Representations & Warranty (R&W) Insurance
What it is
R&W insurance is designed for transactions in the USA to step in when things don’t go to plan after a deal closes. It is a one-off non-renewable claims-made policy to covers losses that a buyer or seller suffers following a breach of representation or warranty given under the acquisition agreement.
More than a risk transfer tool, R&W insurance is a powerful deal enabler. It helps remove uncertainty and smooths the path to getting the deal done.
Clean exit for sellers.
Eliminates the need for escrow.
Bridging gaps between sellers’ financial covenants and buyers’ protection requirements
Can top-up indemnity limits and extend protection periods
First party claims against the policy – no need to pursue the seller
Auctions differentiation
Speak to a specialist
Chris Graham
Head of RWI
Any further questions?