What does TLI cover
- The estimated quantum of the tax liability exposure (cost effective solution for tax exposures from USD1m up to USD 1bn+).
- Potential interest and penalties imposed by a tax authority.
- Costs of defending the claim, from responding to the initial enquiry up to litigation (subject to the policy excess).
- Gross up if required by local tax law.
- Policy period is typically 7 years (however can be up to 10 years).