Founder Shield vs Lockton: How Do They Compare for Representations and Warranties Insurance?

Founder Shield places R&W only with carriers rated at least A-; Lockton places RWI through former M&A lawyers and cites dedicated claims experts after a policy is bound.

Lockton is the stronger choice for claim-time support: former M&A lawyers staff each deal around the clock, and dedicated claims experts stay after closing. Founder Shield’s edge is a stated floor of AM Best A- or better for every insurer it uses. ^4,^2,³

What Are the Key Differences Between Founder Shield and Lockton Representations and Warranties Insurance?

Deal Lawyers and Post-Closing Claims Help vs an Insurer Rating Floor

Both are brokers. Lockton staffs each deal with a partner and an associate from former M&A lawyers and transaction advisors, available 24/7, and says dedicated transaction-liability claims experts stay with you after binding; it reports helping clients settle hundreds of millions of dollars of RWI claims. Founder Shield, part of The Baldwin Group, places R&W only with insurers rated A- or better by AM Best, matched to your industry, and describes no post-closing claims desk. Choose Lockton if you expect to rely on your broker when a breach claim comes; choose Founder Shield if insurer financial strength is your main screen. ⁴ ³ ²

Concrete Breach Examples vs Escrow Replacement

Founder Shield lists what the policy typically pays for, mostly on the buyer side: misstated financials, undisclosed tax, legal or regulatory non-compliance, and undisclosed contracts or leases. Lockton frames RWI as replacing or topping up a seller indemnity or escrow, and splits benefits: sellers get proceeds sooner, buyers get broader protection and faster negotiations. ¹ ⁴

What Should You Confirm in Founder Shield and Lockton Representations and Warranties Insurance Quotes?

Ask both which insurer they propose, and whether Lockton’s choice is rated A- or better. ³ ⁴
Ask whether the policy replaces escrow and whether it names specific breach types. ⁴ ¹
Ask Founder Shield who helps you if you need to file a claim after closing. ³ ⁴
Get premium as a percentage of limit and the retention from both. ¹ ⁴

Founder Shield vs Lockton Representations and Warranties Compared

Founder Shield vs Lockton: Representations and Warranties Insurance: documented features by provider

Criteria	Founder Shield Representations and Warranties Insurance	Lockton Representations & Warranties Insurance (RWI)
Who It’s For	Founder Shield markets R&W insurance to private equity and other financial sponsors, strategic buyers, corporate sellers divesting a business unit, and family-owned businesses being sold. ¹Company-reported. Representations and Warranties Insurance product page.	Lockton frames RWI benefits separately for sellers (faster access to sale proceeds, reduced post-closing exposure, avoiding a guarantee) and buyers (broader protection, faster negotiation, avoiding conflicts in deals with meaningful seller participation), meaning both sides of an M&A transaction are the intended buyers of the product. ⁴Company-reported. RWI product page as read 2026-09-23.
Coverage Features	Founder Shield lists financial-statement misstatements, undisclosed tax liabilities, legal or regulatory non-compliance, and undisclosed contracts or leases as the kinds of seller misrepresentations the policy can cover, mostly on the buyer side. ¹Company-reported. Product page; the issued policy and declarations control actual coverage.	Lockton describes RWI as a policy used to replace or bolster a seller indemnity or escrow in an M&A transaction, under which an insurer indemnifies the buyer for losses from an unknown breach of a representation or warranty in the deal agreement. ⁴Company-reported. RWI product page as read 2026-09-23. General description of how the product functions, not a specimen policy.
Role in This Line	Founder Shield is a retail insurance brokerage, described on its site as “the innovation arm of The Baldwin Group,” and places Founder Shield Representations and Warranties Insurance with third-party carriers rather than underwriting the policy itself. ²Company-reported. About-us page; applies to Founder Shield's brokerage model generally, restated here for this line.	Lockton's RWI Practice is staffed with former M&A lawyers and transaction advisors who Lockton says use a Partner/Associate model on every deal to provide 24/7 coverage; Lockton places RWI policies rather than underwriting them. ⁴Company-reported. RWI product page as read 2026-09-23.