(Business Insurance, NY, CreditMan UK, 22 May 2012) Marsh, a US insurance broking and risk management firm has formed a a group of specialists to help its clients find public agencies for political risk and credit insurance. Increased volatility in political risk coupled with lingering effects from the global financial crisis have project developers, investors, exporters, and others turning increasingly to public agencies for political risk and trade credit insurance… Accessing public bilateral and multilateral agencies (MDBs) and export credit agencies (ECAs) can be intricate and time consuming and requires more specialised expertise than needed to access private insurance. While requiring a higher level of engagement by the insured to obtain public insurance coverage compared to the private market, there are benefits. Public insurers are driven by broad objectives, including promoting foreign trade or furthering economic development. They tend to offer longer coverage periods and have a higher tolerance for risk than their private sector peers. In some cases, public insurers can also deliver deterrence effects on host governments.
