Allianz Trade launches Social2Social to cover political risk

Eligibility requires a sustainability team review under Allianz Trade social criteria.

Allianz Trade has launched Specialty Credit Social2Social, a new insurance solution that provides credit and political risk cover for projects with a defined social impact, including affordable infrastructure, essential services, housing, and development programmes for disadvantaged communities.

The product offers specialty credit insurance to corporates, banks, multilaterals and public sector bodies, protecting them against risks such as non-payment, contract interruption and political events when financing or delivering socially focused projects. 

Eligible transactions must meet Allianz Trade’s social impact criteria and undergo assessment by its sustainability team.

Allianz Trade said premiums collected from Social2Social policies will be invested in certified social bonds, creating what it described as a circular model in which insurance protection supports social projects and the resulting premiums are reinvested into further social initiatives.

The solution builds on Allianz Trade’s specialty credit business, which covers large and complex risks linked to international trade, structured finance and public sector projects. 

The company said Social2Social has been certified by Allianz Group as a sustainable solution, following its earlier Green2Green programme focused on climate-related projects.