Insurance on Losing a Contract

by a searcher from Harvard University - Harvard Business School

2 years ago

There is a company with large revenues and very high margins. The problem is customer concentration. All the business comes from three large corporations. Is there a way to protect the company in case of loss of contract?  Such as specific insurance policies or Captive Insurance solutions?

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searcher from Harvard University - Harvard Business School

Hi Tom, we met at the last SF networking event in NY organized by Andrew. I’d like to learn more about the R&W insurance program.

1 year ago | like reply | 1 like

investor from University of Rochester

^Searchfunder member‌ ^Searchfunder member‌ there is coverage available to protect against a key customer's business shutting down due to an insured peril (business income) but unfortunately none to my knowledge for general loss of contract (ex. customer is unhappy with change of ownership.) Reps and Warranties Insurance (newly available to SMB) would protect you in the event there is a breach of contract by the seller (ex. Seller represents there are binding long term contracts in place and that is not the case.)

Would be happy to one off and further discuss. -Tom

1 year ago | like reply | 0 likes

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