Find out about UKEF export insurance
What it covers, eligibility, how to get a quote and how to apply.
This overview is for exporters and brokers who have been unable to get export credit insurance from the private sector.
You may be able to get export credit insurance instead from UK Export Finance (UKEF), the government’s export credit agency.
What it covers
UKEF can insure you for up to 95% of potential losses, under an export contract.
For example, if the:
- buyer fails to pay because they become insolvent
- contract is terminated early before goods are shipped
- export cannot be completed due to political events, such as new import restrictions or outbreak of war
UKEF export insurance may help when you cannot get insurance from the private sector. For example, if you’re dealing in:
- exports to a single buyer
- small value exports - there’s no minimum amount
- high-risk markets
- emerging markets
What’s not covered
It does not cover certain losses. For example, if you lose money due to non-payment because of an unresolved dispute between you and the buyer.
You’ll usually need to resolve any dispute or get a judgment in your favour before a claim can be considered.
You should also get your own cargo or shipping insurance to protect goods in transit, as this would not be covered.
Eligibility
You must meet the following conditions:
- you’re exporting from the UK and have an established business base here
- your buyer is based overseas in a country that UKEF covers
- at least 20% of the value of your export comes from UK goods or services (the value can include your profit margin)
- you’re unable to get export credit insurance from the private sector
You can complete a basic eligibility check if you use the ‘get a quote service’.
Type of exports covered
UKEF export insurance covers most types of business and sectors, as long as you have the relevant export licences (if needed).
If you’re exporting in a ‘high carbon’ sector, you may be able to get cover. However, UKEF will need to carry out extra checks.
UKEF cannot insure exports related to fossil fuel, for example oil or gas extraction.
Which buyer countries are covered
UKEF provides cover based on your buyer and what country they’re located in.
Cover is not based on the country the goods or services are being exported to.
To find out if your buyer is covered, you should:
-
Find your buyer’s country on the list of countries.
-
Look for the ‘cash or short term cover’ information to check whether you can get UKEF export insurance for this buyer country.
Due to obligations arising under UK International Trade Agreements, UKEF is prohibited from supporting export credit insurance business with a horizon of risk of less than 24 months in:
- All EU member states
- Australia
- Canada
- Iceland
- Japan
- New Zealand
- Norway
- Switzerland
- USA
These countries are deemed to be “marketable risks” and support in the private sector should be readily available. Please see our list of approved brokers (Export insurance: approved brokers - GOV.UK) who can explore coverage in the private market.
How many buyers you can insure
A policy will cover you for exports to one buyer.
This can be for:
- a single export contract with that buyer (with one or more shipments)
- multiple export contracts with the same buyer
You need a separate policy for each buyer you want to insure.
Amounts you can insure
There are no minimum or maximum amounts that can be covered.
You do not have to insure the full value of your export. You can choose to insure only a proportion of the value.
Small Export Builder
If you are applying for multiple contract insurance and you request an initial credit limit of £25,000 or less, you may be eligible for the Small Export Builder. The Small Export Builder lets you increase your credit insurance limit incrementally from an initial credit limit of £25,000 up to a maximum credit limit of £100,000 as you build up a positive trading history with your buyer.
How the Small Export Builder works
The Small Export Builder is automatically provided for eligible multiple contract policies with an initial credit limit of £25,000. If your buyer pays your insured invoices of amounts equal to this initial credit limit in the appropriate time frame, then, subject to other relevant conditions being met, your credit limit will increase by 50%. You will be able to insure subsequent contracts under your policy up to the new credit limit by notifying UKEF of the new limit and the new contracts at the same time. You can continue to increase your credit limit in the same way up to maximum of £100,000.
For example:
Initial credit limit: £25,000
If your buyer pays one or more invoices with outstanding balances at any one time totalling at least £25,000 within 30 days of the due dates, and other relevant conditions are met, you can increase your credit limit by 50%. You will be covered under your policy for subsequent contracts for amounts up to the new limit.
New permitted credit limit: £37,500 (50% increase on £25,000)
If your buyer pays one or more invoices with outstanding balances at any one time totalling at least £37,500 within 30 days of the due dates, and other relevant conditions are met, you can increase your credit limit again by 50% for future contracts.
New permitted credit limit: £56,250 (50% increase on £37,500)
If your buyer pays one or more invoices with outstanding balances at any one time totalling at least £56,250 within 30 days of the due dates, and other relevant conditions are met, you can increase your credit limit again by 50% for future contracts.
New permitted credit limit: £84,375 (50% increase on £56,250)
If your buyer pays one or more invoices with outstanding balances at any one time totalling at least £84,375 within 30 days of the due dates, and other relevant conditions are met, you can increase your credit limit again to the maximum permitted credit limit of £100,000 for future contracts.
New permitted credit limit: £100,000 (maximum permitted credit limit)
Any increase in the credit limit over £100,000 would require UKEF’s approval.
To access the Small Export Builder, apply for multiple contract insurance with a credit limit of £25,000 or less in the usual way and UKEF will notify you if you are eligible.
Get a quote
How you get a quote depends on your type of buyer.
If your buyer is in the private sector
You can get an instant quote online for: - a single contract policy for up to 22 months - multiple contract policy of 12 months
If you need cover for longer than these time periods, fill in this form instead.
If your buyer is a government or public sector body
You can get a quote by filling in this form.
All quotes are non-binding.
Sample policies
You can view sample policies to decide whether UKEF export insurance is suitable for your export.
How to apply
-
If you’re eligible, you can make a full application. It’s free to apply.
-
Underwriters will review your application. They’ll carry out an eligibility and price check based on your company finances and buyer risk.
-
They’ll let you know if UKEF can provide cover. It usually takes about 1 to 2 weeks to hear back.
Help and support
We have comprehensive guidance for exporters and brokers, including on how to manage a policy and make a claim.
Export finance managers
You can get free help from export finance managers or brokers if you:
-
have questions about credit insurance or eligibility
-
need support with the application process
You can get free help from export finance managers or brokers if you:
- have questions about credit insurance or eligibility
- need support with the application process
They work for UKEF and are available in every region in the UK.
Find your nearest export finance manager.
Brokers
They act as an agent between you and UKEF.
They can also help arrange insurance from companies in the private sector, if you’ve not tried that already.
They receive a 15% fee for providing any successful UKEF policies at no extra cost to you. UKEF will pay their fee out of the premium you pay.
Use our approved broker list to find a broker to help you.
Commission for brokers
UKEF pays a commission to brokers of 15% for any successful policies, up to a maximum of £25,000.
This is at no extra cost to the exporter. UKEF pays the commission out of the exporter’s premium.
Commission is for broking services given to the exporter including:
- advice on the credit insurance market
- advice on UKEF’s export insurance
- continuing support during the life of the policy
UKEF pays the commission when it receives payment from the exporter.
Brokers need to be registered with UKEF to be eligible for commissions. You can register with UKEF by contacting exipunderwriting@ukexportfinance.gov.uk.
On a multiple contract policy, UKEF will pay commission each time the exporter pays their premium for a new export sale.
UKEF does not pay fees for introductions.
More information
Updates to this page
-
Information added on the Small Export Builder.
-
Updated information on countries deemed to be 'marketable risks'.
-
If your buyer is in the private sector, you can get an instant quote online for a single contract policy for up to 22 months rather than 24 months.
-
Moved 'Sample policies' section to sit above 'How to apply' section.
-
Changing references of export insurance to credit insurance.
-
Change to 'Get a quote' section.
-
'More information' section updated with information about countries with a horizon of risk of less than 24 months.
-
Updated to reflect support for credit insurance business with a horizon of risk of less than 24 months in the EU, Australia, Canada, Iceland, Japan, New Zealand, Norway, Switzerland and the USA.
-
Change to Security of Information Arrangements
-
First published.