Performance Security Insurance
Performance Security Insurance (PSI) covers up to 95 per cent of your losses if your customer demands payment of a bond issued by your bank without valid reason. When a customer demands payment on a bond (an irrevocable letter of credit (ILC) or letter of guarantee), your bank must pay immediately.Qualification
In evaluating applications, we consider a number of criteria, including:
- your company’s managerial, technical and financial capabilities;
- acceptable contract terms;
- acceptable bonding/guarantee instruments;
- your foreign customer’s profile and both current and future economic conditions in their country;
- acceptable Canadian exports of goods and services; and
- benefits to Canada derived from your export activity.
PSI is an effective complement to our Performance Security Guarantee (PSG): PSG frees up working capital and PSI protects it against a wrongful call.
Cost
Pricing is based on a number of factors including policy liability, length of policy and, customer and country morality risks.
Apply
Bonding Forms
More information
Brochure (PDF Format)
Call 1-866-283-2957 weekdays between 8 a.m. to 6 p.m. EST or submit an inquiry online.
Important Information
The above information describes, in general, EDC services and is not a commitment to provide them. Only the documentation supplied by EDC, in connection with any transaction, provides the full detail and terms and conditions.
