If you are an exporter and do not meet the requirements for the insurance of liquidity loans prescribed in the Programme for the Insurance of Exporters’ Liquidity Loan Portfolio – Covid-19, you can submit an application under the Programme for the Individual Insurance of Exporters’ Liquidity Loans – Covid-19 that is implemented by HBOR as the insurer for and on behalf of the Republic of Croatia as one of the measures of the Government of the Republic of Croatia intended to provide support to the economy (hereinafter: the Insurance Programme).
TO WHOM IS THE INSURANCE PROGRAMME INTENDED?
Entities performing business activities regardless of their size and legal form that are registered in the Republic of Croatia and meet, among others, the following conditions:
- Are not in difficulties and/or were not in difficulties on 31 December 2019
- Have encountered difficulties in operations as a consequence of the pandemic caused by the COVID-19 virus
- Have generated at least 10% of their operating income from export revenues in the past financial year, for which company’s official annual financial statements are available (exporter)
- Have generated at least 10% of their operating income with one or more exporters referred to in the above item in the past financial year, for which company’s official annual financial statements are available (exporter’s supplier).
WHAT ARE THE ADVANTAGES OF THE INSURANCE PROGRAMME?
- Up to 90% insurance for the principal of exporter’s liquidity loan,
- If the coverage is lower than 90%, the insurance may also cover the contracted interest (regular interest, interest during disbursement and grace periods),
- Insurance can be provided for loans approved to entrepreneurs doing business in all sectors of the economy,
- Bank is secured against non-performance of obligations under the loan.
The Insurance Programme is available to all credit institutions in the Republic of Croatia operating in accordance with the Act on Credit Institutions and to HBOR that, for liquidity loans they wish to insure under the Insurance Programme, submit individual Insurance Applications to HBOR as the Insurer.
For each loan insured under the Insurance Programme, HBOR as the insurer charges an insurance application processing fee and an insurance premium from the bank as the insured. Borrowers have the opportunity to use subsidies for insurance premiums in accordance with the Insurance Premium Subsidy Programme – COVID-19 measure of the Republic of Croatia to Help the Economy PSP/1-2020.