Terrorism and War Risk Insurance
EIA Global is a leader in the field of placing comprehensive insurance coverage for investments and fixed assets against political risk in Emerging Markets.
Most currently issued “stand alone” terrorism policies offer inadequate coverage for assets in emerging markets. Typical defects in these include the “war” exclusion and the requirement that there be actual physical damage to the property.
Our Terrorism and War risks insurance covers against:
• Strikes, Riots, Civil commotion and malicious damage
• Sabotage and Terrorism
• Insurrection, Revolution, Rebellion and Coup d’état
• War and Civil War
• Looting, pillaging and theft resulting from any of the above
• The taking of properties/assets that is a by-product of the aforementioned perils
Our policies also can indemnify the Insured for Business Interruption caused by any if these events.
Political Risk Insurance for Mobile Assets
EIA Global has developed the widest coverage available in the political risk insurance market for mobile land-based assets.
Coverage includes damage caused by Political Violence or War, as well as a loss caused by Deprivation or Abandonment of your assets resulting from hostile, host government action.
PRI coverage also provides protection for other risks, including:
• Loss through capture by insurgent or rebel forces
• Destruction by insurgents
• Political Violence during re-export
• Abandonment caused by operational dangers
• Scuttling of covered assets
Our policies also can indemnify for Business Interruption caused by any if these events.
Investment Insurance
Our investment insurance coverage is built around five separate, but integrated sections:
Section 1: Property damage due to Political Violence
• Covers physical loss or damage to tangible assets due to Political Violence
• Includes both War risk and Terrorism in one policy
• Can be extended to include Business Interruption
Section 2: Abandonment of operations
• Covers forced Abandonment of operations due to Political Force Majeure
• Political Force Majeure includes both Political Violence and host government action
• Recognizes that War, Civil commotion, Terrorism etc. can cause a catastrophic loss even where no physical damage occurs
• Host government actions can include license cancellation, prohibition of operations etc.
• Coverage for Sanctions (actions of the investor's government) can also be provided
Section 3: Expropriation
• Covers the taking over of the foreign enterprise or assets by the host government and other expropriatory actions
• This would include forced divestiture, where the investor's own government requires the investor to exit from the foreign enterprise
Section 4: Breach of contract
• Cover against a forced breach of contract for many infrastructure investments (power, water, roads, telecom's etc) and extractive industries
• A separate section of cover is required to cover breach of contract by the host government effectively
Section 5: Currency inconvertibility
• Covers against the inability to repatriate dividends, loan repayments or other capital remittances
• Individually each section of the Global Investment Insurance policy is built on tried and tested insurance practice. Collectively, our policy provides a logical, integrated solution to the increased threat of political risk to overseas investments
