Medium-term transaction insurance
What is medium-term transaction insurance?
In the framework of its obligation to supply every company with an insurance policy adapted to the nature of its operations, ICIC offers medium-term transactions insurance. This unique insurance program provides protection to transactions with credit of over a year until seven years, and a unique platform for financing these transactions. The program is intended both for exporters and companies operating in the local market.
Highlights of the program
Medium term transactions insurance enables you to protect transactions that you made under credit terms of up to seven years, both in the local market and in the framework of foreign trade:
For government or public customers:
Protection against non-receipt of payment due to political risks in the customer's country, such as: War, revolution, prohibition of sending foreign currency, nationalization, cancellation of import licenses and more.
For companies and corporations:
Protection against non-receipt of payment by customers due to:
- Political risk in the customers country, such as war revolution, prohibition of sending foreign currency, nationalization, cancellation of import licenses and more.
- Commercial risk the customer's insolvency or economic difficulties.
The program is a basis for financing transactions through the Israeli banking system:
- Financing on the basis of discounting invoices – the suppliers credit policy which is similar to other products of ICIC.
- Financing on the basis of discounting notes - the unique discounting notes policy acceptable to the Israeli banking system.
- Financing through direct credit to the customer / buyer – in the buyers credit policy, the buyer borrows a loan from a bank so that from the insured's point-of-view this is a significant change to a short-term transaction.
Advantages of mid-term long-term transactions insurance with ICIC
- Credit risks management service – receipt of a professional recommendation, based on an analysis of the ability of customers to pay the Company and monitoring in-depth information, regarding the amount of credit recommended for every customer. This service assists the insured Company when taking significant decisions in the sales processes.
- Security – protection of insured's cash flows and financial balance sheet, in long-term transactions.
- Peace of mind – thanks to the convenient terms of the insurance adjusted to the rules of the OECD and the professional and experienced team, which provides advice and assistance in sharing credit risks and in collections.
- Access to quality information on the customer and its country – the information at the disposal of Euler Hermes – the largest credit insurer in the world and one of ICIC's shareholders.
- Rapid response – receiving initial indications and solutions for requests by ICIC's team within a few days.
- Personal relationship – personal adaption of the policy according to an analysis of the transaction and in coordination with the financing factors.
- Financial strength – insurance with ICIC assists the insured company in kits relations with banks and financing bodies on the basis of ICIC's financial strength.