FCIA's Trade Credit Insurance policies protect financial institutions from nonpayment on trade finance and supply chain loans, as well as on loans secured by trade accounts receivable that are purchased or financed by the lender.

  • Policies also cover a variety of the cross-border direct trade financing exposures of financial institutions
  • Coverage is up to 90%
  • Coverage can be short-term or up to seven years
  • Our minimum premium on Financial Institution products is $20,000

Our main Financial Institution policies are:

Single Obligor Credit Insurance Policy

Provides insurance against non-payment of trade finance loans to a single borrower.

  • Import/export financing
  • Pre-export financing
  • Advance payment financing
  • Non-cancelable limits during the policy period

Purchase of Receivables Policy

Protects financial institution against non-payment of trade accounts receivable purchased from a seller of goods or services. Typically the seller enters into a purchase agreement with the financial institution and may act as the collection servicer. Please read the FCIA Purchase of Receivables Coverage brochure for more details.

  • Financial Institution can "pass back" co-insurance to the seller
  • Premiums payable only on actual purchases
  • Policies cover one or multiple buyers
  • Buyer credit limits are approved by the insurer
  • Low upfront premium with monthly payment and up to 90% coverage options available

Trade Payables Financing Policy

Protects a financial institution that funded a buyer's payment of trade accounts payable (Reverse Credit) from non-reimbursement. Please read the brochure for more details.

  • Premiums payable only on actual fundings
  • Buyer credit limits are approved by the insurer

Bank's Letters of Credit Policy

Provides insurance against non-honoring of banks confirmed letter of credit. Please read the FCIA Letters of Credit Policy brochure for more details.

  • Non-honoring of ILC coverage for political and commercial risks
  • Can cover single or multiple issuing banks in one country
  • Non-cancelable limits during the policy period