PLEASE NOTE THAT THIS WEBSITE WILL BE CLOSED DOWN BY 14 June 2023
As of 1 April 2023, EKF has been merged into Denmark’s Export and Investment Fund (EIFO). The website ekf.dk will therefore be closed soon. Please note that some of the content of the website may be outdated. Instead, we refer to eifo.dk or our Customer Centre, phone no. +45 70 60 49 60.
Search
Home
EKF's Guarantees
Guarantees
Contract Guarantee
Cargo ship deck
Contract Guarantee

Protect your export in uncertain markets

There is a lot that can go wrong when your company is delivering a project to a customer in a market associated with risk. The delivery could be prevented due to unrest in the country, an embargo could be imposed on exports to the country, or the country's authorities could impede your company's delivery. Alternatively, your foreign buyer may suddenly be unable or unwilling to pay. A Contract Guarantee from EKF insures you against these types of risk. The guarantee covers the entire process from project commencement through part deliveries and until you receive payment for the project.

What we offer

Compensation for your loss if your order is suddenly cancelled.
Eliminate risk in uncertain markets and bid for major export projects in markets where you would otherwise be unwilling to do business.
When claims are to be recovered, you are backed by the Danish government.
Extend your coverage with a Supplement, providing you with more options.

Requirements for your business

You must be able to obtain a final legal settlement in the event of disputes between you and your buyer.
We must accept the risk relating to your buyer.
Your business must be conducted on an environmentally sound and socially responsible basis.
Your company must help to generate economic growth in Denmark.

The Contract Guarantee is a kind of insurance that covers your loss if you have delivered part of a major project and are prevented from completing the project and receiving payment for it. The guarantee also covers your expenses pertaining to producing goods that you have not yet delivered, and your expenses pertaining to having equipment and machinery dismantled and shipped back home.

For example, your company's deliveries may be impeded by unrest in the country during which an embargo is imposed on exports to the country or the country's authorities may impede the delivery. The guarantee also covers your loss if the foreign buyer is unable or unwilling to pay for the delivery.

Contract Guarantees are often used to insure projects such as construction of roads and port terminals or services such as drawings and design. These are typically projects involving multiple part-deliveries during the project period and where the buyer pays for each part-delivery individually. Or projects in which your products are made to order for your specific buyer and cannot be sold to someone else.

A Contract Guarantee can therefore help protect your exports. 

Illustration of Contract Guarantee
Case

Do you dare venturing out into the world?

CEBRA architecture did – with a little help from EKF. They won a commission to design a cultural cen-tre and adjacent park in the heart of Abu Dhabi. To take on the order, CEBRA was required to provide the client with a supply bond of DKK 70 million – more than the equity in this relatively small design studio. However, with a Bond Guarantee and a Contract Guarantee from EKF, CEBRA was able to safely accept the order.

Read their story
The process

How to get a Contract Guarantee

En mælkeproducent står i en hal med malkemaskiner.

You want to minimise risk for a project

You are delivering a project to a foreign country. Perhaps to a market about which you are uncertain. This means you need to cover your risk. And that is where we can help.

Papirarbejde

The paperwork

You contact EKF and discuss your transaction. Or fill out an application form and a declaration and send them to us.

Relevant documents for the Contract Guarantee
Ikon af kreditvurdering i EKF's rød og blå farve

We run a credit rating check on your customer and the project

We assess your customer and the project. We look closely at your customer's credit rating, environmental matters, your deliveries, and so on.

Ikon for Købsaftale i EKF's rød og blå farve

We send an offer

If we want to cover your transaction, we send you an offer. The coverage, conditions and premium are specified in the offer.

Ikon af håndtryk i EKF's rød og blå farve

Acceptance

If you accept the offer, you ask us to issue a Contract Guarantee.

Kran stabler container.

And we are done

We issue a Contract Guarantee and charge the premium. You can safely get started on delivering your project.

The small print and relevant documents

Contact an advisor
Chief Underwriter Nicolai C. Frank

Any questions about Contract Guarantees?

If so, call or write to Chief Underwriter Nicolai C. Frank on telephone +45 3546 2695 or e-mail ncf@ekf.dk.

The Contract Guarantee does not meet your needs?