CFC vs Heffernan: Representations and Warranties Insurance

CFC underwrites transaction liability and publishes small-deal products below $20 million; Heffernan Insurance Brokers advises private-equity and strategic M&A clients with pre-close diligence and post-close insurance planning.

Kearny Risk organizes these comparisons for firms whose advice, content or technology creates professional exposures.Research updated 2026-09-29

What Are the Key Differences Between CFC and Heffernan Insurance Brokers Representations and Warranties Insurance?

Fast Small-Deal Products vs a PE Deal-Risk Broker

CFC insures R&W for buyers and sellers, can write $50 million on a transaction, and offers Buyer Protect and Seller Protect for deals under $20 million with 24-hour turnaround. Heffernan's Private Equity and M&A practice brokers R&W and publishes no limits. Choose CFC if your deal is under $20 million and you need cover fast; choose Heffernan if you're a PE buyer who wants R&W shopped alongside other deal cover and diligence. [3] [5]

Other Deal Risks Covered

Heffernan places R&W with contingent, environmental, tax and litigation-buyout cover, plus group purchasing across PE clients and post-close insurance planning. CFC's core form covers contingent tax and other M&A liabilities, adds excess on certain fundamental warranties, and runs a secondaries practice for fund-interest transfers, but lists no environmental or litigation-buyout lines. [5] [3]

Diligence vs Claims Handling

Heffernan offers pre-close diligence: a review, benchmarking and a search for hidden liabilities. CFC has a dedicated transaction-liability claims team in London and New York that aims to acknowledge a notice within 24 hours. [5] [3]

What Should You Confirm in CFC and Heffernan Insurance Brokers Representations and Warranties Insurance Quotes?

  • Ask Heffernan which insurer it places with, and ask CFC which syndicate or company issues your policy. [5] [3]
  • Decide whether you need only R&W or also the contingent, environmental, tax or litigation-buyout cover Heffernan lists. [5]
  • Compare CFC's $50 million primary and $150 million excess figures with the limit Heffernan's market quotes. [3] [5]

CFC insures R&W directly, writing up to $50 million per deal, with Buyer Protect and Seller Protect turned around in 24 hours on deals under $20 million. Heffernan brokers R&W for private-equity buyers, packaging it with tax, environmental and litigation-buyout cover plus pre-close diligence.

Sources reviewed

  1. 01
    Mergers & Acquisitions

    Beazley · Product overview: buyer and seller protection for inaccuracies in representations or warranties · accessed 2026-09-16

  2. 02
    Regulatory information

    CFC · CFC Underwriting Limited; CFC Lloyd's Syndicate 1988 · accessed 2026-09-23

  3. 03
    Transaction liability insurance | Representation and indemnities insurance

    CFC · What are representations and warranties?; Who should buy representation and warranty insurance?; Available to buyers & sellers; Limited seller security; Is transaction liability insurance available to sellers · accessed 2026-09-16

  4. 04
    Transactional Risk Insurance

    Coverdash · Transactional risk insurance; representations and warranties coverage; buy-side policies; tax and contingent liability products · accessed 2026-09-16

  5. 05
    Private Equity and M&A

    Heffernan Insurance Brokers · Reps & Warranties Insurance; Heffernan Insurance Brokers (HIB) Private Equity and M&A Practice; Key Merger and Acquisition Insurance Services: Pre-Close Due Diligence, Insurance Placement Hub, Post-Close Insurance Strategies; Transactional Risk Mitigation to Contain Any Threats: RWI, Contingent Liability, Environmental Liability, Tax Liability, Litigation Buyout; Other Related Services: General Partnership Liability (GPL), Professional Liability/E&O, Key person insurance · accessed 2026-09-23

Areas of coverage

CFC

  • role: CFC's Transaction Liability practice underwrites representations and warranties (R&W) insurance for M&A deals, available to both buyer-side and seller-side purchasers, alongside standalone small-deal products and secondary liquidity solutions. Transaction liability product page overview, describing CFC as a deal facilitator working with private equity firms and strategic buyers and sellers.company-reportedSource ↗
  • coverage: Beyond its main R&W policy, CFC sells two standalone small-deal products: Buyer Protect, described as covering a buyer for up to 100% of enterprise value, and Seller Protect, described as protecting sellers of small businesses during an M&A transaction. Both are limited to deals under $20 million. Product page descriptions and the 'Solutions' section, which caps buyer protect/seller protect at deals under $20m. The page's key-features bullets for these two products use near-identical wording about the buyer bringing a claim, so the exact difference in claims mechanics between the two products was not independently confirmable from this page alone.company-reportedSource ↗
  • coverage: The core transaction liability policy covers representations and warranties, contingent tax, and other M&A liabilities, and CFC also offers excess coverage layered on top for certain fundamental representations. Product page key features and the 'Limit & appetite' section; exact terms are set by the policy as issued.company-reportedSource ↗
  • coverage: CFC separately offers secondary liquidity solutions for private market investors acquiring, divesting, or restructuring interests in private equity, private credit, or other fund assets, through what it calls a dedicated secondaries underwriting practice. Secondary liquidity solutions section of the product page.company-reportedSource ↗
  • insurer: CFC says it underwrites transaction liability business on behalf of Lloyd's of London syndicates and insurance companies rated 'A' or better by AM Best, without naming a specific carrier for any individual deal. Limit & appetite section of the product page; the specific carrier for a given policy would appear on that policy's documents.company-reportedSource ↗
  • limits: CFC says it can underwrite up to $50 million of limit on a single transaction, or up to $150 million of excess coverage for certain fundamental representations. Limit & appetite section of the product page.company-reportedSource ↗
  • application: For the Buyer Protect and Seller Protect products, CFC says coverage can be placed within 24 hours of receiving the application form, and can be arranged after closing. Buyer protect and seller protect key features on the product page.company-reportedSource ↗
  • claims: CFC has a dedicated transaction liability claims team in its London and New York offices, says it has handled nearly 300 claims to date, and aims to send an acknowledgement within 24 hours of a claim notification. Claims section of the product page; outcome statistics are company-reported and not independently verified.company-reportedSource ↗

Heffernan Insurance Brokers

  • role: Heffernan's Private Equity and M&A (HIB) Practice arranges representation and warranty (RWI) insurance for deal buyers and sellers as part of a broader transactional-risk brokerage, rather than underwriting the coverage itself. Private Equity and M&A page as read on 2026-09-23.company-reportedSource ↗
  • eligibility: Heffernan markets this practice to private equity firms and strategic investors doing mergers and acquisitions, covering both enterprise-level and transactional liability needs. Private Equity and M&A page as read on 2026-09-23.company-reportedSource ↗
  • coverage: Heffernan says RWI safeguards a buyer and seller's agreed understanding of a deal, and groups it under 'Transactional Risk Mitigation' alongside contingent liability, environmental liability, tax liability, and litigation-buyout coverage. Private Equity and M&A page as read on 2026-09-23; the page does not describe RWI's specific insuring agreement, exclusions, retention structure, or limits.company-reportedSource ↗
  • services: Heffernan describes pre-close due diligence (a detailed review, benchmarking and a search for hidden liabilities), group purchasing across its private-equity clients, and insurance planning for the company after closing. Private Equity and M&A page as read on 2026-09-23.company-reportedSource ↗
  • limits: The reviewed page does not publish limits, retention levels, or premium ranges for representation and warranty policies. Private Equity and M&A page as read on 2026-09-23.not-disclosedSource ↗
  • application: Heffernan invites private equity and M&A clients to contact the practice directly; the page does not describe a self-service quote or online application path. Private Equity and M&A page as read on 2026-09-23.company-reportedSource ↗

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