This insurance policy is issued for those exporters who wish to insure one certain export transaction or a specific shipment, sent to a specific buyer against the risk of non-payment of the export goods due to the occurrence of political and commercial risks in the foreign buyers’ country. Before issuing this insurance policy, the credit standing of foreign buyers or their banks are assessed and the contract or the documentary credits or other collection documents that are going to be covered will be carefully examined. Within the framework of the credit ceiling set for the buyer/bank the Fund gets ready to issue this specific policy after receiving the related premium.
The amount of the relevant insurance premium is calculated according to 4 different parameters:
•    The destination country risk group
•    The repayment period
•    The credit rating of the buyer (Sovereign, Sub-Sovereign and Private company (form Category A to Category E)
•    The Franchise and maximum political or commercial risks under EGFI’s cover
Who might apply?
Such an insurance policy and cover is available for all Iranian exporters of goods and services who enjoy a commercial Card from Iran’s chamber of commerce or other related chambers of commerce all over the country as a real or legal person.

What Risks are under specific insurance policy cover?
A) Commercial risks:
•    The buyer's refusal to accept the exported goods or services due to the reasons which have nothing to do with the Iranian exporters obligations when actually the exporter has rightly met all sales specifications and fulfilled its contractual obligations but still the foreign buyer does not want the goods and has violated or dishonored the contract articles and does Not want to keep its payment obligations.  
•    Non-payment or any example of protracted default which leads to the failure by a buyer to pay the contractual due payment within a pre-defined period calculated from the due date or extended due date which leads to non-reception of the price of goods or services on the due date by the seller.
•    Buyer's lack of financial ability due to bankruptcy, insolvency, lien or suspension of its activities which in the end leads to the nonpayment of the sales invoices.

B) Political risks:
•    The stop of trade relations or the severing of political relations in between Iran and the buyer's country, so that as a result, the exporter does not succeed in receiving its trade receivables from the foreign buyer.  
•    Enforcement of restrictive economic policies that block exporters' receivables.
•    Restrictive enactment of trade policies related to import and any currency restrictions in the buyer's country.

•    Expropriation of property from the buyer due to nationalization or confiscation of property in such a way that the buyer is unable to fulfil its payment obligations and as a result the Iranian exporter does not succeed in receiving its receivables.

•    Other factors beyond the control and supervision of the Iranian exporter and the foreign buyer, which, as determined by the Fund's Board of Directors, leads to the non-collection of trade receivables by the exporter.