The Credit Insurance and Guarantee Products are categorized into :

1. Credit Insurance is for Cash Loan:
   1. Working Capital Credit Insurance
      Revolving Financing for supplying goods and services with the maximum duration of 12 months.
   2. Export Working Capital Credit Insurance
      These insurance facilities are to support banks channeling export credit loan (export working capital loan/pre-shipment export financing)
2. Credit Guarantee is for Non-Cash Loan
   1. L/C Import Guarantee
      This is a Guarantee for L/C Import Issuing Bank to applicant's needs in case of a L/C Import payment default
   2. Domestic Trade Credit Guarantee
      This is a Guarantee for Domestic Trade Credit Issuing Bank to applicant's needs in case of the credit payment default
   3. Counter Bank Guarantee
      This is a back to back Guarantee for any Bank Guarantee issued to applicant's need in case of any misconduct

• Non bankable transaction becomes bankable transaction
  Any non bankable transaction because it is not complied with collateral requirement yet feasible criteria could be offset with ASEI's credit insurance. The credit insurance or guarantee from ASEI could replace partial collateral needed by bank in order to give credit facility to real sector.
  
  Especially for non-cash loan transaction, depending on the risk assessment both from ASEI and Bank, ASEI could cover:
  1. Insurance coverage from 70% to 100% from non-cash loan approved by bank;
  2. Collateral requirement is less (i.e. cash collateral from 10% to 30%, plus fixed asset or stock fiduciary).
• Decreasing premium risks therefore the lending rate is more competitive
  Credit risk transferred to ASEI could be recognized to reduce the risk factor especially in interest rate pricing (decreasing the premium risk).
• Reduce a ATMR proportion to 50%
  ATMR proportion for the credit that is being insured or guaranteed to ASEI as state-owned enterprise in credit insurance and guarantee business will be valued up to 50%, therefore the larger amount of the credit insured or guaranteed to ASEI will be affected to a better CAR.
• Fee-based income and cash collateral placement
  Especially for non-cash loan facility that is guaranteed to ASEI, Bank could earn fee-based income from cash collateral put in the deposit.
• No required for potential loss reserve in the case of debtor's payment default
  In the case of claim settlement, during the waiting period (non-cash loan is 14 days, and cash loan is 60 days-both are from due date), the invoice within the waiting period could be stated on financial notes as account receivable or promissory notes.
• Banking safety net - avoid 100% own-retention
  The benefit of using ASEI's facility, Bank has eventually developed strong strategic partnership with one of banking safety net for possibility of credit risk. Bank will not have to put 100% own retention that in the long term could make catastrophically risks.
• The opportunity to develop refinancing agreement
  The banking industry could develop refinancing agreement especially for export or import credit in pre-shipment or post-shipment with competitive lending rate partnered with foreign banks or other financial institutions. ASEI will support through its international network amongst export credit agencies (ECAs) such as COFACE - France, EULERHERMES - Germany, ATRADIUS - Netherlands, EFIC - Australia, EDC - Canada, US EXIM - USA, NEXI - Japan, KEIC - Korea, SINOSURE - China, HKEC - Hong Kong, TEBC - Taiwan.
• Second opinion in credit analysis
  ASEI as well will do risk assessment for the credit insurance coverage. Therefore, bank will receive second opinion from ASEI as credit guarantee agency before the credit line is approved.
• Clients referrals
  ASEI that has experienced for more than 20 years in the credit insurance and guarantee business will provide good clients referrals that have good track record to attain credit line from bank.
• Improving bank's intermediary function
  The banking industry will be enthusiasm in channeling credit lending to real sector including for non-oil and gas export trade activity. By receiving credit protection as well as a guarantee for credit risk with inexpensive cost; and non-bankable transaction becomes bankable transaction, the function of intermediary will be enhanced by increase Loan to Deposit Ratio (LDR).

• The real sector will be supported in its liquidity by ASEI's product as a facilitator between real sector and bank;
• The real sector's competitiveness will be increased through:
  1. Sufficient liquidity as well as credit facility with sound lending rate from bank that is supported by ASEI.
  2. Export oriented real sector ability to penetrate non-traditional markets that have potential higher risk is clearly supported with ASEI protection.
  3. The exporters could easily offer soft terms of payment such as Usance L/C or Non L/C by using ASEI protection.
• The real sector including the export oriented could accelerate their business with more competitive, secure and affordable;
• Employment opportunity will be created since more businesses grow.