Mergers and acquisitions

Course questionnaire: what the policy replaces, and what it leaves

Six simple questions on the main ideas of the course: what the policy replaces, exclusions, fundamental warranties, insurability, environment and fraud.

6 questions, 5 minutes

Course questionnaire

Easy questions on the central ideas of the course, several of them true or false. Get 5 out of 6 right and the course is passed. After each answer, you see whether it is right, and why.

1 / 6

Answers are marked together when you submit: choose, move on to the next one, and your score comes at the end.

What does warranty and indemnity insurance really replace?

Review

Every question, its answer and the reasoning

The same material, in continuous reading. Each point links to the matching glossary entry, where the notion is covered in full with its worked example.

Course questionnaire: what the policy replaces, and what it leaves

Every question, its answer and the reasoning

1. What does warranty and indemnity insurance really replace?

2. A problem discovered during due diligence remains covered by the policy, since it was properly identified.

3. If the seller did not actually own the shares sold, the policy pays their value, but it does not hand the company to the buyer.

4. What simple test separates what can be insured from what cannot, on public policy grounds?

5. Why does historical contamination of an industrial site fall outside warranty and indemnity cover?

6. The insurer waives its recourse against the seller, except in the case of seller fraud.