Additional financing possibilities
Mixed credits
Mixed credits comprise export credits based on international treaties. One portion of such credits is issued under preferential national terms, while the other is governed by standard market conditions and usually insured by SERV.
Project financing
The project financing model is being chosen ever more frequently for large-scale infrastructure projects. A company serving as project operator is founded for this purpose. This company employs its own resources to amortize the credit which is usually granted by a consortium of banks.
If the project operator experiences financial difficulties, the creditors or SERV do not have any recourse to additional securities such as state or bank guarantees. For this reason, SERV performs a detailed analysis of all risks associated with the project, usually with the assistance of external consultants.
As part of project financing, SERV can cover the political and transfer risks for the purchasing country as well as the buyer risk for the project operator.
Re-insurance
Re-insurance is used by export credit insurers to cover their insurance commitments to foreign suppliers.
A separate policy/cover note is issued for the re-insurance agreement between the direct insurer and the re-insurer. This policy/cover note documents the procedure defined in the re-insurance agreement. Re-insurers generally employ a "one-stop shop" principle furthering the direct insurer's purpose.
Co-insurance
Since, in the case of a co-insurance policy, each insurer independently covers the risks faced by its national exporters, this policy does not count as a discrete insurance product. In the absence of direct contractual relationships to the insured debtor, however, the passive co-insurer's interests are advocated by the active co-insurer on the basis of a co-insurance agreement.
Version: 14.11.2008