Aon Report Highlights Rising Transaction Solutions Claims Activity Globally

Aon's 2026 Transaction Solutions Global Claims Study: Managing Deal Risk to Secure Investments and Enhance Returns examines claims activity across representations and warranties (R&W), warranties and indemnities (W&I), tax insurance, and litigation risk policies. The report draws on Aon's global claims experience and highlights increasing claim frequency, growing claim severity, and record recovery amounts in several regions.

According to the report, Aon has supported clients on more than 2,000 notified transaction solutions claims and helped secure more than $3 billion in claim payments globally. The study notes that transaction solutions insurance continues to play a significant role in mergers and acquisitions activity, tax-driven investments, and other transactions involving risk transfer.

In North America, 2025 marked a record year for claim payments. Aon said its clients recovered more than $1 billion across transaction solutions product lines, including more than $440 million from R&W insurance claims alone. The report also noted a record median R&W claim payment of more than $8.2 million and an average payment exceeding $10 million.

Claim frequency in North America has remained relatively stable, although the report indicated a modest increase since 2023. Approximately 18 percent of R&W policies bound between 2019 and 2023 experienced at least one claim notification, while roughly 51 percent of claims were reported more than 12 months after closing. Per the report, this reflects a continuing trend of notifications occurring later in the policy period.

The report found that financial statements breaches remain the largest driver of paid losses in North America, accounting for 38 percent of paid losses on policies placed since 2019. Material contracts represented 21 percent of paid losses, followed by compliance with laws at 15.1 percent and intellectual property breaches at 11 percent, according to Aon.

Aon also reported increasing claim severity. For claims resolved in 2025, 41 percent of R&W claim payments were 8-figure settlements, up from 27 percent in 2024. The report further noted that 23 percent of paid claims exceeded 60 percent of policy limits, while 8 percent resulted in full-limit payments.

In the Europe, Middle East, and Africa (EMEA) region, claim notifications increased substantially in 2025. According to the report, Aon recorded a 47-percent increase in notifications, with the number rising from 70 in 2024 to 119 in 2025. The study attributes the increase in part to the broader use of W&I insurance and greater awareness among buyers regarding policy responses to post-closing issues.

The EMEA region also experienced growth in claim payments. Per Aon, the average payment on R&W policies reached $5.2 million in 2025, while the median payment was $2.1 million. The report notes that claims varied significantly by jurisdiction, breach type, and size, underscoring the importance of monitoring both frequency and severity trends.

In Asia-Pacific, the report found that claims activity continues to mature as transaction solutions products gain wider adoption. According to Aon, the region has seen growing claims experience and increasing visibility into the types of representations and warranties most frequently associated with claims.

The report concludes that transaction solutions claims activity has continued to expand across all major regions. While claim frequency and severity have increased in recent years, Aon said the overwhelming majority of claims are still resolved through negotiated processes rather than litigation, reflecting the continued importance of claims management and dispute resolution efforts within the transaction solutions market.