International factoring insurance
Insurance of international factoring - insurance protection of a financial institution under factoring transactions against the risk of non-fulfillment by foreign counteragents of its contractual obligations.
Insurance procedure
- The exporter and the financial institution providing factoring services (hereinafter referred to as the “Factor”) shall enter into a factoring agreement;
- KazakhExport and the Factor shall enter into a factoring insurance contract;
- The exporter shall deliver its products to the importer;
- After the Exporter has provided documents on the shipment of its products, the Factor shall pay the Exporter the cost of the delivered products;
- If the Importer fails to perform its obligations to the Factor, KazakhExport shall compensate the Factor for losses
