Insurance may be available to cover certain risks in international trade.\u00a0 In some cases, private insurers will not cover risks in certain countries because they are high.\u00a0 Many governments provide state-sponsored insurance agencies providing export insurance against risks in high-risk countries.<\/p>\n
The United States Overseas Private Investment Corporation insures against political-type risks such as expropriation and political violence.\u00a0 Expropriation has been relatively unusual in the last 30 years.\u00a0 Outright expropriation is less common than gradual expropriation by a series of cumulative effects.<\/p>\n
Developing countries are aware of the risk that expropriation may discourage future investment.\u00a0 However, they are now less likely to resort to outright expropriation than in the 1960s and 70s but may resort to steps having equivalent effects.<\/p>\n
The US agency covers acts or a series of acts for which the state is responsible, which are illegal under domestic or international law and which have a substantially adverse effect on the enterprise or the investor’s rights under the enterprise.<\/p>\n
The US agency offers assurance that guarantees investors will be able to convert local currency into dollars.\u00a0 A risk in developing countries may be currency controls and their tightening of currency controls.<\/p>\n
Political violence may be due to wars, civil strife, or terrorism. The premiums are higher for countries with greater political risk.<\/p>\n\n
\n <\/div>\n\n","protected":false},"excerpt":{"rendered":"
Responsibility to Non-National It is a general principle of international law that a state which injures a foreign national is responsible to that national\u2019s state but not to the national for the harm done.\u00a0 In order to establish state responsibility for an injury to a non-national, there must be conduct comprising an action or omission […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_exactmetrics_skip_tracking":false,"_exactmetrics_sitenote_active":false,"_exactmetrics_sitenote_note":"","_exactmetrics_sitenote_category":0,"footnotes":""},"categories":[143],"tags":[],"_links":{"self":[{"href":"https:\/\/legalblog.ie\/wp-json\/wp\/v2\/posts\/10447"}],"collection":[{"href":"https:\/\/legalblog.ie\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/legalblog.ie\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/legalblog.ie\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/legalblog.ie\/wp-json\/wp\/v2\/comments?post=10447"}],"version-history":[{"count":4,"href":"https:\/\/legalblog.ie\/wp-json\/wp\/v2\/posts\/10447\/revisions"}],"predecessor-version":[{"id":21054,"href":"https:\/\/legalblog.ie\/wp-json\/wp\/v2\/posts\/10447\/revisions\/21054"}],"wp:attachment":[{"href":"https:\/\/legalblog.ie\/wp-json\/wp\/v2\/media?parent=10447"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/legalblog.ie\/wp-json\/wp\/v2\/categories?post=10447"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/legalblog.ie\/wp-json\/wp\/v2\/tags?post=10447"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}