In today's interconnected business world, a company's performance and profitability are often tied up in its supply chain.

Trade disruption insurance (TDI) protects against disruption in the supply chain, even when there is no physical loss or damage to the policyholder's assets.

Disruption may be caused by political events (including embargo or terrorism) or physical events (such as closure of a navigable waterway) and natural perils (windstorm and the like).

As such, TDI can complement or replace business interruption and Marine cargo policies providing cover to businesses for disruption in its trading operations.

Examples

• Terminal operator protecting against loss of revenue following closure of a port/canal
• Charterer protecting loss of revenue against closure of port
• Protection against loss of dedicated supplier
• Contractor protecting against delayed completion due to delay/non-delivery of key equipment

Insured interests can include:

• Debt repayment
• Loss of profit
• Loss of tax credits due to missed deadlines
• Loss of revenue
• Addition and /or increased costs of working
• Out of pocket expenses
• Costs of executing contingency plans

Proposal form

To download a proposal form, click here.

Case study

To view a trade disruption insurance case study, click here.