Travelers enters transactional risk insurance market as demand for
M&A risk mitigation tools continues to grow
HARTFORD, Conn.--(BUSINESS WIRE)--
The Travelers Companies, Inc. (NYSE: TRV)
today announced it has partnered with ASQ Underwriting, a managing
general underwriter, to offer transactional risk insurance in the United
States, as strategic and private equity investors increasingly turn to
insurance to mitigate deal risk and compete for acquisition
opportunities.
Under the agreement, ASQ Underwriting will underwrite transactional risk
policies for Travelers, with an initial gross capacity of $50 million
per transaction. Travelers will manage the claims process in close
coordination with ASQ Underwriting.
Transactional risk insurance covers risks related to mergers and
acquisitions (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 more
certainty.
“Transactional risk is an exciting segment of the insurance market that
has seen significant growth over the past several years, and it’s a
natural extension of our current suite of specialty offerings,” said Tom
Kunkel, Executive Vice President and President of Bond & Specialty
Insurance at Travelers. “We are pleased to have an exceptional partner
in ASQ Underwriting. Their market-leading experience and expertise in
this area will help our customers manage the unique and significant
risks that come with M&A.”
ASQ Underwriting has offices in Atlanta and New York and is led by
Directors and Co-founders Jeff Anderson and Wayne Datz. According to
Anderson, “Our partnership will enable us to combine the ASQ
Underwriting team’s M&A insurance experience with Travelers’ financial
strength and expansive distribution network to offer competitive
transactional risk insurance, with a particular focus on the active
middle market segment.”
About ASQ Underwriting
ASQ Underwriting is a managing general underwriter providing unique
transactional risk insurance products to clients in the mergers and
acquisitions market. The ASQ team is a skilled group of attorneys with
over 65 years of combined M&A, legal and insurance experience who have
collectively underwritten hundreds of transactional risk policies. ASQ
is part of Alliant Underwriting Solutions, a program administrator with
a growing portfolio of underwriting platforms encompassing more than $1
billion in annual gross written premium. For more information, visit www.asqinsure.com.
About Travelers
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
$29 billion in 2017. For more information, visit www.travelers.com.
View source version on businesswire.com: https://www.businesswire.com/news/home/20190115005450/en/
Media:
Patrick Linehan, 917.778.6267
plinehan@travelers.com
Source: The Travelers Companies, Inc.