When you trade or invest across borders, your balance sheet is at risk. In commodities, where pre-payment is common as a means of financing production and guaranteeing long-term supply, non-payment or non-delivery can have a devastating commercial effect. We help you protect yourself against these sorts of risks with our political and credit risk insurance team.

— PRODUCTS AND SERVICES

Trade Credit and Political Risks

Protect yourself from unpaid invoices. So your business can keep growing – and going.

We focus on the risks associated with cross-border trades and investments

When you trade or invest across borders, your balance sheet is at risk. In commodities, where pre-payment is common as a means of financing production and guaranteeing long-term supply, non-payment or non-delivery can have a devastating commercial effect. We help you protect yourself against these sorts of risks.

We also help you manage political risk. Foreign government actions like war, trade embargoes and expropriation can affect your bottom line, costing you tens or hundreds of millions. They can even cause you to write off your investment completely. The longer your trade or investment agreement, the greater the uncertainty – and the more you need cover.

We arrange insurance coverage that protects you against political and counterparty risks in trade transactions. We work with commodity traders and the banks that finance them, as well as with equity investors who have subsidiaries or physical assets abroad. Clients include the leading banks, construction companies, international commodities traders,  industrial companies, miners, oil producers and exporters.

What we cover

We’re more than an insurance broker – we’re a partner helping you protect your balance sheet.   We investigate the insurance market to find counterparties who’ll take on your political and trade credit risks at a premium you’re comfortable with.

We’ll advocate for you and negotiate hard on your behalf. As well as this, we’ll:

  • Analyse your risk and identify areas where a government action may threaten your investment

  • Study your contracts and recommend changes if needed to make them insurable

  • Suggest ways to structure your risk to reassure underwriters, such as obtaining collateral or guaranties

  • Get underwriters more closely involved with you and your risk to develop a true partnership

  • Advise you on the best way to manage your risk, not just the best insurance to buy

Latest News & Insights

Lockton received the 2026 Financial Influence Brand award at the 15th China Finance Summit, while Greater China CEO Alex Yip was honored as a Financial Influence Figure.Lockton Wins Two Financial Influence Awards at CFS2026

Lockton Recognized for Brokerage and Claims Excellence Across Asia

Lockton wins Singapore's Best Broker and India's Outstanding Claims Management at the InsuranceAsia News Country Awards for Excellence 2026. Read the full update.Lockton wins Singapore's Best Broker and India's Outstanding Claims Management at the InsuranceAsia News Country Awards for Excellence 2026. Read the full update.

Lockton Supports MaiCoin Group in Landmark Digital Asset Insurance Placement in Taiwan

Lockton supported MaiCoin Group's Modernity Financial Technologies in securing professional liability and crime insurance for Taiwan's digital asset sector.Lockton supported MaiCoin Group's Modernity Financial Technologies in securing professional liability and crime insurance for Taiwan's digital asset sector.

Entertainment: remaining resilient in new markets

Increased social media exposure and a new class of consumers are two factors encouraging artists to explore performances further afield. Increased social media exposure and a new class of consumers are two factors encouraging artists to explore performances further afield.
More Articles news and insights