SERVICES

At Sunny Finance Lease (HK), our financial lines solutions are crafted to assist businesses achieve success.

Read to learn more about our broad array of financial lines coverages for both Commercial and Financial Institutions.

In a difficult economic environment, businesses in all sectors face challenges. Many financial institutions face additional pressures generated by increased regulation, robust capital and lending criteria, and a global drive to improve disclosure, increased transparency and enhance shareholder protection.

This is why the specialist liability needs of financial institutions and financial service providers are addressed by a dedicated team. Their focus is to stay abreast or ahead of developing regulation reforms so that our products can be constantly updated to provide appropriate insurance cover for emerging areas of risk.

What is covered?

Civil Liability

Professional Indemnity Insurance on a Civil Liability basis.

Banker's Blanket Bond

Protection against losses resulting from its employees' dishonest or fraudulent acts (performed individually or in collusion with other persons) and from third parties' acts committed with the intent to obtain financial gain.

Directors and Officers Liability

Protection for claims brought against directors, officers and senior employees for actual or alleged breach of duty, neglect, misstatements, errors or omissions. Entity cover for securities claims and employment practice liability are also available.

Comprehensive and tailored protection against financial loss resulting from inaccuracies in the warranties and indemnities relating to an acquired company or business.

Ease of reimbursements

Buyers can recover losses directly from the insurer without needing to locate and purse a seller and its assets.

Exceptional claims handling

Access to our outstanding team of claims professionals who are experienced and specialised in litigation relating to acquisitions, ensuring that your claim will be resolved in a professional and efficient manner.

Comprehensive Cover

Coverage for a complete set of warranties and indemnities made by a seller, including title, commercial and tax matters.

Large capacity

Highly customised coverage for all transaction values, from domestic to large multi-jurisdictional acquisitions.

What is covered?

A buyer-side policy allows the buyer to recover losses arising from inaccuracies in the warranties and indemnities directly from us without first pursuing recovery from the seller.

A seller-side policy reimburses the seller for losses arising from warranty and indemnity claims by the buyer

Each policy is tailored to meet the specific needs of the transaction, with coverage designed to:

1). Work back-to-back with the recourse and risk allocation agreed between the buyer and seller in the acquisition agreement

2). Mirror the minimum claim provisions (de minimis and retention thresholds) and other limitation language in the acquisition agreement

3). Match the warranty survival period under the acquisition agreement (including any extended period for tax) – extendable if required

4). Cover first and third party claims and associated defence costs. Cover on a buyer-side policy will also respond to fraud by the seller

Providing certainty where uncertainty exists, Tax Liability Insurance protects companies from the financial impact of a challenge by tax authorities following an acquisition or divestment.

There are a number of risk factors that can hinder the successful implementation of a merger, acquisition or restructure. These may include uncertainty in the application of corporate tax legislation or administrative rulings, which can leave a company vulnerable to future challenges by tax authorities, and exposed to a potentially substantial tax liability.

Tax Liability Insurance from us helps businesses to reduce or eliminate any contingent exposure arising from the tax treatment of a transaction, investment or other activity that is later challenged by tax authorities.

Large capacity

Highly customised coverage for a range of tax liability risks and their potential outcomes with large associated limits also possible.

Long term protection

Policy terms of up to ten years from the date the policy is incepted.

Tailored coverage

Bespoke policies providing coverage for taxes payable as well as defence costs such as legal or tax advisor expenses.

Exceptional claims handling

Access to our outstanding team of claims professionals who are experienced and expert in litigation relating to complex transactions, ensuring that your claim will be resolved in a professional and efficient manner.

Our bespoke policies provide coverage for the primary tax payable (after deducting any offset benefits), as well as a 'gross-up' of taxes payable due to the proceeds of the Tax Liability Insurance. They also cover any interest and non-criminal fines or penalties in the event of a non-favourable determination by the tax authority. Coverage for defence costs, such as legal or tax adviser expenses is also available.

The term of a Tax Liability Insurance policy can be up to ten years from the date of inception.

Our policies cover tax issues relating to the legal interpretation of tax legislation, administrative rulings or case law, as applied to the facts presented by a taxpayer.