The Egyptian Financial Supervisory Authority (EFSA) has approved the political violence coverage annexed to the export credit and commercial credit guarantee policy for Arab Misr Insurance Group – GIG Egypt.
Ali Bashendy, head of technical affairs sector at the insurance company, said the annex includes coverage against risks of war and similar events as well as civil wars, civil riots and total or partial occupation of land by a foreign power or a revolution.
The annex also covers the losses which result when the customer defaults on converting payment from local currency to the currency of the insured, or when he is not able to convert money due to lack of currency or the issuance of government instructions, laws or decisions in the country of the customer as long as the delay period does not exceed the payment reprieve mentioned in the policy.
The policy also covers the risks of cancelling licenses due to losses resulting from delivering goods or offering services which are not allowed to be exported to the insured country or imported from the delivering country as well as the lack of export, import and currency exchange licenses on condition that the failure to get these licenses is not the fault of the insured or his agent.
The annex also provides coverage against terminating the contract by one party whether the customer or the insured.