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MIGA’s goal is to promote foreign direct investment into developing countries to support economic growth and more.

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Explore different types of political risk insurance guarantees provided to investors and lenders.

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Explore global projects that support economic growth, reduce poverty and improves people’s lives.

Hands husking peas into a basket full of peas

Learn about the progress MIGA is making in its mission to support economic growth, reduce poverty and improve people’s lives.

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About Dropdown Description

World Bank building

MIGA’s goal is to promote foreign direct investment into developing countries to support economic growth and more.

Our Impact Dropdown Description

Hands husking peas into a basket full of peas

Learn about the progress MIGA is making in its mission to support economic growth, reduce poverty and improve people’s lives.

Our Products Dropdown Description

Young woman bending down to tending to her outside chores

Explore different types of political risk insurance guarantees provided to investors and lenders.

Projects Dropdown Descriptions

Hyundai building

Explore global projects that support economic growth, reduce poverty and improves people’s lives.

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what we do

Reinsurance

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Since 1997, MIGA has successfully used reinsurance to leverage its investment guarantee capacity, manage the risk profile of its portfolio and foster the growth of the private political risk insurance market. Significant benefits have accrued both to MIGA's investors, who have gained access to larger levels of coverage for projects in developing countries, and to the host countries that have benefited from much higher levels of productive foreign investment.

Syndication/ceding risk - Whenever a project exceeds MIGA's own capacity, the agency reinsures itself, through a syndication process, with private and public sector (re)insurance companies in order to meet its clients’ needs. MIGA’s main programs are treaty and facultative reinsurance.

Assuming risk - In addition to attracting capacity from private and public insurers in order to support projects in its member countries, MIGA also provides such capacity to primary insurers. Currently MIGA provides this kind of assistance mainly to public insurers, but also welcomes inquiries from private insurers. MIGA's ability to provide reinsurance is conditioned on, among other factors, whether the agency's environmental and social policy clauses can be included in the contract of the primary insurer.

MIGA's reinsu​rance partners change over time, as new members are added and some companies withdraw from the market.

Syndication Process
When MIGA sets out to attract additional insurance capacity through facultative reinsurance (FACRE), it takes the following steps:

  • Preliminary discussions with a number of potential (re)insurers take place on a no-name basis. MIGA informs the client on indicative available capacity and premium rates. The client authorizes MIGA to seek capacity with the FACRE program through a mandate letter and pays applicable syndication fees.
  • MIGA sends out formal invitations to potential reinsurers.
  • Reinsurers indicate to MIGA the capacity they wish to offer and agree to basic terms and conditions.
  • The selection of partners is made by MIGA.
  • Syndicate is formed and participating reinsurers are informed.
  • Underwriting package and transaction documentation are sent to syndicate members for their review.
  • Signing of the Contract of Reinsurance and the Contract of Guarantee.
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