Mergers & Acquisitions

Insurance Due Diligence

Due diligence provides an understanding of the targets' insurable risks and enables the deal team to make informed decisions. Key aspects of the report typically include; the integrity of the insurance programme with post completion recommendations, total cost of risk (premiums & self-insured retentions), opportunities for savings, claims analysis and allocation of risk within the Sale & Purchase Agreement (SPA).

Transaction protection

Insurers have a growing appetite for the provision of transactional insurance products. The most significant of which is Warranty and Indemnity (W&I) insurance, where the vendor’s warranties within an SPA are insured. This helps facilitate a clean exit (i.e. the buyer can claim directly from the policy in their name) and can bridge any expectation or value gaps between the contracting parties.

Additionally, we place a wide range of M&A products with insurers, including tax liability (known issues); loss mitigation / litigation buyouts; escrow buy downs; opinion based contingent risks; loss portfolio transfers; environmental impairment and prospectus liability.

Portfolio Company Insurance

We design, place and service insurance programmes for individual portfolio companies and offer risk management support. A structured, planned approach across all areas is managed by a single relationship manager to maximise value at a fund and portfolio level.