Challenge: A corporate buyer purchased an R&W policy for the acquisition of a manufacturing company. After the deal closed, federal inspectors shut down the factory of the acquired company for three days on account of regulatory violations.
Solution: The buyer submitted a claim under the policy for its direct losses. AIG confirmed that a breach of the compliance with laws representation had occurred and agreed that the amount of direct losses suffered by the buyer on a multiplied basis was the correct measure of damage.
Benefit: AIG’s dedicated and experienced claims team specializes in disputes surrounding complex transactions and in processing customer claims in an expedient manner with proven claims paying ability.