Find a team member

Warranty & Indemnity

In the sale of a business involving the sale of shares or assets, the seller usually provides warranties to the buyer for a broad range of issues such as title to shares, financial statements, tax, property, employment, intellectual property and other commercial matters. If the warranty is not accurate, it is said to have been breached, and a buyer suffering a loss as a result of that breach may be entitled to damages from the seller.

Warranty and indemnity (W&I) insurance provides protection to either the seller or the buyer against loss arising from breach of warranty/call on indemnity given by the seller.
Our team has the ability and authority to offer swift solutions for our clients seeking W&I insurance cover.

At a glance:

  • US$25m capacity on either a primary or excess basis
  • Can be bought by the seller or the buyer
  • Can be bought at any time, even after completion
  • Buyer benefits:
    • a transaction tool, not just a source of recovery
    • insures against loss arising from breach of warranty/call on indemnity
    • can claim directly under the policy; no need to pursue the seller
  • Seller benefits:
    • may cover both defence costs and damages
    • covers reasonable warranties
    • effectively replaces seller’s obligations under the sale contract.
       


Visit our Group Sites:

LIU Specialty Markets LIU Specialty Markets

Copyright 2018 Liberty International Underwriters

Liberty International Underwriters, known also as LIU or Liberty, is a trading name of Liberty Mutual Insurance Company (ABN 61 086 083 605) incorporated in Massachusetts, USA (the liability of members is limited); Liberty International Underwriters Limited (No. 2400200), incorporated in Hong Kong and Liberty International Underwriters Pte Limited (UEN 201538069C), incorporated in Singapore with a branch in Labuan (Reg. No. LF12903), licensed to carry on general insurance business under the Labuan Financial Services and Securities Act 2010, Lic. No. IS2016162 (together LIU).

We are not authorised to provide financial product advice. Accordingly, the information on this website does not take into account your objectives, financial situation or needs. Always consider the applicable policy wording and other relevant disclosure documents before deciding to acquire a financial product.

 

Scroll to Top