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Top Up Cover

Introduction

The State of Israel has decided, through the Accountant General in the Ministry of Finance, to assist Israeli exporters with short-term foreign trade risks insurance in light of the current global crisis, with the aim of encouraging economic growth and employment in Israel.

State assistance will be provided by providing Top-Up Cover, in addition to the basic cover provided by the Company to its Insured customers in their capacity as vendors granting credit to their customers.

The Accountant General in the Ministry of Finance has been implementing since June 2014 a special program with the collaboration of ICIC to expand dramatically the insurance of medium to long term interactions. The involvement of the government in this program had obligated the state to enlarge significantly the states’ guarantee for foreign trade. Due to the aforementioned we were asked by the government to consider reducing the states’ guarantee in the Top Up program focusing the state in a much needed program, and subjected to that that the exporters will keep enjoying the Top Up program which allows the exporters to enlarge their sales. Lately ICIC has succeeded to join several leading reinsurers in order to replace the government in the Top Up program, in the same terms as today starting July 1st 2014. The only change is the fact that the requirement for an additional Israeli factor has been removed leading to the subtraction of this requirement which had a place as long as the government had given the guarantee.