Credit Insurance (Failure Insurance)

Credit Insurance (Failure Insurance)
It is a type of insurance product that provides coverage to the Creditor (credit giver) for the risk of loss experienced or incurred by the Debtor (credit recipient) caused by the debtor’s inability to fulfill its obligations in accordance with the agreement.
Exceptions:
  • Suicide.
  • Sentenced to death by a competent court.
  • Accidents of all non-commercial flights except in-flight accidents due to occupational risks.
  • Deliberately involving oneself in persecution, acts of violence, rebellion, riots, disturbances or acts of terror.
  • Natural disasters.
  • Chronic disease that has been suffered for years based on hospital records.
Bond (Guarantee on Contract)
It is a form of guarantee where the insurance company guarantees that the Principal (contractor/vendor/company) will carry out obligations regarding an interest to the Obligee (project provider) in accordance with the contract/agreement and/or applicable statutory provisions, where the insurance company will provide compensation to Obligee if the Principal defaults on the contents of the contract.
The product guarantees are:
  1. Bid Guarantee.
  2. Performance bond.
  3. Down Payment Guarantee.
  4. Maintenance Guarantee.