Contracting Equipment Insurance
Insurance of the equipment that is used for carrying out contracts abroad. Losses and damages of equipment due to political risks are covered.
Filed under
Product benefits
- Protection of the heavy equipment used for the works abroad, in case of political events
- Contracting equipment is an accessory risk directly linked to the export contract
Main characteristics
- In some cases, Belgian exporters have to temporarily use heavy equipment to carry out the works abroad
- Credendo – Export Credit Agency covers the risk of total or partial destruction of the equipment and the risk of loss of possession due to political cause
- Rented/leased equipment can also be insured
In an export contract, there are accessory risks for Belgian exporters which can also be covered, i.e. heavy equipment temporarily used abroad by the contractor for the execution of contract works.
Credendo – Export Credit Agency covers the loss of possession or the destruction of the equipment when the cause qualifies as a political event. This includes all events occurring abroad constituting force majeure for the insured or its contractual partner, such as political events, natural disasters and government actions in the country where the works are carried out.
The insured is not necessarily the owner of the contracting equipment: rented or leased equipment may also be insured.
Cover begins when the equipment is dispatched to the country where the work is to be done. Cover ends when the equipment is sent back to Belgium, sold locally or has arrived in the next destination country.
Why Credendo?
Credendo – Export Credit Agency offers a complete range of products with the same goal: controlling risks related to foreign buyers in foreign countries. The ECA’s products are specifically destined for capital goods, services and contract works from Belgium. Not only Belgian exporters but also banks can make use of the products, which can also result in various financing solutions for the exporter and/or the foreign buyer.
Being the official Export Credit Agency for Belgium, Credendo – Export Credit Agency follows the OECD rules, concerning the structure of the export credits as well as for the regulated premium percentage.