Transactional (W&I) Risk Insurance

Transactional, or Warranty & Indemnity (W&I) Insurance, is designed for mergers and acquisitions (M&A) to protect against financial loss arising from breaches of warranties or representations made during the transaction process. It can also serve as an alternative to escrow requirements, enabling a smoother and faster deal closure. Both buyers and sellers can take out this coverage to protect their respective interests.

In M&A transactions, even well-structured deals carry the risk of unexpected liabilities. W&I Insurance can help overcome obstacles in negotiations, facilitate agreement between parties, and reduce the need for significant funds to be tied up in escrow. It ensures financial protection if post-transaction claims are made, safeguarding the deal’s value and allowing both parties to focus on integration and growth.

At Advisio, we work closely with both local and international insurers to structure W&I coverage that aligns with the specific requirements of your transaction. Our experience in supporting complex M&A deals enables us to identify and address key risk areas, ensuring your deal moves forward with confidence and financial security.