Insurance Solutions for Project Finance

Abstract

Recent financial turmoil has made project and infrastructure financing in emerging markets more difficult. One helpful approach in getting deals done is the combination of insurance and project financing techniques to access capital markets. The insurance industry has years of experience addressing project risks that includes writing coverage for completion risk, operating risk, political risk, off-take risk, and residual value. When brought into the front end of the development process, insurers can help structure deals that have a higher probability of closing.