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Why Choose AIG for Mergers and Acquisitions Insurance?

AIG has helped buyers and sellers close more than 4,000 deals globally since the late 1990s. Whether you’re on the buy or sell side, our M&A experts work with your team to measure and mitigate your transactional risks, which helps reduce uncertainty and close a deal quickly. We customize coverage to address inaccurate representations, Representation and Warranties (R&W) indemnification concerns in distressed or restructuring deals, and more.

 

The AIG Advantage

AIG's Solutions

Mergers and acquisitions (M&A) is a corporate strategy dealing with the buying, selling and combining of different companies with the intent of improving financial performance without the having to create and develop a new entity from the ground up.

The reasons behind the activity may vary widely and common rationales include seeking economies of scale and distribution, creating cross-selling opportunities, purchasing market share, exploiting shared synergies and more effective tax effectiveness.

Mergers and acquisitions deals are usually considered successful when both the buyer and the seller (or companies merging) emerge from the negotiations having fully taken into account the price paid, created value for their shareholders, the realisable benefits and aware of the potential risks.

Mergers and acquisitions insurance is a highly specialised field of cover that specialises in smoothing and facilitating the M&A process. It does this by transferring to an insurance policy certain potential risks to the transaction that are already foreseen, or might surface at a later date.

Any company considering a merger, acquisition or restructure might consider specialist Mergers and Acquisition covers.

AIG R&W coverages help protect buyers or sellers in M&A transactions from financial loss in the event of a breach of representations and warranties made by the sellers.

Its purpose is to provide a "guarantee of the warranties" granted by the seller in the assignment agreement.

This site only contains an overview of the most important coverages and exclusions. Only the general and specific conditions (“Insurance Policy”) provide an accurate, binding, description of the covers and exclusions. It is necessary to fully analyse the Insurance Policy, as well as all other relevant documents with contractual and pre-contractual information before any decision to buy, underwrite, adhere to, accept, sign or conclude an insurance agreement.

Important information

Here you will find information about how to request a quote with detail of premium calculation, the general and specific conditions, and/or other relevant documents with contractual or pre-contractual information, the duration of the insurance policy, the applicable law and jurisdiction, how to file a complaint or reach the ombudsman, etc.