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.