Programme for the Individual Insurance Policy of Liquidity Loans for Exporters – Covid-19 Measure

If you are an exporter and do not meet the conditions prescribed by the Programme for Portfolio Insurance of Liquidity Loans for Exporters – Covid-19 Measure, the Programme for Individual Insurance of Liquidity Loans for Exporters – Covid-19 is available to you, which HBOR as the insurer implements 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:

• • 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 (FINA COVID score)
  • Have generated at least 10% of their operating income from export revenues in the financial year that is relevant for their operations in accordance with the entrepreneur’s statement (not earlier than 2019) and for that company’s official annual financial statements are available (exporter)

Or
Have generated more than 50% of their operating income from accommodation revenues in the financial year that is relevant for their operations in accordance with the entrepreneur’s statement (not earlier than 2019) and for that company’s official annual financial statements are available, where in that year the share of realised overnight stays of non-residents of the Republic of Croatia in the total number of overnight stays is at least 30% (exporter)
Or
Have generated at least 10% of their operating income from revenues in cooperation with one or more exporters referred to in the above paragraph in the financial year that is relevant for their operations in accordance with the entrepreneur’s statement (not earlier than 2019) and for that 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 contract

The Insurance Programme is available to all credit institutions in the Republic of Croatia that operate in accordance with the Credit Institutions Act and to HBOR that, for liquidity loans for which they wish to use 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 insurance application processing fee and 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/01-2021.