Euclid Transactional Releases 10-Year RWI Claims Study
Euclid Transactional's fourth annual global report analyzes nearly $1.7 billion in RWI claim payments, revealing a rise in severe losses worldwide.
Euclid Transactional, LLC, a managing general agency specializing in representations and warranties insurance, has published its fourth annual Global RWI Claims Study, a milestone report that consolidates a full decade of claims data from transactions around the world.
The study tracks nearly $1.7 billion in claim payments, underscoring the growing financial significance of representations and warranties insurance as a tool in mergers and acquisitions. The figures reflect an upward trend not only in the volume of claims but also in the severity of individual losses recorded across global markets.
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The report documents continued expansion of claims experience internationally, suggesting that deal participants in multiple regions are increasingly activating RWI policies when post-closing disputes arise. That growth in utilization points to broader adoption of transactional risk insurance as deal protection becomes more standardized in cross-border M&A activity.
Severe losses represent a notable finding in this year's edition. While the study does not revise its historical methodology, the emergence of larger individual claim payments signals that insurers and dealmakers alike may need to recalibrate their underwriting assumptions and indemnity structures going forward.
The decade-long dataset gives Euclid Transactional's analysis unusual depth for an industry segment that has matured rapidly since the mid-2010s, offering practitioners a longitudinal benchmark rarely available in specialty insurance lines. Continue reading at All Financial Services & Investing.
