#1
16th March 2016, 11:55 AM
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Is ECGC Cover Mandatory
Hello sir, I want to know that which type of risks are covered by ECGC? Can any one provide me detail of ECGC cover mandatory?
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#2
16th March 2016, 11:56 AM
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Re: Is ECGC Cover Mandatory
The ECGC is provides application process. In this process it will cover all mandatory to their people. ECGC covers were intended to protect banks from the risks of a build-up of NPAs from export credit. The ECGC Limited is formerly a Export Credit Guarantee Corporation of India Ltd is a company wholly owned by the Government of India based in Mumbai, Maharashtra. It provides export credit insurance support to Indian exporters and is controlled by the Ministry of Commerce. The insurance covers against insolvency of the buyer (importer), protected default and political risk. ECGC covers therefore acts as an additional line of security for bank financing of exporter. ECGC Application Process: Last year ECGC Application to the ECGC along With Rs. 10,000 as initial premium A statement to be submitted to the ECGC Every month along with last month’s Statements & the monthly insurance Premium cheque (mandatory) The list of exports also includes the value of export Shipments & insurance premium to be paid this is the general process to avail the services of ECGC. ECGC provides various facilities: Provides a range of credit risk insurance covers to exporters against loss in export of goods and services as well Offers guarantees to banks and financial institutions to enable exporters to obtain better facilities from them. Provides Overseas Investment Insurance to Indian companies investing in joint ventures abroad in the form of equity or loan |