Financial Institutions

Are you facing constraints on growing your trade finance book due to counterparty risk concentrations or country risk caps?

Are you an asset based lender looking to enhance receivable collateral?

a Financial Institution making working capital or asset-based loans, you can enhance the value of your accounts receivable collateral by becoming a loss payee on a trade credit & political risk Insurance policy held by your borrower.

Front of classic architecture bank

Products for Financial Institutions

FCIA Trade Credit & Political Risk Insurance offers a broad, flexible variety of policies that give you options to insure trade finance structures with repayment terms up to seven years.

Purchase of Accounts Receivable Policy

  • Financial Institution can “pass back” co-insurance to the seller
  • Bank (or Financial Institution) is named the policyholder
  • Premiums payable only on actual purchases
  • Policies cover one or multiple buyers
  • Non-cancelable limits or Pay-As-You-Go policy options available
  • Single or multiple foreign or domestic debtors

Trade Payables (Supply Chain) Financing Policy

  • Transaction is initiated by the buyer who is a client of the bank
  • Bank pays off supplier(s) and assumes risk of nonpayment by buyer
  • Bank obtains coverage against that nonpayment risk
  • Premiums payable only on actual fundings

Pre-Export / Export / Import Financing (Buyer Credit) Policy

  • Coverage is available on either short-term or medium-term repayment terms.
  • 180-day waiting period to file claim

Letters of Credit Policy

  • Non-honoring of ILC coverage for political or commercial risks
  • Can cover single or multiple issuing banks in one country

Capital Equipment Leases Policy

  • Policies provide medium term coverage to capital equipment lessors and financial
  • institutions against loss on a capital lease with one lessee or multiple leases.

Non-Delivery Following Advance of Funds Policy

  • Non-delivery of contracted goods by government-owned or private suppliers followed by a failure to return/repay the insured’s advance payment.


Recommended News

Request a Consultation


900 West Valley Road
Suite 701, Wayne, PA 19087

Call Us