A transactional insurance (W&I / Reps & Warranties insurance) is an insurance provides cover for losses arising from a breach of a warranty in connection with a corporate merger or acquisition (M&A) transaction.
The insurance coverage can be used to remove barriers between the negotiating parties, removing the need for escrow and secure legal and commercial matters that could potentially prevent the completion of the transaction.
The team at Optra Risk has long and broad experience with handling transactional insurance and has since 2011 assisted in several hundred transactions.
In addition to the W&I insurance it is possible to tailor certain indemnities and known risks related to the transaction, such as tax or potential claims.
Insurance of known issues (contingent risk) can be insured as long as the exposure may be quantified and qualified.
We are more than happy to advice further on W&I insurance and specific matters as tax indemnities, , litigation buy-outs, IP and environmental risks.