Master Trade Finance Insurance Policy

The insurance policy protects the insured banks against credit & political perils that may lead to the default of the obligor banks under various trade finance instruments – whether letters of credit, avalized drafts or otherwise.

The insurance policy enables the insured Banks to mitigate and transfer credit risks, support their customers, increase opportunities, balance the portfolio and satisfy capital requirements.

In case of a claim, Dhaman pays up to 100% of the insured amount under the insured transaction.

Procedure

  • Issuance of the insurance policy

    Signing of the Master Trade Finance Insurance Policy

  • Enquiry for insurance

    The insured Bank sends an enquiry with all transaction details

  • Insurance Offer - Non-Binding Indication

    Dhaman sends Firm Insurance Offer or Tentative Non-Binding Indication

  • Insurance application

    The Insured Bank sends formal Insurance Application along with copy of instrument

  • Insurance decision

    Dhaman issues Insurance Decision for underlying transaction

  • Declaration of utilization

    The Insured Bank sends declaration of utilization upon shipment or draw-down

  • Premium payment

    The insured Bank pays the due insurance premiums

  • Claim & compensation

    In case of default, claim, compensation & recovery processes are followed

Contact info

  • Shaimaa M. Aldoussari, Head of Financial Institutions Unit

  • +96524959540
  • shaimaa@dhaman.org