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Aon Clients Recover More Than $3B in Transaction Liability Insurance Globally as Claims Activity Continues to Evolve
Aon Clients Recover More Than $3B in Transaction Liability Insurance Globally as Claims Activity Continues to
About this update from Aon Plc
Aon plc (NYSE: AON), a leading global professional services firm, today released its 2026 Global M&A and Transaction Solutions Claims Study, which highlights the continued evolution of the global M&A insurance landscape across Representations and Warranties (R&W), Warranty and Indemnity (W&I), Tax and Contingent Risk insurance. Aon’s study is based on proprietary data from nearly 2,000 claims and more than $3B in recoveries secured globally across transaction solutions products since inception, with record recoveries in North America and increasing claims activity across EMEA and APAC. “The global claims environment is evolving rapidly, as rising claim frequency, increasing severity and shifting notification patterns impact the M&A insurance landscape,” said Stephen Davidson, Global Head of Transaction Solutions Claims for Aon. “At the same time, the market continues to demonstrate the value of high-quality underwriting data, sophisticated analytics and close partnership between insurers, brokers and clients to proactively manage risk before a deal is signed and achieve fair and efficient outcomes when claims do arise.” Significant year-over-year increases in R&W and W&I insurance payments The report reveals that in 2025, North American clients secured more than $1B across transaction solutions policies, including more than $440M from R&W insurance alone. Larger claims are becoming more common in North America, with a growing proportion of losses exceeding 60 percent of policy limits and an increasing number reaching full limits. Approximately four percent of claims allege losses greater than $100M, while claims based on valuation multiples accounted for 68 percent of total paid losses in 2025. Median R&W claim payments exceeded $8.2M in 2025, up from $5.5M in 2024, reflecting continued complexity in post-close disputes and increasing sophistication in the use of transaction risk insurance solutions. In EMEA, claims activity continues to accelerate; notifications increased from 70 in 2024 to 119 in 2025. Claim frequency is also increasing, with insurer data showing a notification submitted on 21 percent of the policies placed across the market in 2023. Earlier notifications emerged as a trend in 2025, with a notification submitted on 9.5 percent of Aon-placed policies by December 31, 2025, reflecting maturing underwriti...