialized expertise. Our in-house Specialty Claims team is an experienced group of attorneys and claims handling professionals.

Capacity

$50,000,000

Appetite

  • Energy (including oil, gas and alternative)
  • Industrial
  • Mining
  • Utilities
  • Technology
  • Media
  • Telecommunications
  • Consumer products
  • Financial services
 

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Representations and Warranties Insurance (pdf)

Tax Indemnity Insurance (pdf)