Reps and Warranties Insurance for Small Acquisitions?
Typically, reps and warranties insurance in mergers and acquisitions only makes sense for minimum deal sizes of between $20 to $25 million. Premiums are usually in the 2-5% of the policy limit purchased, with deductibles typically between 1-3% of the value of the transaction. Insurers are typically looking for a premium of at least $50,000.