Specific Risk
Specific Risk Insurance
Specific Risk Insurance is an instrument to facilitate business deals. It reduces or eliminates specific identified, but not yet realised, risk positions. These are known to the contracting parties or are discovered during the due diligence process.
The spectrum of known risks that Specific Risk Insurance can cover during an M&A transaction is broad. In comparison to the matters usually covered by a general W&I policy, these particular problems are usually associated with a higher loss potential. Accordingly, they can prevent the closing of a deal.
With a Specific Risk policy on your side, deals can be concluded more quickly and sales revenue can be secured to prevent depreciation.