Consistent capacity provides transactional risk brokers and buyers with a strong market for M&A insurance as others retrench
BOSTON (Feb. 11, 2021) -- Liberty Global Transaction Solutions (GTS), part of Liberty Mutual Insurance, announces that their capacity for the 2021 underwriting year will remain unchanged at USD $200 million per risk for transactional risk protection for all product lines: Warranty & Indemnity/Representations & Warranties, Tax Liability and Contingent Legal Risk. This offers clients and brokers stability after a turbulent year that saw a sharp contraction in capacity and increased claims, leading some carriers to exit the market altogether.
Liberty GTS President Rowan Bamford commented “Our commitment to and appetite for this risk class remains as keen as ever. The fact that we received the reinsurance necessary for us to offer consistent capacity is a testament to our ability to work with brokers and buyers to develop and underwrite effective M&A solutions. This is particularly important after the turbulence of 2020, and the resulting dislocation caused by the withdrawal of a number of insurers from the market.
“While available underwriting capital in the market has grown steadily in recent years and increased competition has lowered prices and widened terms and conditions, the recent sharp rise in claims is now causing a contraction in capacity. We are here to support our clients as they look to undertake transactions in the coming 12 months.”
Liberty GTS operates as a global specialty business, providing brokers and clients with centralized M&A insurance capabilities across its international network of offices, backed by a dedicated claims management team.
Liberty GTS underwrites M&A lines of business on behalf of Liberty Mutual's Lloyd's of London Syndicate 4472 and Liberty company platforms.
About Liberty Mutual Insurance
At Liberty Mutual, we believe progress happens when people feel secure. By providing protection for the unexpected and delivering it with care, we help people embrace today and confidently pursue tomorrow.
In business since 1912, and headquartered in Boston, today we are the sixth largest global property and casualty insurer based on 2019 gross written premium. We also rank 77th on the Fortune 100 list of largest corporations in the U.S. based on 2019 revenue. As of December 31, 2019, we had $43.2 billion in annual consolidated revenue.
We employ over 45,000 people in 29 countries and economies around the world. We offer a wide range of insurance products and services, including personal automobile, homeowners, specialty lines, reinsurance, commercial multiple-peril, workers compensation, commercial automobile, general liability, surety, and commercial property.
For more information, visit www.libertymutualinsurance.com.
About Liberty Global Transaction Solutions
Liberty Global Transaction Solutions (GTS) is one of the largest global M&A insurance teams in the industry. With more than 70 specialists, we have helped facilitate over 800 M&A deals a year on average—successfully insuring thousands of transactions since our inception.
GTS offers specialized products and services to help facilitate M&A transactions for buyers and sellers, including Representations & Warranties (R&W)/Warranty & Indemnity (W&I) Insurance, Tax Liability Insurance and One-off policies created for individual contingent risks.
For more information, visit https://www.libertygts.com/.
The foregoing is not professional advice nor legal advice, is provided for information only, and is not a substitute for consulting with a professional.
