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ARTICLE · 24 JULY 2024

W&I Insurance: Buy-Side, Sell-Side Or Staple?

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This article outlines the options for initiating Warranty and Indemnity (W&I) insurance in transactions, focusing on buy-side and sell-side policies, and discusses "hard" and "soft" stapling methods.

United KingdomInsurance
Caitlin Jansen Van Ryssen
Caitlin Jansen Van Ryssen

Previous articles in this series have considered issues which arise before the warranty and Indemnity (W&I) policy process begins in earnest such as the strategic use of W&I insurance and the insurance due diligence process. When it comes to initiating the W&I policy process however, parties to a transaction have a number of options. The most common of these is that a buyer will initiate the process with the aim of implementing a buy-side W&I policy. However, a seller can also initiate the W&I policy process, either with a view of putting in place a sell-side policy or to testing the market for the available cover under a buy-side policy and having the buyer engage W&I insurance on those terms.

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