Protection against losses caused by foreign government action
- Cover for confiscation of assets by a foreign government
- Cover against expropriation or nationalisation of your assets without adequate compensation
- Can include contract frustration such as withdrawn licenses, or prevention of physical access to your project
- Wider options including currency inconvertibility, termination of contract and export/import embargoes
Vital protection in politically unstable regions
The experience of the oil and gas sector in Venezuela is a visible reminder of the potential sudden risk to business operations that a change of government or a shifting government agenda can bring.
Political Risk insurance can protect your investment by compensating you for lost assets and revenue caused by foreign government actions out of your control. This might include confiscations, expropriation or nationalisation of the industry you are a supplier too, or a shift in territorial boundaries.
Tailor-made cover through Lloyd’s of London
As a Lloyd’s Broker, we can create tailored policies to meet a comprehensive risk profile in the territories you are operating in.
This can include a wide range of potential risks, from export and import embargoes, to contract terminations, forced abandonment or non-payment by government entities.
We usually recommend that clients consider Political Violence and Terrorism insurance alongside Political Risk cover.