A non-cancellable indemnity bond, backed by OMI-ENT-INSURANCE, which guarantees that principal and interest will be paid in compliance with the underlying contractual agreement or promissory note.Financial guarantee bonds are used by debt issuers as a way of attracting investors. The guarantee provides said investors with an additional level of security that the investment will be repaid/obligation will be fulfilled in the event that the securities issuer is unable to do so. The bond may benefit the principal by enhancing the principal's creditworthiness thereby lowering the cost of financing. The guarantee "wraps" the security/promissory note with the insurer's indemnity. Because the bond represents an UNCONDITIONAL GUARANTEE of compliance/repayment, a preferred interest rate is often offered.
OMI-ENT-INSURANCE, offers financial guarantee instruments as the exclusive attorney-in-fact for UK, and in Europe through a fronting relationship with a highly capitalized UK carrier, rated A+ Superior. Due to our strict adherence to underwriting rules, full collateralization of the obligations assumed, respect of our reinsurance/retrocession agreements, and ongoing principal surveillance, we are able to offer a significant per risk capacity of up to 500 million Pounds.
We will consider executing financial guarantee instruments for asset-backed securities, private transactional financing and small national or local infrastructure projects. Financial guarantee (credit wraps) are offered on a fully collateralized basis only.