Amid a strong rebound in global mergers and acquisitions (M&A) activity in 2025, Indian dealmakers are increasingly utilizing transactional risk insurance to handle complexity and ensure deal certainty. A report by Marsh highlighted a nearly 37% increase in M&A deal value globally, reaching close to $5 trillion, driven by a surge in large deals. In India, the demand for structured risk solutions has grown due to increasing deal sizes, cross-border transactions, and regulatory scrutiny.
“As India positions itself as a global investment hub, effectively managing transaction-related risks becomes crucial,” stated Sanjay Kedia, CEO & President of Marsh India. He emphasized the growing awareness and adoption of transactional risk solutions among Indian dealmakers, especially with the rise in cross-border transactions and regulatory complexities. This trend is expected to further accelerate in 2026 as businesses aim for greater resilience and confidence in deal execution.
The report highlighted a 34% increase in global transactional risk insurance limits to $91.6 billion and a 37% rise in policy volumes, indicating the growing importance of insurance in deal-making. In India, transactional risk insurance is gaining traction in both private equity and strategic corporate transactions, particularly in sectors like technology, healthcare, infrastructure, and energy, where deal sizes and regulatory considerations are becoming more intense.
With larger and more complex deals on the rise, there is a growing demand for higher insurance limits and multi-layered coverage structures, as mentioned in the report. Globally, corporate buyers now represent a larger share of insured transactions at 54%, with a similar trend emerging in India as corporates pursue strategic acquisitions. Claims frequency and severity are increasing worldwide, signaling a maturing market and emphasizing the importance of early engagement and robust deal structuring.
Aditya Samag, Private Equity and M&A Leader at Marsh India, noted a shift in India towards larger and more intricate transactions, especially in high-growth sectors like technology, healthcare, and infrastructure. In this evolving landscape, transactional risk insurance has transformed from an option to a strategic tool for investors and corporates to enhance deal certainty, manage regulatory risks, and stay competitive in auction processes. The report predicts that India will continue to be a significant growth market for M&A, supported by strong domestic fundamentals, investor confidence, and rising cross-border interest.
