Aon Risk Solutions has formed a transaction liability practice for corporate mergers and acquisitions and private equity investment.
While the brokerage has been offering transaction liability products for more than a decade, the practice will provide additional resources along with coverage for breaches of warranty, tax claims or litigation or environmental liabilities, said Aon P.L.C. in a statement Friday.
“Transaction liability insurance products have become increasingly important as firms more aggressively focus on strategic acquisitions and divestures of noncore,” said Tom Fitzgerald, CEO of U.S. retail operations, in a statement. “The ability to substitute insurance capital to address deal risks including representations and warranties, tax liabilities, litigation and other contingent risk can increase the probability of a deal closing. Given the increasing level of sophistication of these solutions, we expect adoption to increase significantly in the coming years.”
For additional information, contact Michael Schoenbach, managing director and transaction liability practice leader, at email@example.com.