Leasing insurance policy

Dhaman provides leasing companies with a comprehensive credit and political insurance solution. The insurance covers the risks of default of payment of the lessees and the risks of denying the lessors’ rights of ownership of the leased assets.

The lease insurance policy period concurs with the lease contract terms. In case of a risk materialization, Dhaman compensates the policyholder with an average rate of 90% of incurred loss.

Insured Risks

Credit Risks

Inability or failure or refusal of the Lessor/obligor to fulfil the payment

The bankruptcy of the Lessor/obligor

Political Risks

Currency inconvertibility and transfer restrictions

Confiscation, Expropriation and Nationalization

Measures taken by the authorities of the obligor’s country preventing the lessor from obtaining his rights

War and civil disturbances

Eligibility

Eligible Transactions

Operational and financial lease of machineries, equipment or transportation vehicles

Eligible Financial Institutions

Arab and non-Arab lessors

Absence of ownership or joint management relationship between the insured lessor & the lessee/obligor

Procedure

1

Request for quotation

The Lessor submits the application form to Dhaman

2

Dhaman provides the Lessor with an indication detailing the scope of cover and the pricing

Leasing Insurance Quotation

3

Issuance of the insurance policy

Acceptance of quotation /policy signature/premium payment

4

Declaration of leased assets within 30 days of the leasing agreement prosecution

Declaration of leased assets/ invoices

5

Compensation Process

Declaration of risk occurrence/Compensation disbursement/Collection from the defaulting obligor/importing country

End

Contact Us

Nizar Najem
Head of Investment Guarantee Unit

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