Into the Breach

In the latest episode of Into the Breach, Bryan and Gena tackle a topic near and dear to their hearts: the critical role that underwriting counsel play in the RWI process. For this enlightening discussion, our hosts are joined by Sara Josselyn, a Partner at Gowling WLG, who frequently serves as underwriting counsel to RWI insurers in Canada.

Topics discussed include:

• How Sara’s work as a corporate attorney prepared her to serve as underwriting counsel for insurers

• The launch of Sara’s underwriting counsel practice at Gowling WLG

• What Sara is seeing in the M&A markets now in her role as underwriting counsel

• How Sara tailors her process to meet the needs of individual insurers

• The continued growth of RWI in Canada and emerging trends in the Canadian market

• The movement towards shorter underwriting calls and a more efficient underwriting process

• How Sara works with her subject matter specialists to deliver positive client outcomes

• Sara’s favorite “secret” destination in Canada to visit

In a first for the podcast, Bryan and Gena are joined by special guest co-host Christine Kim, Counsel, Seyfarth Shaw, for a discussion with Phil Casper, Principal at Euclid Transactional, on RWI claims.

Topics discussed include:

• How Phil’s prior work as an underwriter helped prepare him for his current role in managing Euclid’s claims

• Background on Euclid’s claims team and how they are able to provide superior client service

• Why claims are the crux of the RWI product

• Phil’s “least favorite” type of claim

• The interplay between RWI premiums and claims paid, especially in the current rate environment

• Whether claim trends are impacting RWI underwriting

• Why buyers should continue to use RWI considering the amount of claims that have been paid

• Phil’s favorite podcast other than “Into the Breach”

Bryan and Gena are joined by Jason Bertoldi, Head of Contingent Risk Solutions, WTW, for a discussion on new opportunities in contingent risk, including how law firms and plaintiff side litigation can benefit from this transactional risk solution.

Topics discussed include:

• How Jason’s background as a litigator at a major law firm and an analyst in litigation funding prepared him for his current role at WTW

• A brief history of contingent risk policies

• The difference between using contingent risk in the context of a deal versus a stand-alone basis

• How to best utilize contingent risk policies in today’s litigation environment

• Why contingent risk policies can transform plaintiff side litigation from a liability to an asset

• How contingent risk policies can put law firms in the driver seat for lower costs of capital funding

• What insurers need from the insured in order to underwrite contingent risk policies

• Why you should play blackjack with Jason if you spot him at a casino

Bryan and Gena are joined by Randy Hein, President of Berkley Transactional, for a discussion on the underlying economics of RWI policies and the implications of these economic factors for your next transaction.

Topics discussed include:

• Randy’s professional insurance background and how it led him to success at Berkley Transactional

• Why economic factors such as human capital and financial capital are crucial to understanding RWI policies

• The breakdown of “$1 dollar of premium” and how this relates to claims payouts

• Why projecting the costs of RWI claims is uniquely difficult for insurers

• How retentions factor into the economics of RWI

• Piggy-backing off a recent trip that Bryan and Gena took to Nashville, Randy shares his playlist favorites

Bryan and Gena are joined by Lidore DeRose, Senior Partner and Leader of Transactional Risk, Baldwin Risk Partners and Emily Short, National Director of Cyber Product, Baldwin Risk Partners, for a discussion of underlying cyber insurance coverage and how cyber insurance intersects with transactional risk insurance on deals.

Topics discussed include:

• How Lidore and Emily got into the insurance industry

• The intricacies of cyber insurance, including the current state of the cyber market, coverage terms, compliance, and strategies to combat cyber threats

• How cyber insurance intersects with RWI on complex corporate transactions

• Anticipate changes and market fluctuations in cyber insurance in the future

• Lidore, Emily, Bryan, and Gena share their favorite childhood computer games

Kicking off the new year with their first guest of 2024, Bryan and Gena welcome Megan Quail, Managing Director and Head of Reps and Warranties Insurance – North America, VALE Insurance Partners for a discussion of where RWI stands in the first few months of 2024 and what we can expect in the year to come.

Topics discussed include:

• How Megan transitioned from an initial career path in litigation to working in RWI

• Megan’s role in forming WoTR, Women of Transactional Risk, the highly successful industry group supporting women with careers in transactional risk

• The current state of the RWI market including pricing, retention, and policy term updates

• The impact of new carriers in the RWI space

• Where Megan sees RWI headed for the remainder of 2024

• Megan’s favorite Barenaked Ladies song

Returning from a summer hiatus, Bryan and Gena are joined by veteran broker Sandra Lee, Chief Executive Officer – Asia, BMS Group, for a discussion on the state of transactional risk insurance in Asia.

Topics discussed include:

• How Sandra transitioned from working as a M&A attorney to being one of the first transactional risk brokers in Asia

• How BMS created a premier global platform for transactional risk with unique capabilities in Asia

• The key similarities and differences between transactional risk policies in Asia and North America

• Current pricing trends and deal activity in Asia

• The growth in carriers underwriting in Asia

• Geographic differentiation in underwriting transactions in Asia

Archer Transactional, a Balanced Partners Program, recently launched in the RWI space, with long-time transactional risk leader Ben Welch at the helm. In this episode, Bryan and Gena are joined by Ben for a discussion of Archer’s birth and how this new carrier will seek to become the best RWI platform in the United States by marrying underwriting efficiency with strong claims handling experience.

Topics discussed include:

• How Ben’s background in litigation and claims, and underwriting at other RWI carriers prepared him for his current role

• How Archer obtained capacity and still launched despite the challenging M&A environment

• Background on the team that Ben has assembled at Archer

• The continuing strong demand contingent risk insurance

• The importance of claims and Archer’s approach to claims handling

• How AI can factor into transactional risk insurance in the future

• Ben’s favorite moment as a newspaper journalist in his career before RWI

Combining a global underwriting platform with deep experience in the North America RWI space, RiskPoint has quickly established itself as a premier transactional risk carrier since launching in 2021. In this episode, Bryan and Gena are joined by Michael McGowan, Managing Director and Head of M&A Americas, for a discussion of where RiskPoint sees itself in the current market and plans for the future.

Topics discussed include:

• How the RiskPoint platform allowed Mike to marry his prior transactional risk experience with a new entrepreneurial vision

• Why Riskpoint’s global presence helps set it apart from other markets on cross-border transactions

• How RiskPoint’s comprehensive pre-underwriting process provides a better overall experience for the insured

• RiskPoint’s long term commitment to RWI in North America

• Mike’s global pick for where Into the Breach should do a remote taping

One of the industry’s most prominent brokers, Matt Heinz, Partner & Co-Practice Leader, Transactional Liability, at Lockton Companies, joins Bryan and Gena for an enlightening discussion on the newest transactional risk trend: using RWI on secondaries transactions.

Topics reviewed include:

• What is meant by a GP-led “secondaries” transaction

• Why secondary transactions are attractive risks for RWI insurers

• How secondaries are different from traditional buyout deals

• Pricing trends for secondaries relative to other types of deals utilizing RWI

• Coverage potential for “excluded obligations”

• Discussion of the 2023 Kentucky Derby and Matt’s wardrobe at the big event