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Warranty and Indemnity Insurance
Comprehensive and tailored protection against financial loss resulting from inaccuracies in warranties and indemnities relating to an acquired company or business.
Buyers can recover losses directly from the insurer without needing to locate and pursue a seller and its assets.
Access to our outstanding team of claims professionals who are experienced and expert in litigation relating to acquisitions, ensuring that your claim will be resolved in a professional and efficient manner.
Australia has strong market conditions for people looking to sell their business. With lower regulatory hurdles than some other countries and a stable political and legal environment, Australia can also be an attractive environment for offshore investors. These factors support the current M&A activity in Australia.
As in all markets, however, there are a number of risk factors that can hinder the successful implementation of a merger, acquisition or restructure, includng potential inaccuracies in the warranties and indemnities given by a seller.
Warranty and Indemnity Insurance provides protection from the financial losses that may arise from such inaccuracies and can significantly reduce or remove transaction risk, thus facilitating the completion of the proposed transaction.
A buyer-side policy allows the buyer to recover losses from inaccuracies in the warranties and indemnities directly from AIG without first pursuing recovery from the seller.
A seller-side policy reimburses the seller for losses from warranty and indemnity claims by the buyer.
Each policy is tailored to meet the specific needs of the transaction, with coverage designed to: