COFACE’S RESPONSE TO YOUR NEEDSCoface's dedicated Political Risk team offers a broad range of trade credit and political risk capability - focused on export single risk, political risks, multinational credit insurance and non standard insurance linked to underlying trade finance.
However, without indicating any reason why, the buyer broke off this contract while it was being implemented, despite the fact that the French company had already started to deliver and install the equipment.
The manufacturer notified Coface immediately and explained that its customer was also refusing to pay for any equipment that had already been installed. We advised it on a plan of action taking the specific features of the contract into consideration, as well as the relationship with its customer.
After the negotiations failed to reach a positive outcome, Coface paid the claim for the non-payment of the equipment which had already been delivered and received. In addition, as the company was unable to withdraw from its deals with its subcontractors, Coface paid out compensation for the loss sustained under its manufacturing risk cover.
POLITICAL RISK COVER TAILORED TO YOUR NEEDS
International sales can often be affected by changing legislation, contract breaches, expropriation, nationalisation and armed conflict. Because the world is unstable, Coface offers its Political Risk solution to companies and financial institutions exposed to these types of commercial and political risks.