Use of insurance for M&A deals growing; `Transaction facilitation' policies ultimately...

Byline: Gary S. Mogel

NEW YORK - The fear of mergers-and-acquisition agreements' going sour increasingly is being eased by insurance, according to industry experts.

With private-equity and other M&A activity gaining steam, "transaction facilitation'' insurance indirectly protects advisers' clients - many of whom are investors and stockholders in companies being acquired or making acquisitions. The insurance covers losses if transactions are tarnished by contract breaches or events that due diligence failed to anticipate.

The policies get their na