Sinosure

The China Export Credit Insurance Corporation (Sinosure) is a state-funded insurance company established to support China’s foreign and trade development and cooperation. The Sinosure Overseas Investment Insurance is available for equity and debt investments made by Chinese enterprises in projects outside China. If the equity/debt receiving project company faces payment defaults, Sinosure will reimburse the Chinese equity shareholder and/or loan provider respectively.

The insurance covers the following risks:

• Expropriation: nationalization, confiscation or compulsory acquisition of an investment project or of the respective funds and assets.
• War and political riot: Loss of asset or inability to operate in the host country due to revolution, riots, civil war, coup, terrorism, etc.
• Breach of contract: Host government or other project-relevant entity breaches the contract or does not perform according to the agreement while refusing to pay compensation.
• Exchange risks: Restrictions for free currency exchange and prevention of outward remittance carried out by host country.

Overseas project companies financed by Chinese investors.

Overseas investment projects of Chinese companies.

Sinosure does not pre-determine a list of eligible countries where they offer the Overseas Investment Insurance.

Decisions will be made on a case-by-case basis. There are a few countries where Sinosure does not offer this insurance product: countries and regions that have no diplomatic relations with China, are currently at war or in chaos, or are restricted by Chinese treaties. These countries include Bhutan, the Vatican, Haiti, Dominica, Saint Vincent, the Grenadines, Panama, Guatemala, Honduras, El Salvador, Paraguay, the Solomon Islands, Tuvalu, Palau and Swaziland.

• Size of coverage: The maximum insured percentage of the equity or debt provided is 95 per cent.
• Tenor of coverage: The maximum tenor is 20 years.

http://www.sinosure.com.cn/en/Insurance/oii/index.shtml