Initial Public Offering - IPO Liability Insurance

The companies that are to be listed on the stock exchange have risks that may cause severe damage to the reputation of the company and also result in huge financial loss. Regulatory authorities can take legal actions on the breach of the Securities Law. The liabilities may also arise from the inaccurate information presented to the investors in the Prospectus. 

IPO Insurance protects the insured against claims arising from:

• Liabilities arising from negotiations, discussions and decisions in connection with the offering.
• Punitive and exemplary damages.
• To companies and its directors for the claims made by investors in connection to the offering (example – inaccurate information on the prospectus)