Export Insurance Overview
Export insurance protects exporters from risks like non-payment. Insurance can be obtained from airlines, logistics companies, freight forwarders or specialized insurance companies. There are three main types of export insurance: perils, broad-named perils and all-risks.
UK Export Finance (UKEF)
Export credit agencies like UK Export Finance (UKEF) provide export insurance when the private sector cannot. UKEF covers up to 95% of potential losses from events like buyer insolvency, early contract termination, or new import restrictions. Coverage applies for 15 days across Europe for third-party liability.
Key considerations for appropriate export insurance include:
- Insured risks
- Required documents
- Coverage areas and duration
- Insured parties
- Covered losses
Brokers experienced in import-export can help determine optimal, cost-effective coverage.
Cost and Operation of Export Insurance
How much does export insurance cost?
How does export insurance work?
Exporters can apply for export insurance to protect against risk of non-payment from foreign buyers. Insurers assess the risk of buyers defaulting and provide coverage if approved. Coverage includes up to 95% of losses from buyer insolvency or new import restrictions. Experienced brokers can help determine optimal policies. Insurance enables exporting with confidence.