Political Risk
Political Risk Insurance protects businesses against financial losses arising from government actions, regulatory changes, geopolitical instability, or civil disturbances that impact operations, assets, or investments.
Coverage is designed to address risks such as expropriation, contract frustration, license cancellation, political violence, currency restrictions, or operational disruption caused by government intervention or civil unrest.
Coverage typically responds to loss of assets, income disruption, operational shutdown, or inability to conduct business due to political or regulatory events affecting domestic or international operations.
Coverage may also include protection for:
Expropriation and government seizure: Coverage for loss of assets or investments resulting from nationalization, confiscation, or government takeover.
Contract frustration and regulatory intervention: Protection when government actions prevent the performance of contracts, permits, licenses, or operating agreements.
Political violence and civil unrest: Coverage for losses arising from strikes, riots, terrorism, sabotage, or politically motivated violence.
Currency and payment restrictions: Protection against losses caused by transfer restrictions, currency inconvertibility, or inability to repatriate funds.
Supply chain and operational disruption: Coverage for interruptions affecting production, transportation, or business continuity resulting from political instability or government action.
Political Risk Insurance is designed to help organizations protect investments, maintain financial resilience, and support operational continuity when political or regulatory events disrupt business activities.
NOTE: Not all domestic organizations require Political Risk Insurance. A WMB Global Risks specialist can help assess whether political risk exposure exists within your operations, supply chain, or international business activities and determine how this coverage may fit within your broader insurance strategy.