…To Outline COVID-19 Relief Measures Related To Export Credit Insurance
By Cyber Era Reporter
Export-Import Bank of the United States (EXIM) President and Chairman Kimberly A. Reed hosted a teleconference Wednesday with insurance brokers to update them on EXIM’s temporary relief measures related to EXIM’s export credit insurance products for American companies and workers impacted by the coronavirus (COVID-19).
Chairman Reed and senior EXIM staff addressed more than 50 registrants representing the insurance brokers who distribute a majority of the export credit insurance issued by EXIM to US businesses.
“Export credit insurance is an important tool for our U.S. businesses, especially small businesses, to succeed in the global marketplace. Without the expertise of our valued insurance broker community, EXIM could not meet our mission of supporting US jobs through exports, and we thank you for your commitment to EXIM during this challenging time,” said Chairman Reed. “In addition to supporting US. exporter customers during the COVID-19 pandemic, each of you are facing your own challenges, and EXIM is here to assist you in any way we can.”
On March 12, EXIM announced relief measures – waivers, deadline extensions, streamlined processing, and flexibility – for an initial period of 30 days. EXIM Vice President of Export Credit Insurance Amy Shinkman outlined the modifications related to the short-term export credit programmes, including offering an extension of payments of up to 90 days on invoices owed by foreign customers coming due between February 1, 2020, and June 1, 2020.
In fiscal year 2019, short-term export credit insurance policies accounted for 27 percent of the value of EXIM’s total authorizations, or 88 percent of the total number of authorizations.
The teleconference took the place of the brokers’ meeting that had been scheduled as part of EXIM’s Annual Conference, which now is rescheduled for September 10-11.
“We want to assure our brokers that we are working to give our customers more flexibility in managing their EXIM insurance obligations,” said EXIM Director of Broker Relations and Product Development Ed Coppola. “We have received helpful feedback from our brokers, and we encourage you to provide input and suggestions.”
In addition, EXIM Assistant General Counsel for Litigation, Fraud, and Compliance John Connor noted there has been a significant spike in worldwide cyber fraud since the advent of COVID-19. EXIM stays focused on preventing potential fraud and raising awareness with stakeholders to do the same. Connor advised brokers to alert exporters and buyers to remain vigilant and be particularly wary of phishing attempts. “It would be a good idea for exporters to warn their buyers to independently verify any email or letter requests to change the payment instructions on invoices,” he said.
Complete details about EXIM’s COVID-19 response measures are available on the EXIM Coronavirus Response webpage. EXIM’s website also includes details on the export credit insurance programme and how to become an EXIM insurance broker.