Foreign Exchange Contract Insurance
You are a French exporter and your foreign buyer imposes a currency other than the euro to sign the contract.
With Foreign Exchange Contract Insurance, you can set the forward exchange rate before signing the commercial contract or up to 15 days after signing.
Once negotiations are completed, Foreign Exchange Contract Insurance allows the company to set the forward rate of the currency in order to stabilise proceeds in that currency. The insurance thus neutralises foreign exchange risk.
Insured currencies: USD, GBP and CHF.
This insurance is designed for companies established in France and entering into a local-currency export contract (excluding international trade deals).
Any foreign exchange losses recorded at the payment dates relative to the covered forward rate are fully covered.
The premium rate is based on the insured currency and the term of validity applied to the covered amount, invoiced in EUR. The premium is payable in full once the guaranteed forward rate is set.