Volante and Marsh develop new solution for ‘uninsurable’ shareholder activist risk

Asta-managed  Volante Lloyd’s Syndicate 1699 has launched a new shareholder activist protection insurance (SAPI) offering, designed to cover risks it claims was previously “uninsurable”.

SAPI is said to be the first policy of its kind to provide standalone expense cover for shareholder activist activity and offers A+ rated protection through Lloyd’s Syndicate 1699 stamp.

The solution is developed by Nephila-backed managing general agent (MGA) platform Volante Global in collaboration with experts at Marsh.

It provides insurance for costs incurred by a listed company to defend against a shareholder activist campaign, including fees relating to the appointment of legal, consulting and communications specialists, as well as any additional proxy costs.

The policy will be available to listed companies operating across all market sectors with a market cap between $5 million and $10 billion.

Following an initial launch across the UK market, exclusively through Marsh, the policy will be rolled-out to the EU in the second quarter of 2022. Available insurance limits start from $1 million to $6 million.

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