Longbrook Insurance has entered the transactional liability market with its first core product line, as demand for warranty and indemnity cover continues to be embedded in global mergers and acquisitions.
The London-headquartered firm’s transactional liability offering spans warranty and indemnity insurance, also known as representations and warranties insurance, and tax liability insurance.
The products are aimed at supporting both domestic and cross-border deals, with Longbrook Insurance positioning itself as a partner for brokers and advisers structuring M&A risk.
Longbrook Insurance said the transactional liability line is supported by long-term underwriting capacity, giving clients access to a rated balance sheet and specialist underwriting expertise. The company said it intends to blend technical underwriting with a distribution platform built around existing relationships with global insurers and brokers.
The carrier is backed by Macquarie Insurance Facility, part of Macquarie Asset Management. Macquarie has previously said the facility manages around US$1.8 billion in premium spend each year across private equity, infrastructure, energy and real estate clients, providing an in-house channel for transactional liability and warranty and indemnity placements.
Additional product lines, including energy, renewables and title insurance, are expected to follow later this year, expanding Longbrook Insurance beyond transactional liability while keeping warranty and indemnity at the centre of its initial focus.
Transactional liability has shifted from niche tool to standard feature in many sponsor-led deals. Earlier research from Norton Rose Fulbright’s Global M&A Trends work found that a majority of respondents expected use of warranty and indemnity and related coverages to rise through 2025, particularly in mid-market transactions.
A previous review reported that warranty and indemnity insurance was used in well over half of the deals it examined, underscoring how transactional liability has become embedded in deal documentation rather than treated as an add-on.
Industry analysis released last year by a global broker also suggested capacity for warranty and indemnity and broader transactional liability business remained ample, with competitive pricing still available despite a gradual pick-up in claims.
Shaun Reynolds (pictured above), head of transactional liability at Longbrook Insurance, said the business will target consistent, client-led W&I and tax solutions.
“We are looking forward to working closely with brokers and clients to support their transactional risk needs,” he said.
Michael Timmins, chief operating officer, called the transactional liability launch a milestone for the firm, adding that Longbrook Insurance had taken time to put in place underwriting foundations and capital partnerships before bringing its warranty and indemnity proposition to market.
