Travelers deepens specialist expertise by leading a Lloyd’s transactional risk consortium and establishing a managing general agency dedicated to M&A insurance
Travelers Europe today announced it is partnering with Robert Brown and Dawn Bhoma, the highly regarded and market-leading transactional risk and tax liability underwriters in London, to significantly enhance its transactional risk insurance offering in the UK and Europe, as demand for mergers and acquisitions (M&A) risk transfer solutions continues to grow.
Under the partnership, Brown and Bhoma are providing their expertise exclusively to a new Travelers-led transactional risk consortium of insurers, which currently offers a gross capacity of £80 million per transaction. In addition, Travelers is assisting Brown and Bhoma in establishing a new managing general agency (MGA) to write transactional risk on behalf of the consortium.
Transactional risk insurance covers risks related to M&A, including representations and warranties insurance, tax liability insurance and contingent liability insurance. These policies can reduce the funds required to be held in escrow and provide risk transfer options for contingencies identified during due diligence, helping buyers and sellers close deals more efficiently and with greater certainty.
“Transactional risk insurance is a growing segment of the market, as buyers and sellers increasingly turn to risk transfer solutions to mitigate deal risk and release capital quickly,” said Matthew Wilson, Chief Executive Officer at Travelers Europe. “Our customers will benefit from the decades of experience that Robert Brown, Dawn Bhoma and their team bring as they navigate the complex risks that come with M&A.”
Robert Brown said, “We are excited to be partnering with Travelers, which has an excellent reputation in London for specialist expertise, financial strength and innovation. We are actively underwriting transactions on behalf of the Travelers-led consortium and look forward to establishing a new market-leading MGA dedicated to transactional risk in the coming months.”
Travelers has operated in Europe for decades in the general insurance market and through Lloyd’s. Travelers Insurance Company Limited offers business insurance, bond and specialty insurance and risk management services. Travelers’ Syndicate at Lloyd’s underwrites specialist and complex business classes, including marine, global property, power and utilities, accident and special risks, aviation and energy. Visit www.travelers.co.uk for more information.
The Travelers Companies, Inc. (NYSE: TRV) is a leading provider of property casualty insurance for auto, home and business. A component of the Dow Jones Industrial Average, Travelers has approximately 30,000 employees and generated revenues of approximately $30 billion in 2018. For more information, visit travelers.com.