The Pakistan Insurance Corp (PIC) administers an export-credit-guarantee scheme that deals with all exports not covered by letters of credit. The plan encourages exports by underwriting financial risks not covered by normal insurance guarantees, including pre-shipment risks; it pays 80% of the loss for commercial risks and 90% for political risks. Covered under these headings are risks arising from insolvency, default, import controls, war and non-acceptance, and any other risk beyond the exporter’s control.
International export-credit insurers operating in Pakistan include NCM Credit Insurance (Netherlands) and Coface (France).
