Sixth Annual Mergers & Acquisitions Claims Report
AVERAGE REPORTED CLAIM FREQUENCY
ACROSS DEAL SIZES
FOR CLAIMS OVER $1M AVERAGE CLAIM SIZE
FOR THE LARGEST CLAIMS OVER $10M
AVERAGE CLAIM SIZE
PROPORTION OF MATERIAL CLAIMS OVER $1M CLAIM SIZE REMAIN CONSTANT
Source: AIG
Increase in AIG’s R&W GPW from 2014-2018, in a growing market with many new entrants
Source: AIG
Increase in total R&W claims noticed from 2014-2018
Source: 2019 Aon R&W Insurance Claim Study, published in 2020
deals announced, 24% jump over 2020
Reuters/Refinitiv 1 January 2021-11 August 2021 vs same period 2020
of senior executives surveyed say they are dedicating more resources to due diligence processes
Source: Aon Risk in Review M&A report, 2021
Top Incidents: Financial Statements 21%, Tax 19%, Compliance with Laws 16%, Material Contracts 12%
Source: AIG
Note: Percentages total over 100 due to claims with multiple breach types
Profitability of contract 41%, Breach of material contract 37%, Customer relationship change 22%, Non disclosure of contract/term 15%.
Source: AIG