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Political Risk Insurance

AIG helps you do business abroad with worldwide, multi-year political risk insurance policies that have industry-leading limits.

Why choose AIG for Political Risk Insurance?

Backed by more than 30 years of experience, AIG provides tailored coverage for companies doing business in other countries. Our policies protect against financial loss (which may be considerable) resulting from government actions. Even as political climates shift, with AIG, your coverage will remain non-cancelable and secure. We cover all types of losses due to political action and instability, including:

  • Confiscation, expropriation, or nationalization
  • Currency inconvertibility and non-transfer
  • Political violence (including terrorism and war)
  • Contract frustration due to political events
  • Sovereign payment default
  • Wrongful calling of on-demand guarantees and bonds
  • Industry-leading limits of up to $150M
  • Multi-year policies with non-cancelable limits—up to 15 years; average 3-5 years)
  • Worldwide coverage; over $520M in global claims paid since 1990

The AIG Advantage

Our multi-year policies have non-cancelable limits (up to 15 years; average 3-5 years), industry-leading limits of up to $150M, and worldwide coverage. 

  • Industry-leading limits of up to $150M, multi-year policies with non-cancelable limits (up to 15 years, average 3-5 years) and worldwide coverage.
  • Four decades of experience and expertise with dedicated underwriters who help clients with large Political Risk programs.

  • Dedicated Political Risk underwriters in the U.S. (New York, Chicago and Seattle) and around the world (Toronto, London, Tokyo and Singapore) provide clients with a global network, relationships and expertise.

  • Specialized claims team leverages our 30+ years’ experience and expertise to understand clients’ losses. 
  • Over $520M in global claims paid since 1990.

Advantages in Action


A producer and distributor for the infrastructure and agricultural markets conducts business in key emerging markets around the world.


AIG provided coverage needed for the perils of expropriation, political violence, and currency inconvertibility.

AIG Benefit

AIG was selected by the client, despite a lower-priced competitor’s option, due to its long-term commitment to Political Risk, membership in the Berne Union and dedicated claims expertise.


A contractor faced several challenges around their equipment overseas: working on a foreign military base, political violence that could damage or force evacuation/ abandonment of their equipment and government restrictions that might make it impossible to move the equipment out of the country once the work was completed.


AIG Political Risk policy was put in place that provided the necessary coverage due to the client’s property policies not providing the coverage.

AIG Benefit

AIG’s policy allowed the contractor to focus on the very technical aspects of the job while transferring the inherent emerging market risk of a small country where it had never done work before.


A large oil and gas services company was forcibly taken over by the country where they were doing business.


The company was able to draw down on a $50M limit provided by AIG’s Political Risk policy.

AIG Benefit

AIG’s claims experts assisted the client to recover their assets, allowing them to begin work again and avoid larger losses in the same country.

AIG Political Risk Solutions

We provide clients with a global network and multinational expertise. Our specialized claims team leverages our 30+ years of experience to understand our clients’ risk factors and unique needs while doing business overseas.

Non-Payment Insurance for Project Lenders protects project investors against failure of qualifying sovereign governments to meet debt obligations.

Political Risk Insurance for Importers and Exporters provides comprehensive protection against loss due to political instability, including product confiscation and non-payment.

Political Risk Insurance for Financial Institutions and Capital Markets protects institutional lenders and capital-bond markets against risks from political instability.

Political Risk Insurance for Multinationals offers global organizations flexible, long-term, large-scale coverage for a range of political risks associated with emerging markets.

Political Risk Insurance for Project Multinationals offers investors protection against losses from an individual project. Coverage can extend to a single country or multiple countries.

Political Risk Insurance for Contractors provides coverage to construction, engineering, and other contracting firms against associated losses due to political upheaval or government action.

Brokers: Meet Your AIG Team

View contact information for AIG’s national product and distribution teams.

Downloadable Materials

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Political Risk Highlight Sheet

What is Political Risk Insurance?

Political risk insurance can be particularly important when working abroad or in developing countries. Policies protect against financial loss (which may be considerable) resulting from government actions like the following:

  •  Expropriation (government confiscation of property)
  •  Political violence (including war and terrorism)
  •  Currency inconvertibility
  •  Wrongful calling of on-demand guarantees
  •  Non-payment by foreign governments on cross-border loans or contracts

The scenarios described herein are offered only as examples. Coverage depends on the actual facts of each case and the terms, conditions and exclusions of each individual policy. Anyone interested in the above product(s) should request a copy of the standard form of policy for a description of the scope and limitations of coverage.